In June 2024, Asian Non Woven Fabric market showed an overall prices stability. Monthly prices remained steady, while weekly fluctuations indicated mixed sentiments in Non Woven Fabric pricing.

In the first week of June 2024, the Asian Non Woven Fabric market saw a bullish trend, witnessing a 1.1% price increase in China. This upward movement was driven by higher production costs, notably with primary feedstock polypropylene (PP) experiencing a 1% uptick in the domestic market due to increased Propylene prices and escalated ocean freight charges. Concurrently, demand for PP, a key material in Non Woven Fabric production, remained robust within the plastics manufacturing sector.

During this timeframe, demand for Non Woven Fabric in the domestic market remained subdued, primarily reliant on contract orders as overseas demand declined. However, the supply of Non Woven Fabric faced some constraints, primarily due to limited availability of polypropylene feedstock. This scarcity was exacerbated by increased demand in various manufacturing sectors of PP, particularly plastics, and delays in shipments caused by port congestion at major Asian ports. As of June 10, the price of sea freight containers from East Asia to the West and East Coasts of the United States increased by 17% and 12%, respectively, from the previous week. Freight rates on European and American routes surged significantly, with some routes experiencing daily price changes. In some cases, rates skyrocketed by over 50%, impacting Non Woven Fabric trade over this period.

However, In the latter part of the June, Non Woven Fabric prices in the domestic market experienced a downturn of about 1%, mainly due to weak demand from downstream sectors. The lack of substantial activity in these sectors contributed to the decline in prices. Meanwhile, polypropylene feedstock prices remained steady throughout the period, exerting little impact on overall production costs. The market benefited from sufficient material supply and continued production levels, which helped alleviate price pressures.

In terms of production, data from the National Bureau of Statistics indicates that from January to April, Non Woven Fabric enterprises saw a 10% year-on-year increase in output, marking a return to double-digit growth since April 2021. Additionally, the ongoing release of consumption potential in the automobile market boosted the output of fabrics by 16% year-on-year. Furthermore, the export of Non Woven Fabric maintained positive momentum, with an export volume of 470,000 tons and a value of USD 1.3 billion, reflecting year-on-year increases of 18% and 6%, respectively. In contrast, the export of disposable sanitary products (such as diapers and sanitary napkins) declined, with an export value of USD 1.1 billion, representing a slight decrease of 0.6% year-on-year.

In conclusion, analysts anticipates that Non Woven Fabric prices may continue to decrease in the first half of July in the Asian market, attributed to insufficient support from feedstock and constrained demand.