Weak Down, Yin Price, Negotiate Shipment, Polyester Fiber Fell Below 6 Or Viscose Staple Fell Below 9?

Market brief

In March 12th, China Cotton Reserve Management Co., Ltd. planned to purchase 15000 tons of Xinjiang cotton, and the actual turnover was 2680 tons, with a turnover rate of 17.87%. The average price was 13143 yuan / ton, of which 2680 tons were in the mainland bank. This week (March 9th -3 13), the highest price limit was 13144 yuan / ton (standard 3128B price), down 421 yuan / ton compared with the previous week. From December 2nd to March 12th, the total turnover of Xinjiang cotton reached 215160 tons, of which 12480 tons were accumulated in the Xinjiang warehouse, and 202680 tons in the mainland stock market. A total of 92 enterprises were auctions.

Affected by the fall of crude oil, Zheng cotton further explored the former low and the market was out of fundamentals. Investors expected that the economy might turn to recession and the market wait-and-see atmosphere was strong. Zheng cotton fell sharply and the pessimistic atmosphere of the lint spot market began to rise again. Cotton prices fell again. Some of the downstream cotton mills bought a small price at a low price, and fixed price resources stalled. The downstream textile enterprises continued to improve, but the capacity load was still less than the same period in previous years, and the subsequent orders were insufficient, and raw cotton was used with mining. But under the pressure of cost, the gin plant had a calm mind and no market. A sharp reduction in the price of goods, short term lint supply is still sufficient, and the downstream demand has not yet been released in large quantities, the external market is still unstable factors, cotton prices rebound lack of effective support, cotton prices are expected to continue low-level shock consolidation trend.

Acrylonitrile prices continue to be weak consolidation, slow recovery of downstream demand, the air market is not decreasing, circulation in the field of low prices heard continuous, middlemen trader mentality cautious, but raw material prices slow down, the price of acrylonitrile market has fallen below the factory cost line, manufacturers have accumulated inventory, trader mentality cautious, short-term forecast acrylonitrile price is difficult to change, but lower The degree is limited. Acrylic staple fiber prices continue to be stable, raw material acrylonitrile prices are weak, acrylic fiber cost support is insufficient, factory theory profit is considerable, but downstream factories wait and see price changes mainly, purchase mentality is cautious, market trading atmosphere is general, acrylic fiber factory has stock accumulation, short term acrylic fiber price stability is expected, or around the end of the month or adjustment.

As at 24 hours in March 10th, Xinjiang's lint had been processed 5 million 9 thousand and 500 tons, representing a decrease of 1.96% compared with 5 million 109 thousand and 800 tons in the same period last year. The total processing capacity of the autonomous region was 3 million 168 thousand and 700 tons, a decrease of 9.8% compared with that of the previous year, and the total processing volume of the Corps was 1 million 840 thousand and 800 tons, an increase of 15.2% over the same period last year. At present, the average daily processing capacity of this year is less than that of the same period last year, and the cumulative processing volume is lower than that of the same period last year. The total quantity of inspection in Xinjiang was 4 million 880 thousand and 700 tons, and the operation of public inspection in Xinjiang's regulatory warehouse was gradually restored to normal. Logistics transportation in the region has resumed, and the operation of the Xinjiang Railway is basically normal. It is understood that in some parts of Kashi Bachu county and Akesu, the surrounding roads began to resume limited traffic, and a small part of the ginning factory began to resume work.

At the end of February 2020, the cotton association of China conducted third surveys on cotton planting intention in 2425 provinces in 12 provinces and municipalities in the mainland and in Xinjiang autonomous region in 2020. The results showed that the cotton planting area in 2020 was 45 million 735 thousand and 700 mu, down 5.03% from the same period last year, and the decrease was 0.33 percentage points lower than that in the previous period. Among them, the decline in Xinjiang was narrower than that in the previous period, and the decline in the Yangtze River Basin and the the Yellow River basin has been widened. The main reasons for the decline of cotton growers reflected in the mainland are: first, the lower prices of cotton; two, the implementation of cotton subsidies in 2019 is less, and the Cotton Subsidy Rules in 2020 are not clear.

Ministry of agriculture and Rural Affairs: in March 2020, China's cotton production situation was not adjusted in 2019/20. Affected by the new crown pneumonia epidemic, domestic and foreign economic downward pressure has increased, textile and clothing consumption has decreased significantly. In 2020 1-2, China's textile and apparel exports were US $29 billion 830 million, down 20% from the same period last year. Taking into account the late recovery factor, the annual cotton consumption will be cut 300 thousand tons to 7 million 730 thousand tons this month, the import volume will be reduced from 100 thousand tons to 1 million 700 thousand tons, and the final inventory will be increased from 200 thousand tons to 7 million 130 thousand tons. The global cotton supply and demand pattern is loose, affected by the worries of the development of the epidemic, cotton prices will remain low at home and abroad, and the cotton price forecast interval of the new year will remain unchanged.

In March 3rd, the office of Chengdu Textile College in Sichuan received a heavy gift from Jin Yuan, a thousand miles away from Fujian, with ten thousand masks. Jin Yuan textile company members also made some suggestions to their classmates: to maintain good hygiene habits after school, wear masks, wash their hands frequently and maintain a good mood of peace; cooperate with the management and epidemic prevention work of schools, and report to teachers in all aspects; after school, students are expected to seize the day and take up the learning plan, and learn professional knowledge. Sichuan Chengdu Textile College and Changle textile have a relatively high correlation. According to incomplete statistics, Changle textile owns nearly 1000 graduates of the school. Most of them have grown into production backbone and fought in various positions of enterprises such as Jin Lun and Heng Shen.

The executive meeting of the State Council, held in March 10th, decided to identify new measures to cope with the impact of the epidemic, stabilize foreign trade and stabilize foreign investment, deploy the capital chain of the industrial chain further, promote the coordinated recovery of all sectors, and make better use of the policy of rediscount of special reloans, and support the development of epidemic prevention, control and supply and enterprise rescue. Mainly for export products timely and full tax rebate, increase foreign trade credit, launch short-term export credit insurance business and reduce rates, prepare for the spring Canton Fair, open up industrial chain supply chain plugging point, maintain international supply chain unimpeded, increase liquidity loan support, speed up loan delivery progress, etc.

The Vietnamese government has just promulgated 20/ND-CP agreement on the implementation of the export licensing mechanism for medical masks during the prevention of Covid-19 epidemic. According to the above agreement, the Ministry of health of Vietnam will implement the export licence mechanism for medical masks during the period of Covid-19 prevention, and can only export under the aid objective of the Vietnamese government and the international support situation (export ceiling 25% production, and 75% production for domestic epidemic prevention in Vietnam). The above provisions do not apply to processing exporters or manufacturers who sign contracts for OEM export contracts with foreign clients before March 1, 2020. The Vietnamese government has instructed the Ministry of health to preside over the Ministry of industry and commerce, and the Ministry of finance has issued relevant documents, procedures and procedures.

According to the March 11th report of Labor Party of the Korean labor party organization, the North China road connecting with China, Dingzhou will mobilize the production of masks for cloth and garment factories, the health and epidemic prevention agency and the pharmaceutical administration will further intensify the production of disinfectant. From the production site map released on the same day of labor news, we can also understand that various soap factories in Pyongyang have also put into production various disinfection products. The report also said that ambulances and trucks and other means of transport were on standby to ensure that medical devices and epidemic prevention materials could be transported at any time.

Market curve