Bad Price Increases, Yarn Prices Continue To Fall, Cost Hangs Over 1000 Yuan.
Recently, influenced by the Sino US trade war, tariff issues have always been coiled around enterprises, and the United States may impose tariffs on another 325 billion US dollars to export US products, which will involve all exports of textiles, which will strike a great blow to the mentality of businessmen. The domestic cotton textile industry chain is fluttering in the wind and rain, and the yarn negative pressure increases again.
According to the data released by the National Bureau of statistics, in April, the total retail sales of social consumer goods increased by 7.2% compared with nominal terms, and the retail sales of consumer goods above the limit increased by 2%, of which clothing, shoes and hats and needles and textiles consumption decreased by 1.1% compared with the same period last year. This is the first negative growth in clothing, shoes and hats and needles and textiles consumption for the first time in 10 years. The decrease of terminal demand also reflects the decline in the prosperity of the textile market, the decline in the overlay of orders and the decline in the profit of the superposition of the order, the yarn products or the deep fall in the whole line.
As of June 13th, the price of 21S high quality knitted pure cotton yarn at a factory in Weifang, Shandong was 22100 yuan / ton, and 32S high quality knitted pure cotton yarn was 22800 yuan / ton, down 500 yuan / ton compared with last week. According to the manufacturer, since the middle of May, the high pure cotton yarn has fallen by more than 1000 yuan / ton. At the moment, with the rising temperature and the harvest season of wheat, many textile enterprises in the north take the opportunity to take a vacation for the summer. Due to the lack of orders and the falling prices of upstream raw materials, manufacturers are worried that the production of cotton yarn will drop with production, and more and more companies will stop production.
The market continued to decline and the yarn market continued to decline. The cost of production of most manufacturers has been hanging over 1000 yuan / ton, and the pressure of survival has gradually increased. Enterprises have said that the production is temporarily put to rest, waiting for the G20 summit to meet the heads of state meeting and decide whether to continue production according to market changes.
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