VSF plants are less likely to keep selling fibers at low prices

Even if some fixed costs are excluded, the production of VSF will cause continued loss of cash flow. Under such circumstance, even if some market factors are bearish, VSF plants are less likely to keep selling fibers at low prices. The price of VSF will probably rise in Oct.

It is noteworthy that the leading role of cost just exists when VSF price is low. If VSF rebounds to high level, the main contradiction in the market will change again and the operation of each link shall be determined by circumstances.