Recycled PET: Sideways Movement in Range-Bound Trading

1. Today's Abstract

①、 Today, the mainstream price for pure white net flakes of imitation Dahua grade in Jiangyin is around 4500 yuan/ton, and the mainstream price for blue-white net flakes of imitation Dahua grade is around 4100 yuan/ton.

②、 Today's PTA spot price is +38 at 5010 yuan/ton, ethylene glycol is -43 to 3595, the equivalent polymerization cost is 5487.88, compared to the previous trading day. Rose 18.09. (Yuan/ton)

2. Spot Overview

Based on the Jiangsu region, the price of high-quality recycled polyester staple fiber (virgin-like) closed at 4,500 RMB/ton today, remaining stable compared to the previous period. With temperatures dropping and snow falling across many parts of the country, the collection of PET bottles has become difficult, leading to limited market supply. The operating rates of baling stations and washing plants are low, and they are mostly holding prices firm and reluctant to sell. However, as the twelfth lunar month begins, downstream factories are gradually reducing their production, and insufficient order support has led to poor sales for recycled chemical fiber plants. Under a strong cost-control mindset, they are mostly making cautious and needs-based raw material purchases. Amidst this supply-demand standoff, the price of recycled PET flakes is consolidating.

Figure 1: Domestic Recycled PET Price Trends (Unit: RMB/ton)	Figure 2: Price Trends of Recycled PET in Various Regions of China (Unit: RMB/ton)
Data source: Longzhong Information	Data source: Longzhong Information

3. Production Dynamics

The weekly utilization rate of recycled PET production capacity was 43.0%, a decrease of 0.2% from the previous period. The price drops for both washed clear/cullet PET flakes and recycled PET flakes were the same this week. Recycled PET profit remains stable. Daily profit of recycled PET is 200 yuan/ton.

Figure 3: Trend of Domestic Recycled PET Capacity Utilization Rate	Figure 4: Comparison of Recycled PET Profit and Price (Unit: Yuan/Ton)
Data source: Longzhong Information	Data source: Longzhong Information

4. Price Prediction

The market for bottle-grade PET is experiencing limited tradable supply, and the outlook for washing plants is not optimistic, leading to limited profit margins. Raw material purchasers are strongly inclined to press for lower prices, while sellers are determined to hold prices firm.Due to sluggish terminal demand, recycled chemical fiber plants are seeing limited production and sales. With a cost-control mindset, their raw material procurement remains cautious and primarily driven by rigid demand. The recycled PET flakes market is expected to consolidate within a range in the short term.

5. Related product information

Polyester chip market: As of press time, Polyester Chips Today Market half-gloss futures closed at 5765 semi-dull chips and bright chips closed at 5820 RMB/ton, up by 10 and remaining stable respectively compared to the previous working day. In the afternoon, the linkage between stocks and futures intensified, while supply and demand expectations improved. PTA Price Polyester chip market transaction sentiment has warmed up significantly due to a strong upward trend, with mainstream factories experiencing varying degrees of increased sales. 。