China'S Textile And Apparel Industry Is In A Downturn This Year.

This year, China's textile industry

The industry is in a downturn, and experts estimate that this situation will continue in the second half of the year.

It is reported that as of July 5th, cotton prices at home and abroad were about 4500 yuan / ton.

The cotton textile association of China has been tracking a loss of 40% of its cotton textile enterprises, and the spinning and weaving enterprises below 30 thousand spindles have cut production and production close to 50%.. At the same time, the textile manufacturers are not able to come up with the order price because of the low demand and the low price of raw materials.

At the same time, according to the data released by the Ministry of consumer goods industry of the Ministry of industry and commerce, 1-5 months ago, textile enterprises above Designated Size reached 21449 billion yuan in total industrial output value, an increase of 11.8% over the same period last year, and the growth rate dropped 18.3 percentage points from the same period last year. The production and sales rate was 97.3%, a slight decrease compared with the same period last year.

In 1-5 months, the yarn output increased by 14.1% over the same period last year, the growth rate increased by 4 percentage points compared with the same period last year; the output of chemical fiber increased by 15.1% compared with the same period last year; the growth rate dropped by 0.3 percentage points compared with the same period last year; the output of cloth increased by 11.6% over the same period last year, the growth rate dropped 4.1 percentage points from the same period last year; the clothing output increased by 7.2% year-on-year, and the growth rate decreased by 4.7 percentage points over the same period last year.

However, the impact of the European sovereign debt crisis is still spreading, and the subsequent impact of the international financial crisis continues to emerge.

The global import volume of textile and clothing in 2011 increased by 8.6% compared with the previous year, but this year only increased by 3.4%. in 1-4 months. The EU's demand declined significantly. In 1-5 months, China's exports to the EU decreased. 11.2%.'s domestic market was affected by factors such as high prices and lack of market confidence, and also showed a slowdown trend.

It is in this low tide that the listed companies in China's textile industry and some downstream apparel industries are losing money.

The main reason for the loss is that the price of cotton has been seriously upside down in the domestic and international markets. The international cotton price is much lower than the domestic cotton price, resulting in high production costs and seriously affecting the efficiency and market sales of enterprises.

The cost of various labor costs continues to rise, especially the increase in labor wage costs. At the same time, the strain of labor resources also restricts the full capacity of production. Due to the shortage of labor force in the economically developed areas of eastern China, the shortage of labor force has become a bottleneck for the production of enterprises.

These companies are not optimistic about the trend of the industry in the second half of the year.

The company said:

The number of industries and enterprises that restrict steady growth is increasing.

The sharp reduction of cotton and other textile raw material prices has reduced the profit margins of enterprises. The current cost pressures of textile industry are prominent, and the prices of textile raw materials such as cotton have not yet been reasonably returned. Domestic and international cotton prices are hard to integrate, labor and energy prices will not drop, credit policies will not be relaxed, and the terminal price pmission of products will lag behind and be sluggish.

Above all, the growth rate of the industry will continue to decline in the first half of the year.

At the same time, in view of the downturn in the textile industry, the consumer goods industry division also predicted that textile enterprises will continue to be in a difficult position in the second half of the year. Textile and garment exports will continue to grow at a low level. The overall growth of the industry will decline sharply compared with the previous year, and the deficit and deficit will be widened. More small, medium and micro enterprises will face the risk of being eliminated.

However, compared with the downturn in the textile industry, the potential demand for machinery and equipment still exists, which is mainly reflected in the demand for high-grade textile machinery.

According to experts, by 2017, the total volume of global textile machinery market will reach US $22 billion 900 million. It is estimated that Asian textile manufacturers will have the largest investment in new equipment.

Statistics show that in May this year, 90% new exports of global spinning machines, shuttle looms and knitting flat knitting machines were imported into Asia, especially imported into China.

There is no doubt that Asia is still the world's textile and garment manufacturing center.

In the face of China's big market, world famous textile machinery manufacturers have invested and set up factories in China to implement localized production and services.

In recent years, with the acceleration of the industrial upgrading of China's textile industry, the product structure of the textile machinery market has undergone tremendous changes. The proportion of sales of traditional textile machinery equipment is less and less. Automation, continuous, high-speed, intelligent and large capacity textile machinery sales volume has increased significantly.

Gao Yong, vice president and Secretary General of China Textile Industry Federation, pointed out that the changes in demand for these equipment reflect the direction of product structure adjustment and industrial upgrading in China's textile industry, and on the other hand, the textile industry is currently constrained by labor costs and the rising cost of raw materials.

Textile enterprises use high-speed, intelligent and large capacity.

Equipment can reduce labor and improve efficiency. At the same time, in view of the current shortage of raw materials such as cotton in the world, it is necessary to use high-grade equipment to make full use of fiber and improve the added value of products.

In the next 5~10 years, this demand trend will become more obvious.