PTA Market Trend Reverses in September Amid Supply Growth and Weaker Demand

In September, the Polyethylene Terephthalate (PTA) market trended upward initially before falling. Prices rose due to rising crude oil and PX costs and tight supplies caused by earlier plant maintenance. However, after peaking mid-month, prices declined as multiple units resumed operations, increasing supply pressure, and downstream demand during the peak season fell short of expectations.

The PTA spot price in East China stood at 7,147 RMB/ton on September 24, an increase of 11.86% compared to the beginning of the month. International crude oil prices initially rose before falling; as of September 23, the settlement price for the November contract of U.S. WTI crude oil futures was $92.16 per barrel.

The restart of units undergoing maintenance in September is largely complete, and domestic PTA production is steadily ramping up. Processing margins remain at relatively reasonable levels, further incentivizing production; the potential for continued supply growth exerts downward pressure on prices.