Recent Market Intelligence, Analysis, and Forecast for Polyester DTY (Drawn Textured Yarn)

I. Market Intelligence
(A) Price Trends
1. Benchmark Price: As of May 25, 2026, the Business Society’s benchmark price for polyester DTY stood at RMB 9,787.50 per ton, unchanged from the previous few days. Previously, the benchmark price was RMB 9,987.50 per ton on May 12 and RMB 9,812.50 per ton on May 18, indicating some volatility.
2. Average Deviation: On May 25, the average deviation narrowed further into negative territory to -RMB 63.75 per ton; on May 22, it was -RMB 85.00 per ton—shifting from negative expansion to contraction; on May 19, it widened again to -RMB 72.50 per ton—reverting from contraction to expansion; on May 18, it contracted further to -RMB 61.25 per ton; on May 11, it contracted to -RMB 88.75 per ton; and on May 9, it stood at -RMB 119.69 per ton—transitioning from negative expansion to contraction.
3. Enterprise Quotations: On May 25, 2026, Rongsheng Petrochemical reduced its quotations for polyester filament DTY. Zhejiang Kaishi Chemical also lowered its DTY quotations by RMB 100 per ton. On May 12, Rongsheng Petrochemical adjusted its polyester filament quotations downward: DTY 75/36 low-elasticity at RMB 10,550; 100/96 light-network at RMB 10,400; 120D/192F micro-network at RMB 10,350; 150/48 low-elasticity at RMB 9,800; 150/96 low-elasticity at RMB 9,850; 300/96 low-elasticity at RMB 9,100; 300/96 light-network at RMB 9,150; and 300/96 heavy-network at RMB 9,600.

(B) Production Facility Updates
1. Ningbo Formosa Plastics’ Unit #1 (1.2 million tons/year PTA facility) restarted operations on May 9; Unit #2 (1.5 million tons/year PTA facility) shut down on May 10 and remains offline pending restart.
2. Jiatong Energy’s Unit #2 (3 million tons/year PTA facility) shut down on May 20; its restart timing remains undetermined.
3. Hengli Huizhou’s Unit #1 (2.5 million tons/year PTA facility) shut down on May 10; its restart timing remains undetermined.

(C) Industry Data
1. According to data released by the National Bureau of Statistics, industrial output value of designated-scale textile enterprises increased by 2.3% year-on-year in April 2026; cumulative growth for January–April 2026 stood at 3.5% year-on-year.
2. In April 2026, China’s textile and apparel exports totaled USD 24.06 billion, down 0.5% year-on-year.

II. Analysis and Assessment
(A) Reasons for Price Volatility
1. Cost Factor: Shutdowns and restarts of PTA facilities significantly impact the cost structure of polyester DTY. Shutdowns at Jiatong Energy and Hengli Huizhou have constrained PTA supply, potentially increasing raw material costs and offering upward support to DTY prices. However, no notable price increase has yet materialized—likely due to a lag in cost pass-through or market buffering effects.
2. Supply Factor: Downward revisions in enterprise quotations—e.g., by Rongsheng Petrochemical and Zhejiang Kaishi—reflect relatively ample DTY supply, with producers adopting price reductions to stimulate sales.
3. Demand Factor: Growth in industrial output value of designated-scale textile enterprises signals underlying domestic demand support. Yet the year-on-year decline in textile and apparel exports suggests weakening external demand, exerting downward pressure on DTY prices.

(B) Reasons for Changes in Average Deviation
The narrowing of the negative average deviation indicates a shrinking gap between actual transaction prices and the benchmark price—possibly attributable to enterprise price cuts bringing market prices closer to the benchmark, or to improving supply-demand dynamics reducing overall price volatility.

III. Outlook
(A) Price Trend
In the near term, polyester DTY prices are expected to remain range-bound. On one hand, ongoing uncertainty regarding PTA facility shutdown durations—if prolonged—could tighten raw material supply and lift costs, thereby supporting higher DTY prices. On the other hand, downward enterprise quotations and softening export performance continue to weigh on pricing. Should downstream demand sustain improvement, prices may gradually stabilize and rebound; conversely, persistent demand weakness could trigger further declines.

(B) Supply-Demand Balance
On the supply side, resumption of certain PTA facilities may ease raw material availability for DTY production; however, unplanned outages or maintenance at other units could still disrupt supply continuity. On the demand side, sustained growth in industrial output among designated-scale textile enterprises may bolster domestic DTY demand, though export uncertainties remain substantial. Overall, supply-demand equilibrium is anticipated to gradually emerge—but the path toward balance may be uneven and protracted.

(C) Industry Trends
Longer-term, the polyester fiber industry is trending toward greener production, intelligent manufacturing, and integrated vertical development across the value chain. Stricter environmental regulations will drive increased investment in sustainable practices—including development of recycled polyester DTY. Intelligent production technologies will enhance efficiency, product quality, and cost control. Vertical integration will empower enterprises to better manage input costs and supply stability, strengthening competitive positioning. These structural shifts will profoundly influence the polyester DTY market, steering it toward a healthier, more sustainable trajectory.