Price of mono-ethylene glycol (MEG), a major raw material for polyester, is expected to rise moderately in the Chinese market in coming months due to an increase in demand and prices of crude oil and crude oil derivatives. MEG price in China may reach 5,404.53 yuan per mt in December 2021, increasing by 9.34 per cent over the price in June 2021.The price showed a considerable increase in Q1 2021. It went from 4,506.67 yuan per mt in January 2021 to 5,594.35 yuan per mt in March 2021, recording a jump of 24.13 per cent. However, it decreased in Q2 (June 2021) to 4,942.67 yuan per mt, dropping by 11.65 per cent over the price in March 2021, according to Fibre2Fashion’s market analysis tool TexPro.
In Q1 2021, MEG price rose due to active trading and rising oil prices. The MEG port inventory also decreased as traders bought it. In Q2 2021, the price decreased owing to declining futures basis and dwindling crude oil prices.
Price of mono-ethylene glycol (MEG), a major raw material for polyester, is expected to rise moderately in the Chinese market in coming months due to an increase in demand and prices of crude oil and crude oil derivatives. MEG price in China may reach 5,404.53 yuan per mt in December 2021, increasing by 9.34 per cent over the price in June 2021.#
Fibre2Fashion News Desk (KD)