The global synthetic fiber price index fell by 6.3% in October on top of an almost 5 percent drop in September, capping a 13-month slide in the measure, according to recent data from consulting firm PCI Fibres.
Though the falling price of cotton has put tremendous pressure on synthetic pricing in the past several months, declining crude oil prices, which have fallen by more than 10 percent since early September, and the resulting ingredients cost declines, have been the most recent cause of the downward pressure on manmade fiber pricing, helped along by overcapacity in fiber and raw materials production in Asia for both nylon and polyester.
In Asia, the world’s largest fiber-producing region, synthetic fiber prices fell by more than almost 8 percent in the month, their biggest decline in five months.
Most of the drop was due to declining polyester filament and staple prices in both China and India. The biggest drop in polyester prices actually occurred in the first three weeks of the month, followed by a bottoming out and slight rise in the last week. However, these remain far below their pre-holiday levels of September, and are not expected to firm appreciably as long as intermediates prices remain low and apparel market growth remains sluggish.
Asian nylon (polyamide) prices, after being relatively stable in September, also fell in October due to lower intermediates prices.
Spandex prices held on in the month despite reported soft demand because of tight supply. Spandex makers have enjoyed improved margins due to significantly lower intermediates costs. In China, PTMEG prices fell a reported 1 percent in the month.
Asian synthetic fiber prices are more than 21 percent below the world average.
The European synthetic fiber price index fell by almost 10 percent, the biggest plunge in more than two years, though European synthetic prices remain 19 percent above the world average.
The U.S. index was flat, putting the U.S. synthetic fiber prices index at almost 54 percent above the global average.
Belk is bucking the department store trend with plans to open new stores.Read more
In an effort to align itself with consumers’ current shopping habits, luxury retailer Neiman Marcus has announced reorganization plans that includes eliminating jobs and putting Last Call under the microscope.Read more
The International Trade Commission’s Year in Trade report for 2016 shows mixed results in trade among free trade agreement partner countries and trade preference program nations.Read more
This week in footwear: Rocky Brands, reported second quarter net sales were $58.5 million, plus German shoe brands continue to make an impression on the U.S. market.Read more
The Better Cotton Initiative continues to grow from farm to shelf, as its mission of making cotton production more sustainable and the lives of small cotton farmers better expands around the world.Read more
If done right, it could cost less to make a shoe in America than to make that same shoe in China.Read more
Walmart is ramping up in store offerings with its latest pickup tower expansion.Read more