impacting more on PET bottle chip supply side than that of demand side

Beverage producers, which are the main downstream of PET bottle chip, will generally arrange annual maintenance during this period of time, and the demand for PET bottle chip will be greatly weakened. However, under the“dual controls”on energy consumption and energy intensity or the amount of energy consumed per unit of GDP this year, the upstream energy sector is the most affected, with coal and fuel costs continuously rising. It is not uncommon for factories to operate normally in the morning and stop production by emergency notice at noon, and some areas in Northeast China even cut off power without advance notice, triggering heated discussions on internet and media. Affected by this policy, provinces with poor completion of carbon emission target have increased power cuts. Operation of several polyester plants in Jiangsu have been significantly affected, bottle chip capacity reduction has also achieved 450kt/year. During bottle chip off-season when industry run shall decline significantly, the“dual-controls”has been impacting more on PET bottle chip supply side than that of demand side.