The effect of BIS certification on China's PFY exports

Major PFY exported to India include POY and FDY, followed by PIY, all within the product scope of the BIS certification. Exports of China's PFY to India surged by 266.5% on annual basis in Jan-Apr, 2023, which was stimulated by this news to a great extent. Some players purchased in advance, which was similar to the status in Brazil in 2022.

Exports of POY to India accounted for 29.2% of China's total polyester POY export in Jan-Apr, 2023 and those of FDY to India occupied 33.9% of the total FDY exports. Therefore, if Indian's BIS certification is implemented as schedule, polyester POY and FDY will be the most affected and the effect on PIY may be smaller. Even if they succeed in obtaining certification, factories also need to bear application fees, annual fees, sample inspection fees, and other expenses, which adds to the cost of exports.