PTA operating rate rising, the impact from Shenghong’s PTA plant shutdown has winded down

In a conclusion, with PTA operating rate rising, the impact from Shenghong’s PTA plant shutdown has winded down, and the pressure on PX has relieved. As PTA margin is in negative territory, PX-naphtha spread may recover some losses. There could still be pressure from PX plants’raising operating rates and restarts, and demand from PTA could be affected by polyester and end-use plant operating rate cuts prior to the spring festival starting from end-Jan.