Processing Continued To Move Outward In The First Quarter, Textile Export Growth Exceeded Expectations.

according to Customs Latest data released by the General Administration in the first quarter of 2011 textile Clothing exports totaled $48 billion 627 million, an increase of 23.96% over the same period, with an increase of over 50% in March. Speed up Compared with 13.56% in 1-2, it rebounded significantly. but Industry It is believed that a substantial increase in actual exports will have a certain support for cotton yarn and cotton prices, but the price of cotton and textile raw materials both at home and abroad is still high. Rise The textile industry is under great pressure, and the industry situation is still not optimistic.

First quarter growth exceeded market expectations

According to customs statistics, Chinese textiles in March 2011, Garment industry The actual export volume excluding the US dollar value continued to maintain a high level year-on-year, driving the average growth rate of the whole quarter to rise significantly, exceeding market expectations.

In the first quarter of this year, China's textile exports amounted to US $20 billion 165 million, an increase of 32.71% over the same period last year, and exports of clothing and accessories reached US $28 billion 461 million, an increase of 18.42% over the same period last year. Compared with the downturn in February, textile and clothing exports in March were 16 billion 570 million US dollars, up 50.6% over the same period last year, of which 7 billion 898 million US dollars in textile exports and 8 billion 671 million US dollars in clothing exports, up 56.44% and 45.59% respectively.

In February this year, China's textile and clothing exports amounted to 10 billion 443 million yuan, down 51.70%, down 18.02% from the same period last year. After a sharp decline in February, textile and clothing exports rebounded sharply in March, with a strong growth of 24% in the first quarter, exceeding market expectations. Shenyin Wanguo pointed out that although the growth rate of March was expected to rise, the total growth of textile and garment exports in March before 2011 was 24%, or exceeded the expected growth rate of 10% to 15% before the market. Analysts said that this month, both imports and exports rebounded strongly, exceeding market expectations, while the small surplus of trade balance recovery showed that trade tended to be balanced, helping to ease the pressure on RMB appreciation.

Garment processing industry continues to shift outward

Since the first quarter of this year, the growth rate of textile exports in China is still higher than that of clothing, and some labor-intensive industries such as garment processing have shifted to Southeast Asia. However, the higher technical content of fabrics is still retained in China, and this trend will become more evident in the future.

In March 2011, the cumulative export growth rate of textiles was 32.7%, the total export growth rate of clothing was 18.4%, and the growth rate of textile exports has been higher than that of clothing since 2010. Shenyin Wanguo believes that with the rise of labor costs in China, some of the labor intensive and low value chain production processes, such as garment processing, are gradually being spanferred to Southeast Asia and other places. Since the beginning of this year, domestic and foreign brand clothing enterprises have increased the strength of overseas foundry production. Some textile fabrics have been exported from China to Southeast Asia. The industry believes that China's position in the textile and garment export industry chain is gradually changing, and this trend will be more obvious in the future.

Cotton prices rise, cost of ambush pressure

The beautiful export data in the first quarter proved that with the resurgence of consumption in European and American countries, the export situation of textile and clothing has improved. However, because of the record high price of cotton raw materials and the high cost of domestic labor, textile enterprises are still facing multiple pressures, and the industry situation is not optimistic.

"Due to the tight supply of global cotton in 2010, cotton and other textile materials have become the targets of international capital speculation in the context of increasing international inflationary pressures." Ma Wenfeng, analyst at Eastern IgG, said that in March, the price of raw materials for cotton and textile industry in both the world and China has reached a new high, which has brought great pressure to the Chinese textile industry. Data show that in March, the monthly average price of international cotton prices reached 5116 US dollars / ton, the international futures price was 4678 US dollars / ton, and the price of imported textile chemical fiber raw materials reached US $3368 / ton, all of which are all new highs. Domestic cotton price spot price 60684 yuan / ton, futures price 30716 yuan / ton, up 97.48% and 88.31%, up 2.14% and -4.93% respectively.

"Although the sharp rise in cotton prices will have a certain role in promoting cotton production, downstream demand will have a deterrent effect, and at the same time, it will have a significant inhibitory effect on the textile industry's profits." According to a recent survey conducted by China cotton net, the three main reasons for the lower textile market are the sharp rise in raw material prices, the lack of confidence in the market and the lack of terminal consumer demand. There is also a significant increase in labour costs as well as pressure.

7 of the textile enterprises indicated difficulties in recruiting workers, and nearly 9 of them said that the wages of workers increased significantly over the previous year. According to Ma Wenfeng's monitoring and analysis, the actual processing profit margin of textile and garment enterprises in March is expected to drop to a low level of 2.94%. At the same time, as the cost of raw materials such as cotton has risen sharply and the appreciation of RMB has accelerated, SMEs will be unable to support, and industrial resources will accelerate to large enterprises, and the polarization of export enterprises will intensify.