In March 2023, demand fell short of expectations, downstream procurement was cautious, and the market performance of viscose staple fibers was calm. Prices were basically stable, with strong supply and weak demand. The factory remained firm and stable in price, and negotiations were held for slight discounts. A new round of quotes for imported broadleaf dissolved pulp from upstream raw materials has been introduced, at $920 per ton, which is unchanged from last month. The operating rate of the viscose staple fiber industry is basically maintained, with sufficient supply. The downstream market for human cotton yarn remains stable, and the downstream demand for human cotton yarn is still mainly for procurement. The transaction atmosphere is relatively average, and the start of construction is basically maintained, but the recovery is not as expected. At present, it is difficult for the demand in the end market to significantly improve, and yarn enterprises are also difficult to have a strong position. They often adjust their negotiation space based on their own shipment situation.

According to the price monitoring of Business Society, as of March 31, the factory quotation for 1.2D * 38mm adhesive staple fiber in China was 13320 yuan/ton, a decrease of 40 yuan/ton from the beginning of the month, and the price was basically stable.

In March 2023, the downstream market for human cotton yarn continued to operate steadily, and the downstream demand for human cotton yarn was still the main demand for procurement. The transaction atmosphere was relatively average, and the start of construction was basically maintained, but the recovery was not as expected. At present, it is difficult for the demand in the end market to significantly improve, and yarn enterprises are also difficult to have a strong position. They often adjust their negotiation space based on their own shipment situation.

According to the price monitoring of the Business Society, as of March 31st, the average ex factory price of human cotton yarn (30S, ring spinning, first-class product) was 17666 yuan/ton, which is basically the same as the price at the beginning of the month.

Future Market Forecast

The market supply is relatively sufficient, and the overall purchasing and sales atmosphere in the short-term market is limited. Large viscose staple fiber factories still focus on executing preliminary orders. In the absence of significant improvement in terminal demand, analysts from Business Society predict that the prices of viscose staple fibers and rayon yarn may continue to remain stable in the short term, and the market is waiting for or will introduce a new round of pricing policies.