Giving Full Play To Its Inherent Advantages And Raising Investment In Textile Machinery In Southeast Asia

The annual report released by the United Nations Economic and Social Commission for Asia and the Pacific (APEC) recently predicted that the economic growth of the developing economies in the Asia Pacific region will further slow down in 2012, thanks to the low demand of developed countries. The report also pointed out that, despite the slowdown, the Asia Pacific region is still the fastest growing region of the world economy.

Under such circumstances, although Asia's textile industry is slowing down in general, Asia is still the world.

The center is still the largest market for textile machinery in the world.

It is worth noting that the Asian market is facing the impact of the global financial crisis.

The demand has changed, the demand level of equipment has been further improved, and the demand for high efficiency, high quality, high automation and energy saving equipment has been increasing.

Strong demand for high-end equipment

India is the second largest textile machine market after China.

With the advantage of cotton and labor resources, the spinning capacity increased by 3 million ~420 10000 spindles per year in 2006. At present, the spinning capacity of India is about 43 million spindles.

Despite the slow recovery of the global economic situation and the continuing downturn in demand, China is the largest in the world.

China is still firmly attracting the attention of global textile machinery manufacturers and textile manufacturers.

In 2011, China's textile machinery industry achieved sales revenue of 105 billion 13 million yuan, an increase of 27.07% over the same period last year.

In 2011, the total import and export volume of China's textile machinery was 7 billion 610 million US dollars, an increase of 25.60% over the same period last year.

Among them, the export volume of textile machinery was 2 billion 245 million US dollars, an increase of 27.81% over the same period last year, and the import volume was 5 billion 364 million US dollars, an increase of 24.70% over the same period last year.

After a period of rapid development, China's textile industry has been committed to the adjustment and upgrading of the industrial structure in recent years, and the momentum of the expansion of production scale has gradually slowed down, and the demand for renovation and upgrading has increased significantly.

The rising cost of raw materials and labor has also forced enterprises to increase labour productivity and reduce employment through new technologies and equipment.

In recent years, the possession rate of advanced equipment in China's cotton textile industry has been continuously improved, and automatic doffing long cars, blowing carding units, automatic winding machines and shuttleless looms have increased to varying degrees.

Many difficulties faced by textile enterprises can be solved by upgrading the equipment level. For example, in order to solve the problem of high labor cost, automatic winding machines and long spinning cars with automatic doffing can be used to reduce employment. In the fierce market competition, qualified enterprises can go on compact spinning projects, produce Combed Yarns, and aim at "three without one fine" to make high value-added products, and air-jet looms, long cars and thin links can be used on the equipment.

Many enterprises have realized this, and have begun to carry out technological pformation.

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India is the second largest textile machine market after China.

With the advantages of cotton and labor resources, India began to enter the fast lane of textile industry in 2006. The spinning capacity increased by 3 million ~420 million spindles per year. At present, India's spinning capacity is about 43 million spindles.

India's cotton textile industry has strong competitiveness.

Over the years, through cooperation with world famous textile machinery manufacturers, such as Te Luth Le of Germany, Lida of Switzerland, Italy of Germany, TOYOTA, and so on, greatly improved the level of India cotton spinning machinery manufacturing.

India cotton textile enterprises have good management level and quality control ability, and the requirements for high speed and high efficiency of cotton spinning machinery are more prominent.

In the past few years, the investment in India's spinning equipment was mainly concentrated in the spinning equipment, and the development of other equipment was relatively slow.

Over the past two years, the demand for high-end textile equipment, knitting equipment, chemical fiber equipment and air spinning equipment has increased significantly in India textile industry. There will be considerable room for development in knitting, printing and dyeing equipment.

At the same time, there are about 2 million ~300 spinning equipment in India every year.

At the request of India textile enterprises, the India government is preparing to extend the textile industry pformation fund plan (TUF).

It is understood that the Ministry of textiles of India has proposed the extension of the TUF plan in the twelfth five year plan, with a provision of 158 billion 860 million rupees.

The restructuring plan will pay more attention to downstream industries such as weaving, processing and high value-added textile production industries.

Investment boom in Southeast Asia

With the rising cost of domestic and the manufacturing advantages of Southeast Asian countries, the number of spinning capacity pfer in China will increase gradually.

