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According to China’s Chemical Fibers Association, China’s chemical fi ber industry in 2014 presented such operating characteristics：
Production： The production load of the industry reflected the seasonal regularity with declined overall output.
Price： Synthetic fi ber prices fell sharply in the second half of 2014 owing to the plummeted crude oil prices.
Performance： Chemical fi ber products enjoyed expanded profi t margins thanks to the smaller range of price dropping of products than that of raw materials which fell sharply.
Businesses： The enterprises preferred more rational production and operation to control the market load with declined investment willingness.
Industry： The industry has been gradually accepting and adapting to the “new normal” to further deepen structural adjustments.
Status quo of the industry in 2014 Output
From January to November, 2014, the chemical fiber output reached 40.32 million tons with an increase of 6.5% year on year； the growth rate continued falling compared to the previous years. This is the normal performance of the industry through an adjustment period, as well as an inevitable result of transformation and upgrade .
The production growth increased month by month in the fi rst half of 2014, and presented a downward trend in the second half, especially obvious in the off-season July and August.
Market quotation （See the fi gures on the right side）Inventory
During 2014, polyester filament and polyester staple fi ber presented a very successful destocking in March, and the inventory was in a normal state to the end of June, however, on the low side. The off-season July and August saw a signifi cant increase while the falling came back again in September and October.
Nylon stocks continued to remain high, only a slight decline after September.
Spandex industry though had been getting along all right in its operation, inventories increased signifi -cantly because of the high operating rates.
Investment
Of the industry, the number of new projects reduced 3.97% year on year, a negative growth once again after 2009. The actual investment was 101.239 billion yuan, a year on year increase of 4.74%, down by 16.39 percentage points over the same period of last year. Among them, the polyester industry witnessed a year-on-year decrease of about 20% both in its number of new projects and the actual investment, indicating that the industry investment boom is fading.
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