While exports to Japan and the United States are falling, <br> Polyester textured Yarns : surge in Korea sales to China and Egypt

Korea exports of polyester textured yarns (elastic or not) were up nearly 9% in volume terms in August, reflecting an improvement in sales after the fall experienced during SARS outbreak in the Far East.

This rise in shipments reflects sharp differences between markets, however.Exports to China were up 153% in volume terms in August, rising 24% in the January-August period. Shipments plunged in March, April and May before sharply rebounding in June, July and August.

China imports of polyester textured yarns continued dramatically increasing this year with Korea share of the market surging, although the won substantially rose against the yuan-renminbi.

Competitors from Taiwan were clearly weakened by the rise in Korea sales. They also continued transferring PFY capacities to China at the same time.

The PRC is by far Korea main market with 43% of total shipments in volume terms in the January-August period.

More surprisingly, Egypt became the second most important destination of Korea texturised polyester yarns after shipments rose 24% in the January-August period, even increasing by 45% in value terms.

Exports were only up 4.61% in August, however, after jumping an astonishing 872% in July.

In sharp contrast, exports to the USA were more than halved in 2003, reflecting the decline of polyester filament weaving in the United States.

Sales to Japan were also dramatically down this year, even falling more than 50% in August.

At the same time, Iran confirmed that its textile industry is now rapidly emerging with imports from Korea rising 1,848% in the eight-month period. In August, the Islamic Republic was the fourth largest customer of Korea in volume terms.

Sales to Turkey also sharply augmented, benefiting from a rise in the lira while exports to South Africa were clearly down.