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Research | Time:May 13 2016 10:38AM
Nylon textile filament plants' survival status under the environment of oversupply
 
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Preface
Since 2011, nylon 6 industrial chain had been into capacity expansion boom, and market was overburdened with increasing supply with a broken balance entering 2012. Problems were surfacing, giving a headache to nylon enterprises, with expansion and overcapacity continue.Competition amongst NFY plants raged on, and producers shall confront their own merits and demerits to improve their competency.

Main content:
I. Problems faced by NFY plants
1.1. Deficits amid oversupply most of the time
1.2. Arrearage is eased, but hard to be solved
1.3. To scrape the overcapacity may be the only option
II How to deal with problems
2.1. Conventional products may face vicious competition
2.2. Key point of high-grade differential products is refined
2.3. Plants shall not follow up blindly in small fields
2.4 Survival is essential and innovation can bring opportunity

Chart
Chart 1.NFY O/R,capacity utilization and growth rate contrast
Chart 2.Price and profit of nylon 6 FDY in 2015-2016
Chart 3.Account recevibles in NFY plants(based on full capacity daily output)
Chart 4.CPL,nylon 6 chip and NFY capacity utilization contrast
Chart 5.CPL and nylon 6 chip capacity utilization contrast
Chart 6.NSF price and cash flow trend


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