In 2024, the nylon filament yarn (NFY) market experienced a notable shift from the previous year. While full drawn yarn (FDY) reigned as the star product during 2023, commanding advance orders and supply shortages across specifications, in 2024, the spotlight turned to Drawn Textured Yarn (DTY).

This change stems from underlying shifts in supply and demand. In retrospect, DTY's profit fluctuations have historically been intertwined with surface price trends and demand fluctuations, notably seen during the challenging period in the latter half of 2022. During this time, an influx of new production capacity coincided with decreased consumption due to the pandemic, leading to severe losses.

However, the tide turned in 2023 as the pandemic situation improved and demand surged, particularly driven by sun protection products. This sparked a significant uptick in DTY applications across various sectors, from leisurewear to intimate apparel, and even specialty items like shark pants and Barbie pants. Notably, exports also soared, indicating a broader market embrace of DTY.

In 2024, the demand momentum from the previous year persisted, with a continued focus on porous filament applications. While no groundbreaking new applications emerged, DTY's market resilience outshone FDY due to supply dynamics. Unlike FDY, which saw a rapid expansion in production capacity in response to heightened demand, the DTY market had seen its last significant capacity expansion in 2021-2022. This led to a tighter supply-demand balance for DTY, especially as demand continued to grow steadily in 2024.

Despite the absence of major new applications, the existing DTY capacity is already stretched thin, running at full capacity. Consequently, supply struggles to keep pace with demand, resulting in backlogs and supply tightness. This trend is expected to persist as the lead time for planning and commissioning new projects elongates.