The PTA market continues its upward trend amid a tug-of-war between solid actual costs and expected supply recovery.

Introduction: This cycle, industrial chain prices rose. The mutual attacks between the US and Iran broke the ceasefire agreement, the Islamabad Memorandum of Understanding remains fragile, and the premium on crude oil has increased, boosting commodities and costs. Actual industrial supply and demand are favorable, with destocking occurring. However, concerns about the restart of upstream and existing capacity, coupled with weak demand, have restrained market gains.

Key Points:

1. Domestic PTA weekly output this cycle: 1,020,000 tons, down 14,000 tons from last week.
2. Domestic PTA weekly capacity utilization rate this cycle: 53.23%, down 0.65% from last week.
3. Polyester industry average weekly operating rate this cycle: 80.06%, up 0.38% from last week.
4. PTA social inventory this week: approximately 2,364,900 tons, down 354,200 tons month-on-month.
5. Average PTA processing fee this week: 539.18 yuan/ton, down 100.64 yuan/ton from last week.

Table of Contents:

1. Strait Risk Ferments, Cost-Driven Price Rise
2. Geopolitical Tensions Boost Costs, PTA Processing Fees Compressed
3. Supply Decreases, Demand Increases, Balance Sheet Continues to Destock
4. Concerns Over Refining Capacity and Own Supply Return, Prices Consolidate with Costs