International oil price set a record high reaching nearly US $97 a barrel on the week, led to increasing freight charges as well. Observing this, chemical fiber cloth manufacturers also followed the price hike, which threw the cloth traders in China Light Textiles City at a loss.
Volatile international oil price has its impact on every industry. For textiles, every 10 percent rise in oil means about 50 percent increase in international sea freight and some 20 percent boost in synthetic fabric costs.
Boost in oil price has affected the production cost of chemical fiber, as PTA the major components of chemical fiber cloth are extracted from crude oil.
Presently, producers from China light textiles city are looking forward for fall in prices of crude oil.
Fibre2fashion News Desk - China
marketing@alchempro.com
