Hong Kong — September 10, 2013 — China’s manmade fibres capacity has been growing until quite
recently at an average 15% a year; well in excess of global demand which over the period 2000-10
grew on average at just under 5%.
Over this period, while Chinese capacity was growing so rapidly, the rest of the world
experienced capacity decline at 1.3% a year. Outside China only two products which hardly
exist there, lyocell staple and polyester BCF carpet yarn, saw measurable growth; at 3.4% and 25%
respectively. In other fibre types, such as acrylic staple, nylon textile filament and nylon
staple, there was distinct decline, in the range 5-10% a year.
Within China, viscose staple grew over the decade at nearly 14% a year, nylon textile
filament at 16%, nylon BCF (albeit off a very low base) at 18%, polyester textile filament at 15%,
polyester industrial filament at 31%, polyester staple at 16% and spandex at an astonishing 38%.
As part of the PCI Fibres Conference 2013 to be held 7/8 November at the JW Marriott Hotel in
Hong Kong, a team of industry specialists from the PCI Consulting Group will conduct a Workshop to
discuss this apparently uneven development of fibres capacity, and consider whether the pattern of
growth is likely to change, and to what effect.
Since 2010 a number of new plants have been installed and others are in construction or
advanced planning. It is already possible to determine the broad pattern for the period
2010-15. Capacity growth in China is expected to ease back in this period to 10% a year,
while elsewhere there are signs of some expansion, at a rate of just over 3%, led in particular by
India, but also some parts of South East Asia.
But even the slower rate expected for China has a major impact on the rest of the
world. In scale, China added nearly 53 million tons of manmade fibres capacity over 2000-10
(while the rest of the world lost nearly 6 million). In only half that time, from 2010 to
2015, China is forecast to add another 45 million tons per year (while elsewhere 7 million is
added). Expansion in China is a little slower now, but it will continue to influence
operations in other markets; although affecting the various fibre types differently. China
will continue to set the pace in nylon textile filament, in polyester textile filament and in
polyester industrial filament; but in other fibres there is expected to be a more even global
expansion. How all this change affects the various points along the supply chain will be at
the heart of the PCI Fibres Conference Workshop.
For further details, and to take advantage of the limited number of hotel rooms, available up
to 4 October at a special conference rate, please contact Mrs Janet Brooks at
jbrooks@pcifibres.com.
Posted September 17, 2013
Source: PCI Fibres