Sino US Trade And Cotton Textile Market Observation

This week, the international economic and trade situation has undergone significant ups and downs, and the impact of Sino US economic and trade relations on the global economy is expanding. By the end of Beijing's 04:00 closing time in August 15th, the three major u. S. indexes were down at 3%, while the U.S. debt reappeared on the eve of the 2007 economic crisis, suggesting that investors think the US economy will decline in the short term. Global stock markets are following unrest, most of them are down, and China's A shares are relatively strong.

A week's highlights

On the evening of August 13th, the two sides took the lead in the Sino US economic and trade consultations. The Chinese side made solemn representations on the US side's tariffs on goods exported to China in September 1st. The two sides agreed to call again in the next two weeks.

At the same time, the US Trade Representative Office (USTR) formally announced the implementation plan of adding 10% additional duties to China's imports of about $300 billion. The plan points out that the current tax list is divided into the list 4A and the list 4B two. The tariff of the list 4B products will be postponed until December 15th.

On the afternoon of August 15th, the head of the Customs Tariff Commission of the State Council delivered a speech. He said that the United States would impose a 10% tariff on imports of goods from China for about US $300 billion, which seriously violated the consensus between the two heads of state of Argentina and the Osaka consensus and deviated from the correct track of resolving disputes through consultation. China will have to take the necessary counter measures.

Market price dynamics

This week, from the spot index situation, cotton and cotton yarn futures contracts at home and abroad showed a stable trend and then a downward trend. The price of domestic cotton main contract (CF2001) in August 16th was 12830 yuan / ton, up 55 yuan / ton compared with the same period last week. In the US cotton futures (ICE1912), the settlement price is 59.62 cents / pound in August 15th. Zhengzhou cotton yarn main contract (CY2001) August 16th settlement price of 20525 yuan / ton, compared with the same period last week rose 115 yuan. From the domestic spot market, in August 16th, the domestic 3128B cotton price index was 13150 yuan / ton, compared with that of last week, while the 32 cotton combed yarn price index (CY C32S) was 20530 yuan / ton, slightly down. According to the situation of cotton reserve, the base price of this week is 12744 yuan / ton, which is 547 yuan / ton lower than the previous week, and the turnover rate has risen sharply, reaching about 90%. The average price of the transaction is less than 12000 yuan / ton, which has declined since last week.

　　 Once again, the US side renege on its words to persuade the Chinese and us to enter the tariff seesaw war again. The proportion of non knitted or crocheted garments and accessories, knitted or crocheted garments and accessories is delayed. The US market's dependence on China's textiles is not to be divestied in the short term. With the coming of the peak season, the additional cost of tariffs will be shared among the buyers and sellers. The economic and trade relations between countries have become closely related. The delay of several tax increases can clearly show that the pattern of trade globalization has already taken shape. In the near future, the US side's attitude is uncertain. Whether September 1st will be the final date of the tariff dust settles depends on the subsequent two calls between China and the United States and the meeting at the end of the month.