Textile Industry Weekly (5.10-5.19)

Hot focus

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01. Growth of imports of textile yarns, fabrics and products in China in 1-4

According to the database of China Business Industry Research Institute, the import amount of China's textile yarn, fabrics and products decreased in April 2020, and the import amount of Chinese textile yarn, fabrics and products in April 2020 was 1 billion 138 million 600 thousand US dollars, down 25.4% from the same period last year.

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02. Shandong, the largest domestic textile enterprise in the world, is bought by state capital. Its business involves thermoelectricity and tap water.

The Limited by Share Ltd (hereinafter referred to as "Fu Tian") has issued a notice recently that in May 7th, the company received the notice of the controlling shareholder of the company, the group of Limited by Share Ltd, the group of Limited by Share Ltd (hereinafter referred to as "Fu Tian Holdings"). The government of Gaomi City issued a document on that day and decided to acquire 20% of the shares of the company.

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03. A new batch of "China Textile machinery industry product research and development center" announced!

Industry trend

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01. Market sluggish procurement downturn, cotton yarn traders pressure mountain, overflow to close three factory refracted cotton textile enterprises dilemma

Since late March, orders for foreign orders have been lifted and orders have been delayed. Domestic textile enterprises are facing second pressure to stop production and reduce production. At the same time, the market is cold and the downstream purchasing is low, so that the spinning enterprises are not optimistic about the second quarter or even the whole year's operation. It can be said that the current yarn market has not yet fully recovered, and it is still some time for enterprises to get out of the "cold winter".

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02. An analysis of the development of China's textile machinery industry in 2020 -- exports showing a steady and steady trend

According to customs statistics, the total import and export volume of China's textile machinery in 2018 was 7 billion 387 million US dollars, up 6.78% over the same period last year. Among them: export of textile machinery was US $3 billion 666 million, an increase of 7.20% over the same period, and imports of US $3 billion 721 million, an increase of 6.36% over the same period last year. From 2014 to 2018, China's textile machinery exports showed a "steady and steady" trend, and the import volume showed a general downward trend.

Look, 04

Survey report of cotton textile enterprises in April: market demand is low, and finished goods inventory is rising.

In April, the textile market was affected by the epidemic, the turnover was still relatively light, the finished product inventory continued to increase, and the pressure on enterprise funds increased. According to the cotton warning system in China, more than 90 fixed-point textile enterprises in the country have shown that textile production is decreasing, raw material inventory is decreasing, yarn inventory and cloth inventory are increasing.

Raw material Market

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01. Domestic cotton prices have stabilized, and market demand has been Revival (4-8 May 2020).

This week, the downstream cotton yarn market continued to be weak, and the export orders for grey fabrics were not improved. The conventional yarn is 925 yuan / ton higher than the domestic yarn, and the polyester staple price has dropped by 29 yuan / ton to 5593 yuan / ton.

Look,

02. Multinational cotton organization calls for greater coordination and cooperation to revitalize textile production.

According to the three surveys conducted by the international textile manufacturers Union (ITMF) on 13-25 March 2020, 6 -4 March 28th, and April 16th -28, 600 enterprises around the world showed that the proportion of global textile orders cancelled or postponed from around 8% to 40% or so compared with the same period last year. In 2020, the global textile industry expected to expand its turnover from 10% to 33%.

At present, the change of cotton and textile trade orders has affected cotton traders and cotton growers. Therefore, we need to consider how to realize cooperation and communication in the whole industry chain. The association will continue to do relevant work and make the following recommendations:

It is suggested that the state should include cotton and textile industry in key supporting industries, and increase support and support to the backbone enterprises and small and medium enterprises in the field of Finance and taxation. We should give full play to the role of backbone enterprises in stabilizing the market and provide necessary support to them as an effective supplement to the state's macroeconomic regulation and control.

It is suggested that foreign-related legal aid should be provided to enterprises in need to cope with possible legal disputes involving foreign trade arbitration and so on, so as to safeguard the interests of enterprises to the greatest extent.

It is suggested that the government vigorously boost domestic demand for cotton and textiles, guide export oriented foreign trade enterprises to upgrade and maintain sustainable and stable development of cotton textile industry.

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03. In 2020, the cotton planting area decreased slightly, and the sowing rate was faster than that of last year.

At the end of April 2020, the cotton growers association of China Cotton Association conducted an investigation of cotton planting area and cotton planting progress in 2769 provinces of 12 provinces and autonomous regions in Xinjiang. The survey results showed that the cotton planting area in the 2020 year was 46 million 156 thousand mu, down 4.15% from the same period last year. Among them: the cotton planting area in Xinjiang area is 36 million 655 thousand mu, down 0.59% from the same period last year, accounting for 79.4% of the total area of the country. The cotton planting area in the mainland continues to decline, and the cotton planting area in the Yellow River basin is 4 million 969 thousand mu, a decrease of 16.04% compared with the same period last year. The cotton planting area in the Yangtze River Basin is 4 million 167 thousand mu, down 15.65% from the same period.

Policies and regulations

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01. Group standard issued by China Textile Institute, led by "reusable daily respirator"

In April 29th, the group standard of T/CSTM00387-2020 reusable daily respirator developed by China Textile Institute and China spinning standard respectively as the first and second drafting units was officially released. The standard was brought to the comprehensive standards field committee of the Standards Committee of China materials and testing group and will be implemented in July 29, 2020.

Insight Economics

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01. The lifting of foreign trade orders has gradually improved.

With the slowdown in the spread of the new crown, the world's factories, Bangladesh, Burma, Kampuchea and Vietnam, have resumed work. In early May, the government of Bangladesh decided to restart more than 2000 textile factories. Italy, Spain and Germany, which were related to the downstream textile industry, relaxed restrictions last week. In May 11th, Britain and France were about to end the blockade and gradually resume their normal economic order. Therefore, some foreign trade orders began to start.

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02. China's share of the US apparel market fell below 20% for the first time in the first quarter.

Affected by the new crown epidemic at home and abroad, 1-4 months, China's clothing exports 29 billion 310 million US dollars, down 22.3%, exports to major markets have dropped sharply, and the major market share has also declined sharply.

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03. World textile mills have resumed production and resumed production

With the slowdown in the spread of the new crown, the world's factories, Bangladesh, Burma, Kampuchea and Vietnam, have resumed work. In early May, the government of Bangladesh decided to restart more than 2000 textile factories. Up to now, nearly half of the garment factories in Bangladesh have been resumed. According to statistics, Bangladesh has 7602 garment factories, of which 2916 have resumed production.

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04. Report on the impact of the third global new crown epidemic on International Textiles

Recently, the International Textile Federation released third reports on the impact of the new global crown on the international textile industry. The number of orders cancelled and / or postponed increased to 41%, and 2020 turnover is expected to decline by an average of 33%.