The Asian PTA market (Purified Terephthalic Acid) in China, witnessed a notable price decline in August xxxx, despite the challenges posed by Typhoon Gaemi. This downturn was primarily driven by a reduced demand from downstream industries including packaging and textile, supply chain improvements, and lower feedstock costs including Propylene and upstream Crude oil prices.
The downstream packaging industry, a major consumer of PTA, experienced a slowdown in demand, leading to decreased PTA consumption. This sluggishness was exacerbated by the economic uncertainties and subdued consumer sentiment prevailing in the region. As a result, several production units within the packaging sector operated below capacity, further dampening demand for PTA. While Typhoon Gaemi disrupted industrial activities and transportation in the affected areas, the impact on the overall market was mitigated by several counterbalancing factors. Notably, the PTA supply chain showed signs of improvement. Polyester operating rates rose to around xxx,...
