Yarn Dyed Market Is Becoming More And More Popular During The Spring Festival.

Over the past month, cotton prices have continued to rise at home and abroad. The price of pure cotton yarn has been keeping up with cotton prices, but the rising trend has not been effectively transmitted to the downstream, and the price of yarn dyed fabric has remained stable.

One Raw material Market

Since December 2019, the price of cotton has been rising all over the world due to the favorable factors such as trade frictions between China and the United States. Up to now, domestic 3128B cotton spot price has risen by about 760 yuan / ton compared with the same period last month, and the price of pure cotton yarn has been rising steadily along with the continuous increase in cotton prices this week. Recently, the atmosphere of the Spring Festival is getting stronger, and some textile enterprises have been closed down for a long time.

Two Yarn dyed fabric Market

Earlier, influenced by Christmas holidays in the west, the export yarn dyed weaving enterprises had been delayed, and the opening stage was slightly inadequate. Now it has basically returned to normal, and some of the orders are delayed due to the Spring Festival holiday. The yarn dyed enterprises reflect that they are mainly prepared by sending samples and ordering before the festival.

Recently, although the price of cotton and cotton yarn has been raised at home and abroad, the rising trend has not been effectively transmitted to the lower reaches, and the price of the yarn dyed fabric has remained stable, to a certain extent, squeezing the profit margins of the dyed weaving enterprises.

According to some enterprises, the sales volume of products decreased by 10% in 2019 compared with the same period last year, due to the poor market environment at home and abroad. In order to improve the competitiveness of the product market, enterprises actively optimize product mix and co-ordinate production, such as increasing the consumption of new fibers or yarns, increasing the added value of products, developing differentiated fabrics, and combining order production with spot supply.

Near the Spring Festival, foreign workers are coming back to China, and the local dyeing and weaving enterprises enter the stage of ending production. Some small and medium-sized enterprises will start off this week. Large enterprises generally maintain the usual practice in the past, and production will last until twenty-eight or twenty-nine in the twelfth lunar month. In order to reasonably arrange production, increase production efficiency and reduce costs, some of the dyed enterprises will arrange holidays in advance.

Three Outlook for future market

With the signing of the first stage economic and trade agreement between China and the United States, most of the yarn dyed fabrics enterprises are looking forward to the post holiday market based on the rising trend of raw material and cotton yarn prices.

(the above contents and data are from a sample survey of yarn dyed enterprises, for reference only).