Fabric Products,Fabric Information,Fabric Factories,Fabric Suppliers Fabric News The violent rise in oil prices has caused cloth oil to rise by more than 40%. Is a big turning point coming? There is an undercurrent in the polyester market!

The violent rise in oil prices has caused cloth oil to rise by more than 40%. Is a big turning point coming? There is an undercurrent in the polyester market!



U.S. President Trump recently stated in a high-profile manner that he believes Saudi Arabia and Russia will reach an agreement within “a few days” to end the oil price war. He recently had separate …

U.S. President Trump recently stated in a high-profile manner that he believes Saudi Arabia and Russia will reach an agreement within “a few days” to end the oil price war. He recently had separate phone calls with the leaders of the two countries.

He also said that he has invited US oil company executives to the White House to discuss the new crown epidemic pandemic How to help U.S. energy companies in the context of the oil price war.

Brent oil rose violently, rising by more than 40% to US$34.56 per barrel. U.S. oil rose more than 30%, exceeding $26/barrel.

Trump told the media on the 1st that he expected Saudi Arabia and Russia to reach an agreement within a few days, thus reducing the oil production, reviving oil prices.

“Globally, the oil industry has been severely damaged.” He said, “It’s very bad for Russia, it’s very bad for Saudi Arabia. I think it’s bad for both sides.” It has caused harm. I think they will reach an agreement.”

A Saudi source revealed to the media on the 1st that Saudi Arabia supports cooperation among oil-producing countries to stabilize oil prices. However, Russia had previously opposed further production cuts, leading to the outbreak of a price war between Saudi Arabia and Russia.

The U.S. government will soon send former White House Middle East adviser Victoria Coates to Saudi Arabia as a special envoy, hoping to persuade Saudi Arabia to reduce oil production.

On March 30, Trump also made a special call to Russian President Putin to discuss oil prices and other issues. The Kremlin said in a statement released after the phone call: “The leaders of the two countries exchanged views on the current situation of the global oil market. Both sides agreed to conduct consultations between the United States and Russia through the energy ministers.” The statement did not disclose the ministers of both parties. What will be discussed will be specific, but Russia has previously said it wants to see more countries join efforts to balance global oil markets.

Kremlin spokesman Dmitry Peskov said on the 1st that Russia and Saudi Arabia are currently not having a dialogue on the energy market, and Putin has no immediate plans to have a phone call with the Saudi leader. plan. But he added that such a dialogue platform could be set up quickly if necessary.

Trump said on March 31 that he would participate in talks between Saudi Arabia and Russia on the oil price war if necessary. He also said not long ago that it was “crazy” for Saudi Arabia and Russia to engage in a price war. “I never thought I would say, maybe we have to raise gas prices, because we do,” he said.

The OPEC+ production reduction agreement reached by members of the Organization of the Petroleum Exporting Countries (OPEC), Russia and other oil-producing countries officially expires on March 31, and countries will be free from restrictions thereafter. produce crude oil.

According to industry sources, Saudi Arabia’s crude oil supply exceeded a record high of 12 million barrels per day on April 1. Saudi Arabia has previously said oil exports will soon reach 10 million barrels per day, but has not disclosed how much crude will enter oil storage facilities.

What impact will the rise in crude oil prices have on the textile industry?

For polyester companies, the most troublesome problem at present is the problem of destocking.

The current inventory of polyester filament in polyester factories has reached an unprecedented high level. According to statistics, the overall inventory of the polyester market is now concentrated at 34-45 days; in terms of specific products, POY inventory is around 28-35 days, FDY inventory is around 29-36 days, and DTY inventory is around 34-45 days about.

On the other hand, from the perspective of production and sales, due to the obvious wait-and-see mentality of weaving companies, starting from mid-March, the production and sales of polyester factories have almost only remained at around 40%, and polyester and polyester production have remained at around 40%. Silk stocks increased instead of decreasing.

If the price of polyester products rises driven by crude oil, it will indeed have a positive effect on destocking to some extent. However, under the pressure of high inventories, the rising trend will be difficult to continue.

For weaving companies, the continuous decline of polyester raw materials has also caused certain troubles, but on the other hand, the shrinkage of the foreign trade market caused by the impact of foreign epidemics is the main problem at this stage. contradiction.

According to an industry survey report in Keqiao, 78.4% of local textile companies said that orders were decreasing, and 64.8% reported that existing orders had been canceled by customers.

Due to reduced orders and increased inventory of gray fabrics, many weaving companies decided to implement holidays and reduce production during the peak season of “Gold, Three, Silver and Four”. It is reported that a well-known company will have a holiday starting from April 1st; the boss of Yibu said that it has recently reduced its production capacity to 1/3; at the same time, a company with 300 looms also said that it will shut down some machines in the middle of next month. .And the measures taken by weaving companies to reduce production capacity have severely suppressed the prices of polyester products.

The polyester market is undercurrent. Where will the polyester factories with huge polyester inventories go?

The epidemic is getting worse around the world, and expectations for foreign trade orders in the next few months are not optimistic. Weaving companies have tightened production capacity and improved their ability to withstand risks. In such a situationUnder the circumstances, polyester factories with huge polyester yarn inventories are currently in a very embarrassing position. Perhaps soon, when these undercurrents come together, it will cause a new round of reshuffle in the polyester industry. </p

This article is from the Internet, does not represent Composite Fabric,bonded Fabric,Lamination Fabric position, reproduced please specify the source.https://www.tradetextile.com/archives/36903

Author: clsrich

 
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