Economic Operation Analysis Of Knitting Industry In The First Half Of 2010

According to the National Bureau of statistics, the first half of the year

Industrial output and total sales growth accelerated

In 2010 1~5, China's knitting industry achieved a gross industrial product (current price) of 156 billion 245 million yuan, an increase of 22.21% over the same period last year, a 14.56 percentage point increase from last year, and a total sales volume of 152 billion 356 million yuan, up 21.26% over the same period last year, an increase of 14.12 percentage points over the same period last year, and a new growth rate since 2008.

Production and marketing rate is 97.51%, production and marketing link smoothly.

In 2010 1~5 months, all kinds of clothing production showed a trend of faster growth and faster growth; knitted apparel production growth from the second quarter exceeded woven apparel, as of May, the growth rate is 2.36 percentage points higher than the weaving industry.

~2009 was received in 2005.

In 2010 1~5, the cumulative output of knitted garments in China was 6 billion 28 million, an increase of 23.99 percentage points over the same period last year.

The proportion of knitted garments produced in the top ten provinces accounted for 94.19% of the total volume of the country. Besides Shanghai, Jiangxi and Henan, other provinces and cities all showed two digit growth rate, of which Guangdong accounted for the top of the total output of more than 1/4.

The eastern region is the main producer of knitted garments in China. In 2010, the cumulative output in 1~5 months reached 5 billion 390 million yuan, accounting for 89.20% of the total output of the country. The growth rate of knitted apparel in the western region was faster than that in the eastern and central and western regions, an increase of 181.07 percentage points over the same period last year (the increase in the eastern and central regions was 27.11% and 2.47% respectively), of which Guizhou's output grew the most significantly, reaching 463.03%.

domestic market

With the support of the growth of domestic consumption demand, the domestic sales value of the knitting industry has also achieved a good momentum of sustained and rapid growth.

In 2010 1~5 months, knitting enterprises at medium scale achieved domestic output value of 100 billion 368 million yuan, an increase of 22.83% over the same period last year, and the growth rate increased by 14.17 percentage points over the same period last year, accounting for 65.88% of the total sales value.

In the future, the improvement of domestic residents' income level and the acceleration of urbanization process will be conducive to the long-term development of domestic brand oriented operation enterprises.

Steady growth in investment in fixed assets

In 2010 1~5, the fixed assets investment in the knitting industry actually completed 15 billion 204 million yuan, an increase of 28.84% over the same period last year, an increase of 17.42 percentage points over the same period last year, 811 construction projects, an increase of 15.36% over the same period last year, an increase of 8.6 percentage points over the same period last year, and 451 new projects, an increase of 14.77% over the same period last year, an increase of 9.1 percentage points over the same period last year.

Garment export growth rate continues to rise

In 2010 1~5, China's knitted apparel and accessories exports totaled $21 billion 59 million, an increase of 18.63% over the same period last year. In the month of 1~5, exports of knitted garments in China totaled 7 billion 464 million, an increase of 14.16% over the same period last year, and the total export volume stood at 18 billion 332 million US dollars, up 19.65% over the same period last year, and the growth rate increased by 21.54 percentage points over the same period last year.

In May, the monthly export volume of knitted garments and accessories and knitted garments increased by 17.93% and 17.06% respectively.

Trade is still dominated by general trade, with a total export volume of US $16 billion 248 million, accounting for 77.15%, an increase of 20.94 percentage points over the same period last year. In May, the total export volume of barter trade increased significantly, up 3104.73% over the same period last year.

From 2006 to now, the total export volume of knitted apparel and accessories has been higher than that of the weaving industry; in 2010 1~5, the total volume and volume of export of knitted garments and accessories increased by 14.12% and 5.27% respectively than that in the weaving industry.

In 2010 1~5, China's exports of knitted apparel and accessories were mainly in the main export countries or regions, and the export volume of Japan and Kazakhstan increased both year-on-year and the annulus ratio. However, Japan's imports in China declined significantly in the two quarter compared with the first quarter. The import volume of China's Hongkong increased by 7.55% in May, down 6.25 percentage points, while the imports of the United States and Germany remained two digit year-on-year.

The overall economic environment of the United States is gradually improving, and the import and export trade of textiles and clothing has improved significantly.

It is noteworthy that the import trade with China is mostly concentrated in the so-called "sensitive category", including underwear, trousers and knitted shirts, whose import quotas were abolished in January 2009.

The US imports from China surged by 55%, while global trade increased by only 7%.

