Xinxiang Chemical announced it will shut down 31,200 tons/year of viscose filament capacity by October 12, 2026, due to a land reclamation by the local government. The broker notes this reduces 2026 output by about 8,500 tons amid strong export demand.
The broker is bullish on the viscose filament sector due to capacity reductions and robust export demand, highlighting Xinxiang Chemical and Jilin Chemical as key beneficiaries.
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