Global Textile Production Will Experience Two Digit Decline This Year.

This year, global textile production will experience a decline of two figures, and the use of cotton in Asia will decline sharply. In terms of quantity, the output of textiles may be reduced by about 30%, and the decline of chemical fiber prices will also bring new challenges to cotton consumption. Compared with the data in April, the US Department of agriculture's global cotton consumption decreased by 5%, a year-on-year decrease of 15.3%, China's consumption dropped by 13.9%, Pakistan's 16%, and India's 14.6%.

At present, most countries are still in a closed state or in the early stage of reopening after closure. There is still considerable uncertainty about the duration and depth of the economic downturn and the possible form of final recovery. In three months of 2019/20, USDA will still have time to further reduce its consumption forecasts and further raise its final inventory. The outlook for 2020/21 is even more uncertain, but it is obvious that clothing retailing has suffered serious losses.

The United States and the European Union released March estimates of consumption expenditure by category, and clothing suffered more losses than any other commodity. Clothing consumption in the United States dropped by 28% compared with the same period last year, while EU clothing consumption expenditure dropped by 42% over the same period last year, the largest decline in history, and a larger decline is expected in April. Although China took the lead in getting out of the crisis, the retail sales in China in March and April were not encouraging, down 20% from a year ago. This is in sharp contrast to the growth of nearly 10% before the epidemic. Consumers everywhere may be very conservative after the outbreak.