In the export structure of knitted garments and accessories, the proportion from high to low followed by the European Union (27 countries) 21.79%, Japan 15.99%, the United States 14.29%, China Hongkong 6.63%, ASEAN ten countries 5.34%, all other markets 35.96%; in 2010 1-5, the export of knitted garments and accessories in Laos, Chad, Palau, Guinea (Bissau), Uzbekistan, Niger and other emerging countries increased rapidly, coupled with the low base factor in the same period last year, the largest increase was 70748.17%.

In 2010 1~5, except for Sichuan Province, the total export volume of other major provinces and cities exported from knitted garments and accessories in China increased year by year, with a larger increase in Jiangxi province.

Further improvement in operation quality and efficiency

In 2010 1~5, the knitting industry realized the output value of new products (current price) 7 billion 935 million yuan, an increase of 25.38% over the same period last year, an increase of 17.75 percentage points over the same period last year, a 4.98% increase in labour productivity and a decrease of three percentage points in the same period last year, a 0.3 percentage point decline over the same period last year, indicating that the overall management level of the industry has improved.

The profitability of the whole industry was enhanced, and the total profit realized in 1~5 was 5 billion 678 million yuan, an increase of 41.13% over the same period last year, with a profit margin of 3.79%, slightly lower than that of the textile industry. The average number of employees in the whole industry was 1 million 525 thousand and 300, an increase of nearly 0.72 compared with last year, up 0.72 percentage points over the same period last year.

The operating capacity of the industry has improved, and the turnover rate of finished products in 1~5 has reached 17.62%, up 3.19% compared with the same period last year, and the asset turnover rate was 1.32%, a slight increase over the same period last year.

From 2005 to now, the competitiveness index of knitted garments and accessories has been rising in waves. In 2010, the competitiveness index of 1~5 was 97.23%, 1.85 percentage points higher than that of woven garments and accessories.

The growth rate of all employees in the knitting industry decreased from 2005 to the lowest level at the end of 2008 (-2.7%), then bottomed up, and positive growth in February 2010, indicating the gradual improvement of the knitting industry.

In 2010, the labor cost of China's manufacturing industry was generally on the rise. At the same time, the labor cost of knitting enterprises increased by 20% as a result of labor shortage. As a labor-intensive industry, the average profit margin of knitted garment enterprises was only around 3%, and some even lower than 3%.

In addition to labor costs, the input cost of land, water, coal, electricity, oil and other resources and energy is also increasing.

In 2010 1~5, the euro area as a whole depreciated by 7.84%, the US dollar appreciated by 2.62%, and the renminbi appreciated by 5.49%.

This means that the real effective appreciation of the RMB relative to the euro area is close to 13.33%. The substantial appreciation of the RMB against the euro will slow down the resumption of China's exports to the European market and promote the increase in imports. Meanwhile, it will also aggravate the competitive pressure of Chinese products on the euro area products in the non euro area market.

After the central bank reiterated the second trading days after June 22nd, the central parity of RMB against the US dollar hit a new high in the past 5 years.

The resumption of RMB appreciation will undoubtedly bring greater negative impact to the industry (for example, export enterprises will suffer losses from foreign exchange settlement, loss of corporate profits, loss of export orders and so on, which will also affect the ability of the industry to absorb social employment).

At present, the overall recovery of Japan's economy remains unchanged. But considering the fact that domestic textile and apparel consumption is still sluggish, and Japan's huge national debt and sustained high unemployment rate, China's exports to Japan's textile and clothing are not optimistic at the later stage.

At present, the debt crisis in Europe is far from over. The financial markets in Europe and the United States continue to be unstable. Half of the EU countries, including China's main trading partners, have implemented fiscal tightening policies in Germany, France, Britain and Italy, which will inevitably affect consumer demand and have a great impact on China's knitting export.

The rise of the state trade protectionism and the increasing trade friction have increased the pressure of China's knitting export enterprises.

The strength of competitors such as Vietnam and Thailand has gradually increased, especially their labor cost has become a comparative advantage.

The knitting industry should continue to implement the "textile industry adjustment and revitalization plan", innovate and integrate the industrial chain, enhance industrial competitiveness, and make full use of various preferential policies and opportunities to strengthen self construction.

Export oriented enterprises develop towards the two sides of the smile curve, pay attention to brand building, enhance international influence, expand market share, adopt flexible trading methods to avoid external risks such as exchange rate as far as possible, and do not neglect domestic market.