Her report is divided into three parts:

Part 1: review of the 2025 polyester market

In this section, Ms. He reviewed the 2025 polyester market data covering product prices, profitability, capacity, operating rate, output, imports and exports, and inventory level. The 2025 polyester output value was affected by the price decline driven by crude oil. Profits in the upstream of the polyester industrial chain were concentrated in PX; product profitability was mainly driven by fiber products, while non-fiber products suffered losses. Exports of polyester products performed well in 2025. Factory inventories of fibers declined to a certain extent, as did social inventories of fibers, while inventories of terminal finished products remained high with a moderating trend.

Part 2: Supply and demand outlook for polyester in 2026

In this section, Ms. He explained the capacity expansion of polyester in 2026, drivers of terminal demand, output of the industrial chain, and demand expectations. In 2026, PFY producers will need to adjust operating rates to balance inventories and profitability. Overseas downstream capacity expansion of fiber terminals has grown significantly, driving a rapid recovery in the growth rate of direct fiber exports. Domestic textile and apparel consumption will bottom out amid phased policy stimulus. However, polyester output and demand in the second half of 2026 will be constrained by raw material supply.

Part 3: Future trends of the polyester industry

Ms. He pointed out that the industrial chain will face risks such as inventory depreciation caused by fluctuations in raw material prices, carbon neutrality, international trade barriers, and cyclical risks in the second half of the year. Meanwhile, there are multiple development hotspots, such as green development and product innovation.