Ni Guomiao, Person in charge of polyester team/Lead analyst, CCFGroup, delivered his report of Polyester market outlook amid "structural" capacity expansion.

The report is divided into three parts.

First, the summary of polyester market operations in 2023. Based on the overall macroeconomic capacity situation and downstream conditions, it discussed the industry's operating rates, profitability levels, export performance and domestic demand conditions in recent years. 

Second, Mr. Ni introduced the changes in the polyester market in 2024. From a capacity structure perspective, structural expansions were significant, while new capacity additions for staple fiber and woven fabrics exceeded expectations. In terms of domestic downstream demand, although the cultural tourism market saw a notable recovery, real estate remained weak. Regarding overseas markets, they have already reached the tail end of actively destocking, and the restocking period is approaching. 

Third, the outlook for the polyester market in 2024. It is expected that new polyester capacity additions will be lower than anticipated, and profitability will continue to decline. However, the product spread for polyester filament yarn is viewed positively.