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Electric costs to increase. Nylon sector will feel impact
Nov '09
The National Development and Reform Commission announced on November 19 that the average rate of nationwide non-civilian electricity would increase by 0.028 Yuan per unit, starting from November 20 this year. The announcement, in all probability will derail the recovery of textile industry.

According to estimates of industry experts, costs of chemical fiber industry will increase by about 4.4 billion Yuan per year due to increased electricity price and which is equivalent to 6.98 percent of the industry profits over the same period.

Experts believe that nylon industry will be impacted heavily by increased electricity costs, due to its poor earning conditions, while the traditional, big consumer of electricity; viscose fiber industry is in a better position to absorb increased electricity costs.

Fibre2fashion News Desk - China

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