Polyester prices in China are recovering as demand for textiles is rising, according to a report issued
by Emerging Textiles.
Last week, the Chinese government announced that credit conditions in the country would be eased so that companies could borrow more money from banks in order to stock up on materials. Polyester prices were bottoming out in China in order to accommodate the re-stock, but now the situation is improving, the magazine says.
Other factors are leading to the price recovery as well.
Orders from US and EU buyers are improving and cotton fiber prices are also in the midst of a recovery. “Demand for polyester is stimulated by higher cotton prices,” the article said.
Raw material costs of polyester fiber makers also continue to rise allowing “fiber producers to increase their prices in order to maintain their margins.”