Bad Factors Superimpose Export Orders.

From the survey of Cotton Traders and cotton textile enterprises in recent days, the proportion of stopping production and holiday in the Dragon Boat Festival is not high. Most of the small and medium-sized weaving factories in Jiangsu, Zhejiang, Guangdong, Shandong and so on are mostly on holiday for 1-3 days, so as to cope with the pressure and risks of the off-season domestic orders and the increasing inventory of products.

Feedback from a 5-6 million spindles cotton textile enterprise in Xuzhou, since mid June, cotton yarn and grey fabric have been mainly "de Stocking", and the bargaining space of OE yarn and C21S-40S regular combed yarn has expanded from 50-100 yuan / ton to 100-200 yuan / ton, and the quantity is excellent. Company officials said that the largest inventory is grey cloth, not only a large number of operating funds, but also fabrics, clothing, foreign trade companies credit payment phenomenon is very prominent, "no credit no customers, credit hard to get back", at present, the company's domestic yarn accounted for 30-40%, export yarn accounted for more than 60%.

Cotton textile enterprises are not optimistic about whether export orders can continue to be sold domestically in 7-9 months. As a result of feedback from the weaving, clothing and foreign trade companies in the coastal areas, textile and apparel orders in Europe, America, Japan and South Korea have not improved significantly. Some of the textile and garment enterprises in Jiangsu and Zhejiang have only recovered 30-50%, and the growth is very difficult.

There are several negative factors in the second half of 2020: first, the United States has become the epicenter of the epidemic; 31 states have announced the bounce of the epidemic; at least 11 states have suspended or postponed the restart plan; two, under the epidemic, textile and apparel orders in Europe and the United States have been transferred to Vietnam, Bangladesh, Indonesia, South America and other countries, and the trend of "made in China" has been more obvious; three, India and Pakistan. The raw material of cotton and polyester staple fiber in China is much lower than that in China, and the competitiveness of gauze and clothing is strong. Four, compared with the fluctuation of RMB exchange rate, India rupee, Bangladesh Taka and Vietnam shield continue to depreciate against the US dollar, and the advantages of textile and clothing export appear.