Chemical Fiber Industry Backward Production Capacity Is Limited, Short-Term Impact Is Not Large.

The Ministry of industry and Commerce recently issued the target task of eliminating backward production capacity in 18 industries this year, of which the target of eliminating chemical fiber industry is 558 thousand tons.

Relative to the industry's capacity of about 30 million tons, the elimination target is considered by the industry to be limited in the short term, and the industry relies more on the natural adjustment and elimination of the market.

After years of rapid growth in the chemical fiber industry, which relies strongly on exports, the overcapacity has been very serious.

For this reason, the textile industry represented by chemical fiber has always been the focus of attention of relevant departments in eliminating backward production capacity.

The textile industry readjustment and revitalization plan, which was introduced in April last year, stipulates that by 2011, the printing and dyeing capacity of 7 billion 500 million meters high energy consumption, high water consumption and low technology level will be eliminated, and the backward production capacity of 2 million 300 thousand tons of chemical fiber will be eliminated, and the backward production capacity of cotton spinning and wool spinning will be eliminated.

On the basis of public information, in 2009, China's chemical fiber industry eliminated backward production capacity totaling 1 million 370 thousand tons, with the acceleration of structural adjustment and the positive pformation of growth mode as an internal driving force.

If we plan to eliminate 2 million 300 thousand tons of backward production capacity before 2011, and after the elimination of backward production capacity of 1 million 370 thousand tons in 2009 and 558 thousand tons in 2010, there will be little target capacity to be eliminated in 2011.

Wang Qianjin, an expert in the domestic textile industry, said that the total capacity of the chemical fiber industry has reached about 30 million tons in general. The total surplus of the industry is serious. A quota of 558 thousand tons is still not big enough to solve the problem of excess capacity in the chemical fiber industry.

It is understood that the overcapacity of the chemical fiber industry is mainly a structural surplus.

China's chemical fiber products are mainly conventional varieties, and all kinds of high-quality, high-performance differential fibers such as polyester, acrylic, nylon, viscose and other products are basically dependent on imports, which makes China's chemical fiber industry's traditional products overcapacity, but some kinds of chemical fiber varieties also need to import.

"There are more private enterprises in the chemical fiber industry, and the government can only rely on guidance, so the amount of elimination will not be very large, and more is a natural adjustment and elimination of the market."

Wang Qianjin said.

Generally speaking, the production line and technology of the listed companies are relatively advanced and often do not belong to backward production capacity. Therefore, eliminating backward production capacity is still beneficial to listed companies theoretically.

Nanjing chemical fiber Securities Department said that some of the company's backward production capacity has long been eliminated, in the long run, the industry to eliminate backward production capacity should still be good for the company.

However, from the perspective of elimination, it can only be said to be a long-term benefit, with little impact in the short term.

Wang Qian said.