Can Asian Shipping Disruptions and Typhoon Risks Drive Further Increases in USA PFY Prices?

USA Polyester Filament Yarn (PFY) prices increased *.*** during the week ending ** August ****, as higher import costs and shipment delays tightened the U.S. market despite broadly stable production costs in exporting markets. Typhoon Dolphin disrupted cargo movements across eastern China, while rising port congestion and freight rates increased landed costs for U.S. buyers. Resilient apparel consumption provided additional support.

Supply and demand dynamics jointly strengthened PFY prices during the review period. On the supply side, Chinese PFY production costs remained broadly stable; however, Typhoon Dolphin caused torrential rainfall, strong winds, flooding and landslide warnings across eastern China, slowing cargo movements and delaying shipments to the U.S. The resulting congestion intensified as more than *.* million TEU waited for berthing, disrupting vessel schedules. Shanghai-to-U.S. freight rates also increased, with rates reaching approximately $*,*** per **-foot container to the West Coast and $*,*** to...