Major raw materials of spandex touched bottom in end-Aug

Major raw materials of spandex touched bottom in end-Aug and early-Sep and rose obviously later. BDO plants suffered great losses and ran at low capacity during the first part of Q3, while demand grew after Sep and the spread of pandemic in Northwest China impacted delivery. Price of BDO apparently advanced. Under such circumstance, price of PTMEG also surged and saw bigger increment. Price of MMDI soared too. Major feedstock cost of spandex hiked by 4,700yuan/mt compared with the lowest level in Q3. Spandex suppliers were active sellers in Sep and raised price in mid-Oct with tight supply. Price of spandex spiked consistent with the feedstock market while the cash flow of spandex did not recover much.