“Actually, I expected the price of nylon fabrics to rise, but I didn’t expect it to rise so fast!” Boss Chen in the market recently complained to the author, “Last Friday, I just quoted the price of 380T nylon yarn to the customer. Today. As soon as I got to work, I was informed by the factory that the price of gray fabrics had increased by 1.5 cents, and including the shrinkage rate, it had increased by nearly 2 cents. It really made me want to cry!”
In fact, complaints similar to Boss Chen’s are already common in the market. After the Spring Festival, faced with rising quotations in the nylon market, the frightened downstream market didn’t know how to respond. The market was still busy digesting the previous round of increases, and before it had time to take a breath, another 500 yuan/ton increase notice came down, which once again “stunned” Boss Bu’s thinking.
“Currently, our quotations for nylon fabrics are valid for 1-2 weeks, but in the past it usually took 1 or 2 months. We have to adapt to the changes brought about by raw materials, so now we can take orders for nylon fabrics. The most cautious.” Mr. Zhang, who has been doing spot trading in the Shengze market, also said.
With a monthly increase of 2,000 yuan/ton, raw materials have started to skyrocket
According to the author’s investigation, nylon, the raw material for nylon fabrics, has started to skyrocket in 2017, with market quotations rising again and again. In January, the price of nylon increased by a total of 1,000 yuan/ton. After the Spring Festival, the price of nylon increased by a total of 2,000 yuan/ton. In addition to rising prices, the market also showed a shortage of supply. According to Fujian Heng Relevant sources of Czech nylon said that the current production in March has been sold out, and the market supply is relatively scarce.
The current sharp rise in the price of nylon yarn is mainly driven by the rising price of caprolactam. Since some devices in the caprolactam factory are still not operating at full capacity after the Spring Festival, corporate quotations still maintain an inertial upward trend, thus driving up the price of slices. Coupled with the gradual recovery of the downstream market, the nylon industry has started operations at around 71%. The low industry inventory has continued the enthusiasm of enterprises to start operations. From the perspective of the entire supply and demand pattern, the nylon market has begun to pick up, and demand optimism has further increased.
We will not accept orders of 150,000 meters because they are out of stock!
“I have an order of 150,000 meters on hand, but I can’t take it because there is no gray fabric!” said Mr. Wu, the foreign trade boss. “Because the delivery time is very urgent, it is too late to order the weaving.”
Similar to Mr. Wu’s experience, the supply of high-density nylon yarn in the Shengze area has been tight, which has caused traders to be particularly cautious in terms of delivery dates and quotations when receiving orders. “If I accept the order, the goods will not be delivered, and the gain will outweigh the loss. I would rather lose a few orders, and it is better to be safe.” Mr. Chen said.
In fact, this wave of market conditions can be traced back to the fourth quarter of last year. Since November last year, nylon fabrics with a weight of more than 300 tons have been in demand. Manufacturers with goods on hand have frequently raised their quotations. Compared with polyester fabrics, the price increases by a few cents. Nylon fabrics generally increase by 1 wool or 2 wool. Mao left and right. It is understood that the price of 380T nylon spinning in Shengze area is 4.80 yuan/meter, while the price in the second half of last year was only 3.90 yuan/meter. In addition, not only nylon spinning, but also the prices of fabrics made of nylon have entered the sky. For example, the price of 228T nylon Taslan has soared from 5.20 yuan/meter to 6.10 yuan/meter, which is a large price increase. No wonder some people lamented: Once you stock up, you will make money!
They are afraid to accept orders, the validity period of quotations is shortened, and the price of gray fabrics is rising… Although the market share of nylon fabrics is gradually increasing, the overheated market still makes people feel suspected of speculation. The fabric market is busy taking orders, raising prices, and stocking up raw materials. It is overwhelmed… Facing the coming March, the nylon market may enter a peak demand season. It may no longer be a problem whether prices will rise. The market may become a “positive” market. The market is “price without market”, because the goods are out of stock!
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