TAIWAN: August MMF output dropped 12.1 percent

TAIPAI: Taiwan's man-made fiber sector has experienced a weakness in output across all products. Monthly output has now fallen fourteen consecutive months. August output, highest output since March, totaled 257,522 tons represented a 12.1 percent year-on-year decline. January through August cumulative MMF output reached 1,919,534 tons, which reflected a 16.1 percent year-on-year decline.

In the polyester filament sector, output has fallen for 17 consecutive months. August output of polyester filament reached 69,556 tons, which reflected a 16.4 percent year-on-year decline. January through August cumulative filament production totaled 533,094 tons, which reflected a 20.2 percent year-on-year decline; this weakness followed a 2.4 percent decline in 2004. 

In August, polyester filament fabric production totaled 106,964 tons; this reflected a 13.9 percent year-on-year decline. January through August cumulative fabric output reached 829,256 tons; this reflected a 17.4 percent year-on-year decline.

Taiwan is one of the top MMF producers in the world outside of Mainland China. The sector depends heavily on Chinese demand.

Outside of China, a glut of overcapacity is keeping the price below the cost of production.  The raw materials used to produce man-made fibers have risen significantly in 2005 -- naphtha prices are up 28 to 30 percent, PTA is up 10 to 12 percent and paraxylene is up 15 to 17 percent.

Taiwan: Textile, MMF, Yarn, Fabric and Apparel Output
Year Polyester Polyester Apparel MMF
Filament Fabric

(tons) (1,000 m2) (dozens) (tons)
1995 792,190 1,820,070 37,754,000 2,583,000
1996 900,670 1,598,360 33,299,000 2,766,200
1997 1,025,670 1,833,720 32,300,000 3,043,290
1998 1,158,230 1,982,270 33,480,000 3,197,690
1999 1,169,540 2,210,030 31,756,000 3,254,710
2000 1,159,660 2,358,130 27,605,000 3,308,340
2001 1,107,980 1,986,050 21,885,000 3,148,770
2002 1,069,160 1,836,870 18,581,000 3,357,840
2003 1,003,810 1,633,190 15,978,000 3,332,800
2004 978,900 1,482,300 14,731,000 3,341,900
January - August


2004 667,740 1,004,220 9,946,000 2,287,100
2005 533,094 829,256 7,889,000 1,919,534
% Chg -20.2 -17.4 -20.7 -16.1

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Added: October 4, 2005 Source: Agencies
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