Foreign Yarn Quotes Declined, Traders Cleared And Dumped Goods.

According to Ningbo, Zhangjiagang, Qingdao, Guangdong and other places of cotton yarn traders feedback, in the past week, OE yarn, 7-16Ss siro spinning and ring spinning yarn import and export inquiry, shipment as a whole has declined, C21/C32S Vietnam, India, Indonesia high demand bleached yarn demand is more and more light.

Only part of the imported high OE10S, OE16S and OE21S yarns were replaced by denim factory and shirts factory instead of ring spinning.

Since the first half of June, the price of the dollar in Vietnam, Pakistan and Central Asia has continued to decline, except that the quotation for the printed yarn is still relatively strong. Traders are feeling the pressure in the upstream and downstream "cracks".

An importer from Changzhou, Jiangsu, said that the number of foreign yarn delivered to China's main port and bonded warehouses in May was estimated to be 16-17 tons, much lower than the 200 thousand tons predicted by some institutions and large enterprises. However, due to several weeks' external customs clearance and sales slump (some traders even did not open for more than a week), although the arrivals decreased, the external yarn inventory of ports increased, and traders pressure increased again and again, and then three.

Judging from the survey, at present, the price of C32S high package bleaching and printing yarn is about 22400-22600 yuan / ton (Vietnam C32 package bleaching is slightly lower than 50-100 yuan / ton), while the price of C32S bleached yarn in Guangdong and Jiangsu and Zhejiang markets has dropped to 21800-22000 yuan / ton, and the difference between inside and outside yarn price is nearly 500 yuan / ton in Shandong and Guangdong.

Some looms and middlemen have reflected that although the quotation of imported cotton yarn of C21, C32 and JC21/JC32 has been reduced by 300-500 yuan / ton since mid May, the loss of traders has been expanding. However, compared with domestic yarn from 23300-23500 yuan / ton to 21900-22100 yuan / ton, the price of foreign yarn has dropped by over 6%. In fact, some of them are "unable to handle" (the price of CY2001 contract fell from 25295 to 20515, or 18.9%).

At present, the price advantage of domestic yarn is obvious.

On the one hand, Zheng led 2018/19 cotton spot and cotton reserves to drop sharply at the base price, and the cost of cotton mills dropped rapidly. On the other hand, the boom of terminal textile and clothing exports and domestic orders declined considerably, and the factories and garment factories slowed down or even suspended the purchase of cotton yarn and billet to deal with the uncertainty of Sino US trade negotiations.

Some cotton yarn traders plan to increase prices, promotions and even discharges in 6/7 months. The first thing is to "recognize gambling losses" and recover money. The first is that domestic cotton yarn prices are "bottoming out"; two, concerns about the continued escalation of Sino US trade war have intensified; three, imported yarn is significantly lower than that of futures and domestic yarns, which is "make up"; the four is the low price in 6/7 month, the export of India and Pakistan, the Vietnamese yarn delivery, and the large impact of warehousing; the five is the "yarn full" of the ports, the pressure of traders is high, the cash flow is generally tight, and the six is that the RMB exchange rate is depreciated and the cost of customs clearance is reduced.