Influence of spandex price surge

Another factor affecting downstream mentality is the surging price of spandex. Spandex has continued rising since the fourth quarter of 2020, spandex 40D has risen by 180% compared to the lowest rate in 2020, and the growth of some sources is even more.

As the "accessories" in the production, the cost of spandex has risen above that of the "main materials". Recently, some traders had yielded in prices to promote sales, while some spandex plants were still raising offers. But for downstream buyers, they already began to worry about future downward risks, and they had already took a cautious mode of purchasing, and has lowered the operating rate moderately. They are controlling the risks by the strategy of“order first and then replenish feedstock”. As the main material, purchasing of nylon has also been affected.