Colored Spinning: Diversity And Fast Fashion Create Growth Together.

　　 Changing the production process, color spinning creates product differentiation. Colored spun yarn The traditional production mode of "first spinning and dyeing" has been changed. By dyeing and spinning, the production time of downstream enterprises can be saved and less pollution. The color of the garments made of colored spun yarn is soft and has unique pock effect. It is formed with ordinary white yarn dyed products. Differentiation 。 Therefore, the colored spun yarn is Yarn industry One of the main directions of development.

The rapid growth of the knitting industry and the fast fashion consumption mode have promoted the rapid growth of the demand for colored spun yarn. Colored spun yarn products are mostly used for knitting garments. During 11th Five-Year, the average annual growth rate of knitted apparel was about 14.22%, higher than the average growth rate of 10.79% in the garment industry. The use of colored yarn in knitted products in Europe and America increased rapidly, and the proportion of knitted fabrics in textile exports also showed an increasing trend. The rapid development of the knitting industry has stimulated the demand for colored spun yarn. Due to the matching of the color spinning technology with the current environmental protection and fast fashion consumption concept, it is favored by ZARA, H&M and other fast fashion brands. We believe that the growth rate of the colored spinning industry will be around 20-25%, higher than that of ordinary yarn products.

The colored spinning industry is still in its infancy, and the domestic market presents an oligopolistic situation. There are dozens of domestic colored spinning enterprises, and the scale of the enterprises is below 300 thousand spindles. Among them, there are 3-5 million spindles. The two leading industries, Huafu color spinning and Bailong group, have formed oligopolistic situations by virtue of their remarkable advantages of 1 million spindles and 800 thousand spindles. Both companies are ahead of other companies in terms of scale, product quality control and product R & D capability. The two companies are expanding their scale, carrying out strategic layout and consolidating the leading edge. Therefore, the advantages of the two will remain and expand even for a long time.

　　 As the only leading industry in the A share market, the Huafu color spinning will benefit from the development of the industry. Through feedback on company research and company customers, we believe that the company has obvious competitive advantages in the field of colored spinning, especially in the research and development of high-end and medium color spinning products, which is in an advantageous position in the industry, maintaining the company's "overweight" rating, and recommending concern.