Mumbai, India: Feedstock, Acrylonitrile rose by 4% in the month of May amid the soaring crude oil prices. Acrylonitrile is a propylene derivative, whose price has been constant since the mid-week of last month. On the other hand, Crude oil-maintained volatility in its value aftermath of the changing relationship between Russia-Ukraine. Further, there is considerable price movement in Acrylic Staple Fibre prices in northeast Asia following crude oil price fluctuations and movements in demand and supply of the market.

In addition, due to the high cost of production and emerging demand, Acrylic Staple Fibre price is growing in Asian Market. Based on consumers-use, the acrylic fibres market is driven into apparel, home furnishing, industrial, and outdoor material. In China, reference prices for acrylonitrile derivative fibres increased as raw material costs continued to rise. The industrial run rate remained average as Jilin Chemical increased operating their units slowly, but other plants recently began working following China's lifting of lockdown restrictions. Downstream demand from the home furnishing and carpet sector received more export orders, so their run rates picked up. Therefore, Asian Market saw an increase in the price of Acrylic Fibre.

"The downstream industry is looking for a cheaper alternative because of the significant price spike in propylene derivative yarns following a steep jump in crude oil prices," according to experts. They expect demand for recycled fibre and yarn to increase in the coming weeks. Because the prices of cotton and acrylonitrile yarn have risen so dramatically, garment manufacturers are struggling to keep up with demand. A trader revealed, Acrylic Fibre is mainly utilised in winter apparel, which is now in short supply due to the ongoing summer season.

According to Chem Analyst’s prediction, "Acrylic Staple Fibre will follow the market trend of acrylonitrile, a propylene determinant, which would be rising on the back of volatile crude oil prices. Meanwhile, demand from the downstream furnishing sector may lift the value chain of this product.