Yarn Prices Have Fallen By More Than 500 Yuan / Ton Since April.

Recently, the market of cotton raw materials has been rising gradually, and the yarn is going backward. According to textile enterprises in Shandong and Hebei, most of the yarn fell more than 500 yuan / ton in early April, and reached 700-800 yuan per ton. The details are as follows:

1, cotton yarn is generally down, and enterprises are scared. In April 13th, the price of C21S, C32S and C40S of the combed yarn in a factory in Binzhou, Shandong was 18000 yuan / ton, 19000 yuan / ton, 20100 yuan / ton respectively, compared with last Monday (6 days), the price dropped 500-600 yuan / ton. Low and low matching yarn fell synchronously. By the end of 13, the price of air spinning OEC12S of a factory in Hebei Gaoyang was 13000 yuan / ton, down 600 yuan / ton compared with April 6th. There are two reasons for the decline in pure cotton yarn: first, cotton prices plummeted in 3 and April, and recently low cost raw materials have been transferred to textile enterprises. Data show that after the Spring Festival, cotton prices have fallen by more than 3000 yuan / ton, for example, Xinjiang's "double 28" picking cotton picking price has dropped from 13500 yuan / ton to 10500 yuan / ton in the early April. At present, most textile mills have begun to use cotton purchased after the Spring Festival, and the cost has dropped sharply. Second, enterprises are in a state of being alone. In recent years, more and more overseas epidemic cases, and a large number of overseas orders have been cancelled. Many business owners said that in 3 and April, enterprise orders at least reduced by 50%, individual enterprises reached 70%-80%. With less orders and higher sales pressure, enterprises compete to reduce orders and attract orders. This is the main reason for the recent decline in yarn prices.

2, polyester yarn fell first and then stabilized. Recently, the price of polyester yarn has also dropped. As of April 13th, the price of pure polyester yarn 32S in a factory in Dongying, Shandong was 9700 yuan / ton, compared with last week, the price dropped by nearly 400 yuan / ton. On the same day, the 45S price of polyester cotton yarn in Shandong, Hebei and other places was 15400 yuan / ton, compared with the previous week's drop of 500 yuan / ton. However, according to many manufacturers, the polyester yarn is in a dilemma. The main reasons are: first, the order is small and the sales pressure is high. Enterprises can only reduce prices to attract orders. According to some manufacturers, the backlog of downstream fabrics is very serious recently, and the fabric manufacturers have reduced pressure on the one hand; on the other hand, they have reduced the purchase of raw yarns or bought raw materials on credit. Polyester yarn manufacturers are the only option to reduce stock prices. Two is the recent upstream polyester and short quotes rise, polyester production costs greatly increased. According to introduction, as of April 13th, the price of 1.4D*38mm direct spinning polyester staple fiber in Shandong area was 5850-5900 yuan / ton line, compared with last week's price rose by nearly 700 yuan / ton. The fundamental reason for the rise is the agreement between OPEC and other oil nations last week to cut production by 10 million barrels per day. The market predicts that the international crude oil will end the bottom market in the future, which will have a positive impact on the entire chemical fiber market. Therefore, the recent polyester yarn presents a dilemma. If polyester and short staple prices continue to rise, polyester companies can only raise their quotations.

3, the price of cotton yarn has dropped and stock has risen. As of April 13th, the R30S price of cotton yarn in Shandong and Hebei was quoted at 13000 yuan / ton, and R40S quoted price at 14000 yuan / ton line, which dropped nearly 500 yuan / ton compared with the previous week. The reason for the decline in cotton yarn prices is still less orders and higher inventory pressure. In April 13th, many textile enterprises owners said that the demand for cotton yarn in the near future was obviously weakened, and the stock increased by more than 30%. However, the recent viscose staple fiber market is stable mainly, on the same day, viscose staple mid end quote in the vicinity of 9100 yuan / ton, enterprises take care of goods.

To sum up, under the influence of the international epidemic, domestic and foreign trade has collapsed, and overseas orders have been hit. It is expected that the yarn will remain low in the near future.