Nylon Overview Transcript
Nylon is widely used in the manufacture of hosiery, garments, straps, ropes, filaments, nets and tyre cords.
It is often replaced by cheaper-cost polyester as a synthetic fibre. But demand for nylon remains strong in certain technical niches such as women’s hosiery and intimate apparel, because of its fine deniers, dark colours and durable textures. Tyre cord is also one of nylon’s strongholds.
Currently China is the world’s largest producer, consumer, importer and exporter of textiles.
Downstream demand growth for nylon is gradually concentrating in China and is regarded by many industrial players as the only location where important capacity additions can occur.
China relies heavily on Taiwan’s production capacity, currently importing more than 70% of the nylon chips consumed by it’s domestic nylon yarn market.
Demand is higher during the peak manufacturing season during the spring and autumn.
One of the key price drivers for nylon is the feedstock caprolactam prices which is fundamentally tight.