# Viscose fibre: Correlation Prices it moves with, and why Source page: https://www.materialinsights.org/chemicals/viscose/correlation/ Viscose staple fibre is regenerated cellulose: dissolving wood pulp is treated with caustic soda and carbon disulphide, then spun into a sulphuric acid bath. Its price follows pulp and chemical costs and, above all, competition with cotton and polyester in yarn mills. No public price Viscose fibre has no public monthly price series: Sold on private contracts between fibre makers and spinners; no public price index. #### What its price moves with Commodity [Tm Timber](https://www.materialinsights.org/commodities/lumber/)Wood pulp feedstock Dissolving pulp, made from hardwood or bamboo, is the largest cost in viscose. Pulp prices follow the same forestry and wood supply cycle that drives sawn timber, though the lumber series reflects US housing demand far more than pulp, so it is only a loose guide. Not enough overlapping price history to measure. Chemical [NaOH Caustic soda](https://www.materialinsights.org/chemicals/caustic_soda/)Key reagent Caustic soda steeps the pulp to make alkali cellulose and is used again in spinning, so viscose makers are large buyers. A spike in caustic soda, often tied to chlor-alkali plant outages or weak chlorine demand, squeezes viscose margins before fibre prices adjust. Not enough overlapping price history to measure. Chemical [H2SO4 Sulphuric acid](https://www.materialinsights.org/chemicals/sulphuric_acid/)Spinning bath The cellulose solution is pushed through spinnerets into a sulphuric acid bath that regenerates it as fibre. The acid, and the sulphur burned to make carbon disulphide, cost less than pulp but rise and fall with the sulphur and fertiliser cycle. Not enough overlapping price history to measure. Commodity [Ct Cotton](https://www.materialinsights.org/commodities/cotton/)Substitute fibre Viscose competes with cotton in yarns and blends, so spinners lean towards whichever is cheaper per kilogram of yarn. A poor cotton crop that lifts cotton prices usually lets viscose makers raise prices too, while cheap cotton caps them. Not enough overlapping price history to measure. Chemical [PSF Polyester fibre](https://www.materialinsights.org/chemicals/polyester_fibre/)Competing fibre Polyester staple fibre is the cheapest mass fibre and sets a ceiling that viscose must stay close to in blended fabrics. When oil-linked polyester falls, viscose producers in China and India face pressure to cut prices even if pulp costs are unchanged. Not enough overlapping price history to measure. Energy [Tc Thermal coal](https://www.materialinsights.org/energy/thermal_coal/)Energy cost Viscose plants need a lot of steam and power, and many in China and India run coal-fired captive power plants. Coal price swings therefore change the cost of each tonne of fibre, though energy matters less than pulp and chemicals. Not enough overlapping price history to measure. How to read these numbers **Correlation of monthly changes** (the number in the coloured pill) compares how much each price moved, month by month, since 2006 or the first month both series exist. It runs from −1 to +1: near +1 the two usually rise and fall in the same months, near 0 there is no link, and a negative number means they tend to move in opposite directions. Above 0.7 is strong, 0.4 to 0.7 moderate, 0.2 to 0.4 weak. **12-month changes** compare year-on-year moves, which shows whether two prices share the same cycles even when the month-to-month noise differs. **Price function** is a straight-line fit of the two prices on logarithmic scales: price ≈ k × (partner price)^β. β is how much this price moves, in per cent, for a 1% move in the partner over the whole period, and R² is the share of the variation the fit explains. Two prices that both drift up with inflation can fit well without any real link, so read it together with the monthly correlation. **Lead or lag** checks whether the monthly correlation is clearly higher when one price is shifted by 1 to 6 months. Correlation is not cause. The reasons on each card explain the economic link; the numbers show how strongly it has shown up in prices. Proxy series are US producer price indexes or related prices and can blur the real link. Data: World Bank Commodity Price Data (Pink Sheet), October 2026; US Bureau of Labor Statistics producer price indexes, IMF primary commodity prices and US EIA prices via FRED, Federal Reserve Bank of St. Louis, retrieved November 2026. Calculations by this site. ## Other sections - [Summary](https://www.materialinsights.org/chemicals/viscose/index.md) - [Overview](https://www.materialinsights.org/chemicals/viscose/overview/index.md) - [Production route](https://www.materialinsights.org/chemicals/viscose/routes/index.md) - [Production](https://www.materialinsights.org/chemicals/viscose/production/index.md) - [Feedstocks](https://www.materialinsights.org/chemicals/viscose/feedstocks/index.md) - [Cycles](https://www.materialinsights.org/chemicals/viscose/cycles/index.md) - [Trading](https://www.materialinsights.org/chemicals/viscose/trading/index.md) - [Movement](https://www.materialinsights.org/chemicals/viscose/movement/index.md) - [Regulation](https://www.materialinsights.org/chemicals/viscose/regulation/index.md) - [Characteristics](https://www.materialinsights.org/chemicals/viscose/characteristics/index.md) - [Emissions](https://www.materialinsights.org/chemicals/viscose/emissions/index.md) - [Relationships](https://www.materialinsights.org/chemicals/viscose/links/index.md)