This will also drive the demand for textile machinery.

From the perspective of international textile production pattern, the competitiveness of Southeast Asian countries in the low-end textile industry has increased.

As a labor-intensive industry to increase employment and expand exports, the textile industry has developed rapidly in Southeast Asian countries, and has better development environment by virtue of local resources and relatively cheap cost advantages.

In recent years, a spun boom in Southeast Asia started.

According to Vietnam reports, some large spinning enterprises in Vietnam have been put into operation and started construction. The yarn self-sufficiency rate will increase to 70% in 2012 and gradually change the situation of long term dependence on imports.

By the end of 2011, the ting Wu polyester yarn factory invested by Vietnam Petrochemical Fiber Company has been put into operation. In 2012, the yarn output is about 150 thousand ~17.5 million tons, which will meet the domestic market demand of 40%.

In June of this year, Japan's Itochu Commercial Co., Ltd. will start construction of the spinning plant in Nam Dinh province. It is expected to be put into operation in 2013, with a total investment of 120 million US dollars, which is 50 thousand spindles.

After the project is put into operation, it will further improve the spinning self supply capacity of Vietnam.

At present, Vietnam has more than 3700 textile and garment enterprises, and the yarn needed for production is mainly imported from mainland China, Taiwan, China, Korea and India.

Vietnam textile and Garment Association recently called on the government to give enterprises greater support in policy and financing, and promote the development of upstream industries.

At the same time, we should actively guide enterprises to change the mode of production, and gradually change from feed processing to FOB (purchase of raw materials, export finished products), ODM (from design to production) and OBM (using Vietnamese brands).

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For a long time, Vietnam's textile and garment industry relies heavily on imports for the production of raw materials.

Vietnam needs 400 thousand tons of cotton per year, but it can only meet 3000 tons at home, less than 1%. It needs 400 thousand tons of rayon yarn, but it can only meet 120 thousand tons or 30%, and it needs 6 billion meters of cloth, but it can only meet 800 million meters or 13%.

The government has formulated a series of preferential policies to encourage domestic and foreign investors to develop upstream industries.

The textile and garment industry has always been the largest industry in Indonesia.

Because Indonesian textile workers' salary level is relatively low, and the Indonesian government's strong support for textile and garment industry investment, many countries of international garment importing have increased their imports to Indonesia.

In addition to the domestic market, Indonesia textiles have a certain market in the Middle East, Africa and the United States.

In recent years, as the political situation tends to be stable and the middle class continues to increase, Indonesia's economic fundamentals have developed well, and the scale of foreign investment in Indonesia has gradually expanded.

Over the years, the problem of equipment aging has been troubling the development of Indonesia's textile industry, and the introduction of large quantities of advanced textile machinery.

The Indonesian government has provided corresponding support to the textile industry in recent years.

Therefore, sales of Indonesian textile machinery still have great potential.

This can be seen from the sales growth of textile machinery in the three centers of Indonesia's textile industry, namely, Daya Garda, West Java and Thoreau (Java).

Pakistan is one of the world's leading textile producers and exporters, and its spinning capacity is third in Asia.

But in recent years, due to various unfavorable factors at home and abroad, it has been losing ground in international competition.

Because of the lack of electricity and natural gas and the unstable social environment, some investors have moved their factories to neighboring Bangladesh.

In order to revive the textile industry, the Ministry of textiles of Pakistan recently approved the TUF, which is likely to take effect from July 2012.

As part of the plan, Pakistan's central bank will support textile companies across the country to increase production capacity and upgrade textile machinery.

According to the technical pformation fund plan, large textile enterprises can get a 5% discount in updating technology, while small businesses can get a 20% discount on bank loans and get 10 million rupees in investment.

With the acceleration of the integration of free trade, according to the principle of market allocation of resources, some of China's dominant textile enterprises are also looking to Southeast Asian countries, trying to "go out" to set up production bases.

In addition to enjoying the tax exemption policy for imported raw materials in some Southeast Asian countries, enterprises in Europe, Japan and other developed economies also give preferential tariff policies to cotton textiles.

With the rising cost of domestic and the manufacturing advantages of Southeast Asian countries, the number of spinning capacity pfer in China will increase gradually.

This will also drive the demand for textile machinery.