In China, FDY70D/24F SD prices surged US cents 19 a kg in the second week of December while FDY40D soared US cents 16 a kg on the week. DTY 70D/24F prices were up US cents 12 a kg on the week while 30D/10F rose US cents 16-26 a kg during the week.

Monofilament 30D prices were up US cents 27 a kg, while nylon staple fiber 1.5D prices surged US cents 26 a kg on the week.

Nylon filament yarn prices soared given higher raw material cost which in turn eroded margins. Thus, suppliers trimmed run rates to below 70% with cautious mentality. Higher cost may lead to further profit margins erosion and affect yarn production. In the short run, producers may cut down production slightly.

Demand for warp?knitting, weaving and AJ covering sectors witnessed smooth sales while circular?knitting mills and lacing mills ran at lower rate. Currently, buyers were cautious to follow up given surging nylon prices. The market appeared to be notional as no firm bids or offers were heard on the week.

Courtesy: Weekly PriceWatch Report