Sep PTA Inventory to Edge Higher on Sluggish Demand
In mid-to-late August, downstream polyester enterprises cut down production, which reduced the demand for PTA. The monthly PTA destocking speed slow down, hitting a 6-month low. Meanwhile, PTA inventory began to slight rise judging from the supply and demand balance.
1.Reduced demand from polyester & weakened expectation for export
In late August, the consumption for PTA slowed down as downstream polyester enterprises conducted production cut, and thus the weekly PTA inventory edged higher. It is expected that the polyester output will be 4.92 million mt, down 128kt from July. In addition, according to the PTA export data of last month and the PTA export volume survey of this month, it is estimated that the export volume in August is about 180kt, and the export volume is likely to fall to the low point in recent 7 months.
2.Less than expected demand in the peak season
Although the polyester factory temporarily transferred part of the inventory to the terminal through promotion, it was still a fact that the demand in polyester industry Chain is sluggish.
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