China'S Textile Industry Still Faces Unstable Factors

In 2011, the main operational indicators of China's textile enterprises above Designated Size maintained a relatively fast growth trend. However, due to the pressure of various pressures, the growth rate of key indicators showed a trend of slowing down month by month.

China Textile Industry Federation predicts that China's textile industry will continue to face unstable factors in 2012, and urge textile enterprises to strengthen risk control and enhance their resilience.

The reporter learned from China Textile Industry Federation that the total industrial output value of China's textile enterprises above Designated Size reached an increase of 27% over the same period of 2011 before December.

However, due to the adverse effects of price fluctuations, tight electricity consumption, rising labor costs and insufficient external demand, production growth continued to slow down.

In the same period, China's textile industry investment growth continued to decline, the growth rate of new projects was slow, up by only 2.3% over the same period last year.

Investment in the middle and western regions showed a relatively rapid growth, significantly higher than that in the eastern region, and the pace of China's textile industry pferring to the central and western regions is accelerating.

Before 2011, the export of textile and clothing increased by nearly 20% in December.

It is estimated that the export price of textile and clothing has increased by 20% over the same period of the same period, and the pulling effect on the total export growth has reached 98%.

Excluding price factors, the number of textile and garment exports increased by only 0.48% over the same period last year.

It is worth mentioning that China's domestic market growth is still the main support for the development of the textile industry.

According to the analysis of the China Textile Industry Federation, from the perspective of the textile industry in the first half of this year, the downward pressure on international market demand is more obvious, which will affect the growth of the export volume of China's textile industry in 2012.

Wang Tiankai, President of China Textile Industry Federation, stressed that China's textile industry should pay attention to the export situation. Due to the low demand in Europe and America, the slow recovery process in the market, coupled with continuous high cost production, the growth of export volume this year will not be optimistic.

In addition, although the favorable factors such as the acceleration of urbanization, the improvement of residents' income level, and policy support will contribute to the steady growth of China's domestic demand market, fluctuations in the prices of raw materials such as cotton and chemical fiber will still increase the risk of the textile industry.

The increase in labor costs and the increase in energy and power costs will increase the production cost of the textile industry.

In the first half of 2012, China's textile industry will continue to face higher external risks.