Last week (December 12-18, 2022), the upstream and downstream market of nylon filament was weak, the market continued to be weak, and the price continued to fall slightly. The supply of nylon filament remained sufficient and stable, the raw material caprolactam fell to the horizontal, the spot supply was sufficient, the weakness of nylon chips followed up, and the negative impact on the cost side of nylon filament, so the manufacturer’s offer fell again. The wait-and-see atmosphere of downstream enterprises has increased, the terminal textile and clothing consumption is still insufficient, the enthusiasm for fabric procurement is not high, and the market transaction atmosphere continues to be weak.

According to the price monitoring of the business community, last week (December 12-18, 2022), the price of nylon filament became weaker and lower. As of December 18, 2022, the price of nylon filament DTY (Premium; 70D/24F) in Jiangsu Province was 16,980 yuan/ton, down 140 yuan/ton from the previous week, with a weekly drop of 0.82%; Nylon POY (Premium; 86D/24F) quoted 14725 yuan/ton, 175 yuan/ton lower than the previous week’s price, with a weekly drop of 1.17%; Nylon FDY (Premium: 40D/12F) price was 17750 yuan/ton, down 100 yuan/ton from the previous week, with a weekly drop of 0.56%.

Upstream raw material market

Price rise and fall chart of nylon filament industry chain

Raw material caprolactam: Last week (December 12-18, 2022), the domestic caprolactam fell to a horizontal position. In the early stage, the raw material pure benzene market weakened due to the impact of crude oil price fluctuations, and the cost side was not supported enough. Domestic caprolactam stock is abundant, and the demand side lags behind. The price stabilized after falling, and caprolactam price trend is expected to continue the weak finishing market in the short term.

Raw material PA6: The weakness of domestic PA6 market continued in the middle of December, and the spot price fell by a narrow margin. According to the data monitoring of the business community, the average ex factory price of domestic PA6 was 13433.33 yuan/ton on December 18, up or down by – 3.59% compared with the price level at the beginning of the month.

Supply and demand

At present, the commencement of nylon filament shows a downward trend, with overcapacity overflow, high inventory consolidation, and the market is dominated by the digestion of inventory. On the whole, the downstream demand shows that the textile market is hard to hide the weak trend. Weaving manufacturers’ enthusiasm for stocking raw materials has declined. The market atmosphere is cold and the terminal demand is weak. The weaving machine rate has also weakened again. Bad news has flowed out from many places. Most weaving factories maintain the minimum load production.

Future market forecast

In the later stage, the upstream raw materials were weak and low. The nylon filament market was not sufficiently supported at the cost end. The supply of goods in the market was sufficient, and the downstream demand was weak. The downstream construction would decline, and the overall demand for textile terminals would decrease. Analysts from the business community expect that the nylon filament market will continue its weak finishing operation in the later period.