June! How Bad Is The Textile Industry? Please Look At The Data.

According to the latest data from the General Administration of customs, China exported $10 billion 310 million of textile yarn, fabrics and products in the month of June 2019. From January 2019 to June, China exported 58 billion 620 million US dollars in textile yarn, fabrics and products. In the first six months of 2018, China exported textile yarn, fabrics and products to 58 billion 240 million US dollars, up 0.7% from the same period last year. In the month of June 2019, our export garments and accessories were US $14 billion 340 million; from January 2019 to June, our total export garments and accessories were US $65 billion 610 million; in the first six months of 2018, our export garments and accessories reached 69 billion 10 million US dollars, down 4.9% from the same period last year.

　　 According to the survey report of cotton textile enterprises in June, the textile market remained weak in June, and the cotton yarn inventory remained high. Most of the liquidity was tight, and the operating rate of the spinning mill was low. The market was slightly improved in late June, but the order was still insufficient. According to the China Cotton warning information system, the survey of 90 fixed-point textile enterprises in the country showed that raw material inventories of textile enterprises decreased, textile production decreased, yarn inventory was basically the same as last month, and fabric storage increased.

01

Decline in textile production

In June, the output of textiles decreased compared with that of last month. According to the survey, yarn production decreased by 3.7% in June, down 4.8% from the same period last year, of which cotton yarn accounted for 69.7%, a decrease of 0.5 percentage points from the previous month, and the proportion of blended yarn and chemical fiber yarn was 30.2%, an increase of 0.5 percentage points from the previous month.

Cloth production decreased by 3.3%, down 4.1% compared with the same period last year, of which cotton percentage was 0.8 percentage points lower than that of last month. Yarn sales rate was 70.8%, an increase of 0.2 percentage points from last month.

Yarn inventory of textile enterprises is 30.27 days, 0.33 days less than last month. Grey cloth inventory for 34.36 days, an increase of 0.26 days from last month.

02

Prices of both internal and external yarn fell.

The price of cotton yarn continued to drop in June. According to the survey, the average price of 32 domestic pure cotton yarn in June was 21907 yuan / ton, down 783 yuan / ton, or 3.4%, down 1946 yuan / ton compared with the same period last year, or 8.16%; the average monthly price of imports of 32 pure cotton yarn was 22036 yuan / ton, down by 485 yuan / ton, or 2.15% yuan, down by 1918 yuan / ton compared with the same period last year. Because of the high inventory of cotton yarn, spinning enterprises are mainly going to inventory this month, and the foreign quoted prices are still falling.

　 03

Enterprise raw material inventory decline

In the late June, Zheng cotton futures rose slightly, and played a positive role in the spot market. However, the pressure of spinning enterprises' funds was bigger. As of June 30th, the stock of cotton in the textile industry was 688 thousand tons, down 63 thousand and 600 tons from the end of last month, down 219 thousand and 600 tons compared with the same period last year. Among them: 49% of enterprises reduce cotton inventories, 10% increase inventories, and 41% remain basically unchanged.

The cotton structure of textile enterprises in June was relatively stable.

1. textile enterprises used Xinjiang cotton accounted for 82.7% of the total cotton consumption, an increase of 2.7 percentage points from the previous month, an increase of 7.14 percentage points from the same period last year. Among them, the proportion of Xinjiang cotton produced by the reserve wheel was 19.45%, and the proportion of Xinjiang cotton accounted for 80.55% this year.

2. the proportion of textile enterprises using real estate cotton is 6.8%, which is 1.4 percentage points lower than that of last month. Among them: the proportion of the real estate cotton in the reserve wheel is 24.68%, and the proportion of real estate cotton in this year is 75.32%.

3. the proportion of imported cotton used by textile enterprises was 10.5%, down 1.3 percentage points from the previous month, down 3.28 percentage points from the same period last year.