home textiles suppliers don\'t see polyester price hikes yet.
Although recent market indications suggest that major polyester fiber producers are proposing price increases at the same time as layoffs, it is unclear how the home textile market will be affected.
In June 7, dupont, the world\'s largest polyester producer, said it would cut 900 jobs, or 19% of its polyester workforce.
This is part of a total of 1,400 jobs canceled by its Global Polyester enterprise sector, including resin, intermediate resin and film.
Most of the cuts will be felt in the United States. S. operations.
DuPont currently has about 4,800 employees in its polyester business, of which about 1,800 are external contractors.
Meanwhile, DuPont said it would reduce its annual polyester production capacity in Kingston and WilmingtonC.
About 10% facilities.
Starting in the fourth quarter of this year, these initiatives are expected to save DuPont about $90 million.
The chemical and fiber maker says it needs
The time cost of the separation cost of about 4 cents per share in the second quarter is reviewing other assets
A total of four cents could be added per share.
Layoffs are the latest phase of DuPont\'s massive restructuring of $2.
8 billion polyester businesses were announced earlier this year.
Another key factor includes a joint venture with Alpek, Mexico, Teijin, Japan, and Haci Omer Saburo Holding AS, a Turkish producer, to produce polyester silk products for specific global markets.
Prior to DuPont\'s layoff, reports were released by it and its competitors KoSa and Nan Ya Plastics.
The United States says it intends to increase the price of polyester fiber by 16%, effective from orders at the end of June and early July.
However, how serious the impact of higher fiber prices on home tile manufacturers is uncertain, as the only topic Miller executives are less willing to discuss is profit margins, for example, fiber procurement.
However, several executives at the largest home textile factory did say in a backstage speech that they had not yet seen a rise in the price of polyester fiber.
This may indicate that fiber companies are still testing water or are not ready to pass on growth to their best customers.
Some executives have further ventured that the absence of an increase in domestic fiber prices could be evidence that fiber manufacturers are targeting factories in the apparel industry.
Fiber Manufacturers have seen polyester prices fall
1995. the economic crisis in Asia has further deteriorated.
Weak prices and low prices have become a burden on the market.
Cost imports, manufacturers find themselves competing with cash
Hungry Far East suppliers sell fiber at the lowest level below the spot market price.
While these economies have begun to rebuild, companies such as DuPont, Kosar and Wellman have launched drastic strategic reforms to keep up with the pace.
On April, Wellman postponed the third time indefinitely. quarter start-
The pound polyester staple fiber production line in pilriver, Miss.
The company also reported that it would conduct a comprehensive review of its overall polyester business.