Geopolitical tensions have re-emerged, prompting PTA to recover from its losses.

Introduction: This cycle sees a price increase across the industrial chain. Iran has tightened control over the strait, and the US and Iran have broken the ceasefire agreement. Market concerns over a potential renewed blockade of the strait affecting supply have led to a rebound in crude oil, which in turn has restored costs. This has boosted sentiment in commodities and the sector as a whole. With sound industry supply-demand fundamentals, destocking, and consecutive volume releases in polyester production and sales, market prices have risen in stages.

Key Points of Focus:

1. This cycle, domestic weekly PTA output stood at 1,034,000 tons, down 134,600 tons week-on-week.
2. This cycle, the weekly PTA capacity utilization rate was 53.88%, down 6.83% from the previous week.
3. This cycle, the average weekly operating rate of the polyester industry was 79.68%, up 1.22% from the previous week.
4. This week, PTA social inventory was approximately 2,719,100 tons, a decrease of 334,300 tons from the previous month.
5. This week, the average PTA processing fee was 639.83 RMB/ton, down 2.86 RMB/ton from the previous week.