23 December 2011
Viscose prices remained stable in the last seven days in China, as indicated by our weekly report offering a comprehensive view of the market, from cotton linter and cotton pulp prices down to viscose staple fiber and spun viscose yarns. The viscose filament market is also being covered, in addition.
Viscose prices are no more moving in China with average price for benchmark 1.5D staying at 15,950 yuan per metric ton in the last seven days.
Viscose staple fiber (VSF) prices have sharply declined in the last months and could now be more stable in the coming period.
Compared with cotton and polyester, VSF prices more heavily dropped offering a clear advantage to viscose fibers in substitution process in China.
Raw material costs of viscose producers did not change in the past seven days, either, with cotton pulp prices now stuck at 8,650 yuan..
The fiber/pulp spread was relatively preserved in the last three months, meaning that margins did not fall for the viscose staple fiber industry.
VSF makers could therefore be able further lowering their prices in order to revamp demand.