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[“The peak season is not prosperous” and downstream demand has not improved]
Release date:[2024/5/6] Read a total of[19]time

The traditional peak season is coming to an end, and the overall situation is that the peak season is not prosperous. There is no sign of improvement in downstream demand, consumption in the terminal market is not strong, and companies have insufficient confidence in the market outlook. In order to track the operation status of cotton textile enterprises in a timely manner and understand the changes in the cotton textile market, the China Cotton Textile Industry Association recently conducted a large-scale survey of major cotton textile-related markets in the country for the 81st time. The following is the reflection of local markets, cotton textile and related enterprises Case:


raw material market

Cotton: Domestic cotton futures spot prices have fallen sharply recently. Downstream companies have actively purchased spot stocks at low prices despite low inventories. Cotton spot trading has improved significantly. The current mainland sales price of 3128B grade Xinjiang cotton is around 16,800 yuan/ton. The traditional peak season is coming to an end, there is no sign of improvement in downstream demand, and domestic cotton supply is sufficient. Cotton prices are expected to be weak in the short term.

Polyester staple fiber: Polyester staple fiber prices have weakened recently, and the wait-and-see atmosphere in the market has increased. Transactions are average, and there are many low-priced supplies in the market. The current mainstream factory price is around 7,400 yuan/ton. The current downstream market orders are weak and the overall demand is shrinking. It is expected that polyester staple fiber prices will mainly fluctuate in the near future.

Viscose staple fiber: The price of viscose staple fiber has generally been reduced recently. The overall quotation is in the range of 13,200-13,600 yuan/ton, and the actual negotiation discounts are enlarged. Ring spinning orders from downstream yarn mills are average, and the price of R30S has dropped to about 17,200 yuan/ton. It is expected that the viscose market will still be dominated by shocks in the later period, and companies will just need to purchase.


yarn market

Pure cotton yarn: The company maintains normal production, with a slight increase in inventory, which is generally controllable. Sales are basically normal, with slight differences in sales and shipments of different varieties. Sales prices fluctuate according to market conditions, and production costs are under great pressure. Feedback from downstream customers indicates that there is insufficient market confidence in the later period and there are no favorable expectations.

Vortex spinning: There has been a certain increase in orders recently, but profits are lower than expected, and the market has not changed substantially. The domestic and foreign sales markets are basically stable, while the export market is still slightly better. The downstream market is expected to be sluggish in May, with a lack of overall confidence and a strong wait-and-see sentiment.

Colored yarn: The market has maintained its original level recently. The customer base of large enterprises is relatively stable. Customized spinning production is the main focus. The profits of differentiated orders are acceptable, but the profits of conventional varieties are limited and it is difficult to make profits. It is expected that with the arrival of the off-season in May, competition in the downstream market will become fierce and profitability will become more difficult.

Differentiated yarn: At present, enterprises are operating at full capacity, and the order situation is tepid. Most of them are small and short orders, and there are many export orders. There have been no major fluctuations in product prices and inventories, and the market conditions have been relatively stable. There are more and more companies producing differentiated products, and corporate profitability is not optimistic. Market competition will become more intense in the future.

Polyester yarn: At present, the company is operating at full capacity, but there are few on-machine orders, and some orders can be maintained until mid-May. Product sales are average and have not improved much. Prices have been relatively stable recently, with great resistance to rising prices. Enterprise inventories have gradually increased, but remain at normal levels. This year's peak season did not bring big market trends to companies. The overall trading atmosphere in the market was light, and companies in the later market were relatively pessimistic.

Viscose yarn: Recently, enterprises have started operating normally, but there are few new orders, market transactions are poor, profits are difficult, product prices have been stable and slightly reduced, and inventories have gradually increased. Enterprises are currently under great operating pressure and lack confidence in this year's market conditions.

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