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The domestic demand market is under great pressure and profits are thin.
Release date: [2024/5/6]  Read total of [42] times

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.

fabric market

White gray fabric: The overall market has been stable recently, with more small batch orders, fierce price competition for conventional products, and obvious polarization of orders. Orders for differentiated and high-end varieties are better than conventional varieties. The price of raw materials has dropped slightly, and weaving mills can buy and use whatever they want, and the inventory is about half a month old. The activation rate varies from place to place, but is generally around 70%. At present, the market outlook is still unclear, and market confidence needs to be boosted.

Yarn-dyed fabrics: At present, the market is relatively slowing down, the opening rate is basically stable, the overall order volume of "Silver Four" is not as expected, and subsequent orders are slightly weak. Since mid-April, the price of raw materials has dropped significantly, and the price of medium and low-count cotton yarn has also declined to varying degrees. The price of high-count cotton yarn has remained low. Enterprises are cautious in stocking. Most of them purchase on demand and stock small quantities; downstream demand is weak, market competition is fierce, and products Prices are basically stable and corporate profits are low. Regarding the market outlook, most companies have limited confidence and adopt a wait-and-see attitude.

Denim: Cotton prices have continued to fall recently, and denim yarn prices have continued to fall. The factory price of pure cotton OEC 10 British count yarn is about 15,000 yuan/ton. The price of indigo dye is relatively stable, selling at about 45,000 yuan/ton. The downstream external demand market is still better than domestic demand, and the operating rate of the surveyed companies remains above 90%. Most companies said that the domestic demand market is under great pressure, profits are thin, and companies have low expectations for the future market.


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