Affected by rising crude oil prices and support from the cost side, polyester filament yarns have risen from a tentative rise to a general rise, and the upward trend has been maintained for about 20 days. As of the 7th, the price of polyester filament FDY 150D was around RMB 5,700/ton, that of POY 150D was around RMB 5,175/ton, and that of DTY 150D was around RMB 6,600/ton. The prices of all products have increased to varying degrees from the previous period.

The general rise in polyester yarn prices stimulated downstream weaving enterprises' enthusiasm for purchasing raw materials, which led to the recent recovery of polyester yarn production and sales. Especially on the 5th, polyester yarn production and sales ushered in the long-lost market of over 100%.

In sharp contrast with the polyester market, the downstream weaving market is still in the off-season market.

According to statistics, in July 2020, China exported 15.317.5 billion U.S. dollars of clothing and clothing accessories; China exported 66.402 billion U.S. dollars in clothing and clothing accessories from January to July 2020, a year-on-year decrease of 16.6%; China exported clothing and clothing accessories from January to July 2019 79.021 billion US dollars.

In the recent stage, the operating rate of looms in Shengze has been maintained at around 65%. Although the overall operating rate has not changed significantly, it is still heard that many weaving manufacturers in the market have closed their doors and shutters.

Mr. Qian, who specializes in artificial silk and owns 100 looms, said: "The first half of the year used to be the peak season for artificial silk, but it couldn’t sell this year, let alone now. At present, half of the machines have been stopped in the factory. There are no orders, I have been weaving inventory, and are supporting it with the money I made last year, and I am going to reduce production a little bit, and then look at the market in mid-to-late August."

Indeed, conventional and large-volume products such as imitation silk have been slow to sell this year. In terms of price, for example, 75D/24T chiffon can sell for about 3.2 last year, and this year it can only sell for about 2 yuan, and even a larger amount. The list will still be depressed and there will be basically no profit. In terms of inventory, millions of meters of inventory are very common. According to statistics, the current inventory of grey fabrics in Shengze has risen to around 45-46 days, and there is a tendency to continue to accumulate in the later period.

"Now that we are on summer vacation, we have no orders. Compared with previous years, orders have been reduced by nearly 2/3. Last month was a little better. There were orders for all sides. Now it is completely stagnant. Many manufacturers have stopped nearly half of their machines. It is really difficult for the market to pick up in the second half of the year." Trader Mr. Shi said.

Not only is the weaving unsatisfactory, the post-processing of the company's market is not satisfactory. The operating rate of the printing and dyeing factory plummeted during the week, and the market was in a quagmire again. The rapid repetition of the market made it difficult for the market to react. In addition, coating and compounding companies are not ideal either.

The person in charge of a compound enterprise said: "At the beginning of the month, we were still very busy, mainly doing luggage and bags, but the market had weakened again in the past few days. In addition to the strict environmental protection inspection, we could not turn on the machine during the day before the 12th. The order completion rate is even slower. If the market is really overdrawn in the future, it is not promising in the second half of the year."