China's Polyester Yarn Exports Surge in First Half Of 2023

China's polyester yarn exports in the first half of 2023 reached 240,000 tons, up 32.6% year-on-year, according to the data from the General Administration of Customs of China¹. The export value was 1.02 billion US dollars, up 49.8% year-on-year. The average export price was 4.25 US dollars per kilogram, up 13% year-on-year.

The main destinations for China's polyester yarn exports were Vietnam, Turkey, Pakistan, Bangladesh, and Indonesia. These five countries accounted for 75.8% of the total export volume. Vietnam was the largest importer of China's polyester yarn, with 93,000 tons, up 36.4% year-on-year. Turkey was the second largest importer, with 38,000 tons, up 24.6% year-on-year.

The main reasons for the surge in China's polyester yarn exports are:

- The recovery of the global textile and apparel market after the COVID-19 pandemic, especially in Southeast Asia and Europe, which increased the demand for polyester yarn.
- The competitive advantage of China's polyester yarn industry, which has a large production capacity, a complete industrial chain, a high product quality, and a low production cost.
- The favorable exchange rate of the Chinese yuan against the US dollar, which made China's polyester yarn more attractive to foreign buyers.
- The implementation of the Regional Comprehensive Economic Partnership (RCEP) agreement, which reduced the tariffs and trade barriers among the participating countries, including China and Vietnam.

The outlook for China's polyester yarn exports in the second half of 2023 is optimistic, as the global textile and apparel market is expected to maintain a steady growth, and China's polyester yarn industry is expected to improve its product innovation, market diversification, and environmental protection. However, some challenges still exist, such as the uncertainty of the COVID-19 situation, the rising raw material prices, the competition from other countries, and the pressure from environmental regulations.