In May 2023, the market performance of viscose staple fiber was calm, with a new price implemented in the early part of the month, and the price remained stable after a slight increase. The transaction atmosphere is relatively average, and the raw material inventory of the yarn factory is maintained until mid June. The demand for human cotton yarn is not strong, and the price increase is weak. The yarn factory is mainly wait-and-see, and new orders are scarce. There is not much change in production costs, raw materials are maintained, and cost support is limited. The price center of raw material dissolved slurry remains stable, with the domestic market mainly maintaining stability; The price of imported dissolved pulp is basically maintained, with broadleaf dissolved pulp around 900 US dollars/ton and needle leaf dissolved pulp around 920 US dollars/ton.

According to the Commodity Market Analysis System of Business Society, the center of gravity of viscose staple fiber prices slightly moved up in May. As of May 30th, the domestic factory quotation for 1.2D * 38mm viscose staple fiber was 13360 yuan/ton, an increase of 80 yuan/ton from the beginning of the month, with a monthly increase of 0.60%.

Downstream cotton yarn market

Downstream people’s cotton yarn is relatively stable, with average transactions and prices basically maintained. However, some enterprises have experienced price reductions and promotions under inventory pressure. According to the Commodity Market Analysis System of Business Society, as of May 30th, the average ex factory price of people’s cotton yarn (30S, ring spinning, first-class product) was 17566 yuan/ton, which is consistent with the price at the beginning of the month. At present, it is difficult for the demand in the textile terminal market to significantly improve, and yarn enterprises are also difficult to have a strong position. They often adjust their negotiation space based on their own shipment situation.

Future Market Forecast

Recently, the market supply has been stable, and the overall buying and selling atmosphere in the short-term market has been limited. Viscose staple fiber manufacturers are still mainly executing early orders, and some viscose staple fiber manufacturers have the intention to push up. However, in the absence of significant improvement in terminal demand, business analysts predict that the prices of viscose staple fibers and rayon yarn may continue to operate steadily in the short term, and the market is waiting for or will introduce a new round of price policies.