Will the China polyester chain bounce back in H1 2023?

In December 2022, China took a U-turn and scrapped its Dynamic Zero-Covid policy which featured harsh lockdowns, controls on people’s movement and mass tests. China’s economy, once heavily depressed by the policy, finally managed to shake off its shackles. The policy changes have shored up sentiment in China’s polyester market and transformed outlooks on fundamentals since we published the H2 2022 long-term services. This report will summarise fundamental market movements and update our most recent outlook on major products along the polyester value chain.