Supply Side Concerns PTA Market Trend Weak Adjustment

According to the price monitoring of business associations, the price of domestic PTA spot market fell slightly today (September 10th), down 0.50% from the previous trading day, down 43.22% from the same period last year. PTA main futures shock adjustment, late slightly down. Close to the main futures (2001) closed at 5190 yuan / ton, compared with the previous trading day fell 22 yuan / ton, or 0.42%. At present, the load of the PTA device is at 96% highs, and the market liquidity is abundant. Traders and pet factories are the main buyers.

The 350 thousand ton PTA plant of Yizheng chemical fiber was restarted in September 10th. The device has been overhauled since August 1st. The Hua Bin petrochemical PTA plant is scheduled to stop short next week because of its planned annual capacity of 1 million 400 thousand tons. Hengli PTA device announced maintenance plan, late maintenance plan is very few. In regard to the new installations, the 1 million 200 thousand tons PTA new plant of Sino Thai Petrochemical is planned to be put into operation in October 30th and will be put into trial run in December 20th.

In the raw material market, Asian PXCFR China closed 785 US dollars / ton in September 9th, up 5 yuan / ton compared with the previous trading day. Domestic PX price low consolidation in 6600 yuan / ton. Also facing the pressure of new plant put into operation, Hainan refinery 2#100 million tons / year's new PX plant is scheduled for commissioning in late September. Heng Yi Brunei 1 million 500 thousand ton PX plant will enter the commissioning phase. Downstream polyester start-up load 90% near the end of the weaving just need to purchase, cautious wait-and-see mood is not reduced, Jiangsu and Zhejiang mainstream factories polyester prices quoted temporarily stable, promotional preferences shipped, including polyester POY (150D/48F) market price range in 7700-8050 yuan / ton.

Xia Ting, a business analyst, believes that the new supply of PX and PTA is expected to be booster. There is a certain degree of concern in the supply side. The cost support is relatively limited, and the downstream demand "Kim Gu" is weak. It is expected that the PTA market will be weak in the short term.