Textile Export Pressure Increases, Production And Sales Growth Continues To Slow Down

A few days ago, from 2012

The third industrial economic operation conference was informed that the growth rate of major economic indicators such as textile production, exports and investment continued to slow down due to factors such as sluggish external demand, slowing domestic demand and increasing domestic and foreign cotton price differentials.

Under the circumstances that the international market demand is hard to improve obviously, the domestic production cost continues to rise and the market competition is becoming increasingly fierce, it is expected that the export pressure of the industry is still outstanding, resulting in a further decline in the industry's production and marketing growth.

Because the price trend of cotton is not clear at present, the negative growth trend of textile industry is still difficult to reverse.

Sun Huaibin, spokesman of the China Textile Industry Federation, said that with the gradual increase in domestic demand growth and the decline in the number of statistics in the same period last year, the rate of decline in production and sales growth is expected to gradually decrease.

Sun Huaibin said that since 2012, the growth rate of textile production has been slowing down.

According to the National Bureau of statistics, the total industrial output value of 37 thousand Textile Enterprises above Designated Size reached 3 trillion and 146 billion 710 million yuan in 1-7 months, an increase of 10.9% over the same period last year. The growth rate dropped by 18.8 percentage points over the same period last year, a decrease of 3.8 percentage points compared with the first quarter of this year.

Due to the low international market demand, the continuous spread of domestic and foreign cotton prices and the continuous rise in production costs, the pressure on textile and clothing exports has increased significantly since 2012.

According to customs statistics, China exported 141 billion 580 million US dollars of textiles and clothing in 1-7 months, up only 0.3% from the same period last year, and the growth rate dropped 25 percentage points over the same period last year.

If the price rise factor is deducted, the actual export of textile industry is negative growth.

In the first seven months of this year, China's textile and clothing export prices increased by 2.9% over the same period last year, and the number of exports decreased by 2.5% compared with the same period last year, a decrease of 5 percentage points over the same period last year.

Sun Huaibin pointed out that the reduction of foreign demand leading to insufficient orders in export enterprises is an important factor affecting the operation of the textile industry.

In the first half of 2012, the total value of imports of textiles and clothing from the EU decreased by 6.9% over the same period last year. The total import volume of textiles and clothing in the United States was close to zero growth. Japan grew by only 2.2% over the same period last year, and the international market demand was generally low.

Affected by the continued deterioration of the European debt crisis, the recovery of the international market is still facing higher risks.

In the middle of July, the International Monetary Fund will reduce the global economic growth by 0.1 percentage points to 3.5% in 2012, and the prospects for global economic recovery are not optimistic.

"The international market is still in the doldrums, and emerging market exports.

The decline has led to a decline in demand for fabric accessories in China.

Sun Huaibin believes that the future export situation of the industry is difficult to change, and there will still be negative growth.

It is expected that in 2012, the international market will continue to slump, and textile industry exports still lack the market power to stabilize and improve.

Sun Huaibin disclosed that since 2012, domestic cotton prices have always been higher than the international market, and the spreads have been widening.

By the middle of August, domestic cotton prices had been more than 5000 yuan higher than that of the international market, and the spread of price increased by 67% compared with the beginning of the year.

According to market demand and supply situation, it is hard to reduce the price difference between domestic and foreign cotton in recent years. In addition, a new round of cotton temporary purchase and storage policy is about to start in China. The problem of cotton price difference between domestic and overseas will still exist. This is also the primary factor affecting the operation of the textile industry.

"Cotton price spreads have not changed significantly, and exports have continued to grow negatively.

Corporate profits are constantly squeezed, and it is expected that SMEs will continue to run poorly.

Sun Huaibin expressed this.