On February 4th, Huafon Chemical announced that the company plans to invest in the construction of an expansion project for the production of 200,000 tons per year of high-performance, low-carbon, and digitalized spandex new materials in the chemical industrial park of Ruian Economic Development Zone, with an estimated total investment of 3.6 billion yuan. Chempricehub's analysis of spandex shows a bearish score of -1.5. Huafon Chemical's investment in the construction of a 200,000-ton-per-year high-performance, low-carbon, and digitalized spandex project, with an estimated total investment of 3.6 billion yuan, will significantly increase market supply. Against the backdrop of current demand not growing in sync, the new production capacity may lead to oversupply, putting downward pressure on spot prices of spandex and negatively impacting market sentiment.