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Supply of PTA outstrips demand in China

12
Aug '09
In recent years, production capacity of PTA in East Asia, including China, has grown very fast. The PTA capacity across Asia has mainly focused on China. The Commerce Ministry had announced an anti-dumping investigation in to PTA imports.

But, analysts aver that this hardly going to make a difference since, supply exceeds demand and everything depends on the demand consumption from the lower reaches of the textile industry, holds the key to stability of PTA prices.

Polyester staple fibre accounts for more than 80 percent of total demand for PTA, which are then mainly, consumed in production of polyester products like textile materials, packaging film, beverage bottles etc.

The impact of the economic crisis has been severe and the major destinations for China's textile exports have shown severe decline in trade and too add to that are the protectionist measures adopted by the majority of countries.

Fibre2fashion News Desk - China


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