Post-holiday recycled market situation

After the Spring Festival holiday, PET flakes prices are mainly flat, and some bottle bale prices in Fujian market rise by 100yuan/mt. Recycled PSF plants have resumed operation mostly during Feb 5 and Feb 12, while in Hebei, Zhejiang, Anhui, Sichuan and South China, some plants restart late after Feb 12. Recycled PSF offers maintain flat mostly after the holiday and new orders and transactions are thin.

PET flakes plants have resumed operation and procurement successively in the first half month of Feb, and some bottle bales in Fujian rose by 100yuan/mt, while in other regions, prices maintained flat compared to the pre-holiday level. Market trading activities were still in recovery. In Fujian, one PET flakes plants raised the purchase prices of bottle bales by 100yuan/mt, with rough bottle bales offers to 4,200-4,250yuan/mt, after-tax delivered. 3A-grade white bottle bales were largely flat, and offers were at 4,600-4,900yuan/mt, after-tax delivered. Cleaning plants restart production gradually.

Recycled PSF offers were mainly flat and sales were thin. For close virgin PSF market, offers were mostly steady after the holiday, and some plants continued to deliver previous orders. New orders and trading activities were ordinary. In Hebei and Sichuan, a few plants restarted late after Feb 17. In terms of HC re-PSF market, plants in Hebei has started to resume operation around Feb 7 and Feb 10, and in Zhejiang, Jiangsu and Shandong, some plants restarted earlier around Feb 2, mostly recovered gradually during Feb 5 and Feb 12. In Anhui, Zhejiang and South China, some plants restarted late after Feb 12-17. Downstream demand is still in recovery and new orders are weak. Some plants hold weak anticipation towards late market.

Recycled PFY plants have resumed operation mostly currently, while sales were mediocre as downstream market was still in slow recovery. After returning from the holiday, black re-PFY prices declined by 100yuan/mt first and then rose by 50yuan/mt. Currently, the black re-POY 300D offers kept at 6,900-7,000yuan/mt, after-tax ex-works.

Recycled chemical fiber inventory changed little overall after the holiday, as the plants were in the progress of resumption. A few plants saw inventory accumulate somewhat as they restarted production earlier and new orders were limited after the holiday.