US yarn giant Unifi Inc today said it was in talks with Tuntex (Thailand) for the manufacturing and product marketing of textured polyester filament yarn, but stressed no contractual agreement had yet been signed. 

The proposed deal will focus on the production and marketing of polyester draw texture yarn (DTY) for Asia, but is not a manufacturing joint venture. 

A Unifi spokesman said: "The agreement would be intended to allow Unifi to better serve customers that are shifting their sourcing to the region and would enable Tuntex to improve operating efficiencies across a broader range of textured polyester products."

He added that details of this manufacturing and product marketing agreement would be released if and when it has been officially concluded by both parties.

News of the negotiations were prematurely revealed in a newspaper report in Thailand.