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Polyester capacity expansion to drive up PTA demand
Jan '11
China's PTA industry will increase production capacity by 4.4 million tons in 2011, while polyester industry will increase production capacity by 5.3 million tons.

Though their new capacities basically match, looking at the putting in to operation time of new capacities, more production capacity of polyester sector will be put into operation in the first half of 2011, against that of new PTA capacity. Therefore, PTA supply will be tight in the first half.

By the end of 2010, China had a total polyester production capacity of 35.8 million tons / year. China's PTA demand is 30.97 million tons, based on calculation of producing 1 ton polyester by consuming 0.865 tons of PTA.

According to calculation of 80 percent operation rate of polyester and 90 percent operation rate of PTA, China's PTA shortfall will be 6.8 million tons and will still have to rely on imports and import figures are expected to be above import data in any previous calendar year.

Fibre2fashion News Desk - China

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