The Recovery Of Terminal Demand Of Chemical Fiber Industry Is Lower Than Expected, The Decline Rate Of Output Continues To Narrow, And The Situation Is Still Grim

Since this year, the operation of chemical fiber industry has been seriously affected by the epidemic situation of new crown pneumonia. Since February, the industry has steadily promoted the resumption of work and production. At the beginning of April, the coordination of textile industry chain operation basically returned to normal, but the recovery of market consumption demand was obviously lagging behind. In May, crude oil hit the bottom and rebounded. The cost side support of chemical fiber was obvious, and there were some bottom reading actions in the downstream. The decline rate of some indicators of chemical fiber industry operation was narrower than that from January to April, but the recovery of terminal demand was lower than expected. The global epidemic situation has not shown any signs of improvement, and the situation of chemical fiber industry is still grim.

Domestic demand for textiles and clothing is sluggish and exports are blocked, but the decline rate has narrowed. In terms of domestic demand, according to the data of the National Bureau of statistics, from January to may, the retail sales of clothing, footwear, knitwear and textiles of units above the national quota decreased by 23.5% year-on-year, 26.1 percentage points lower than that of the same period last year, and the decline rate was 5.5% lower than that of January April; the retail sales of online wear goods decreased by 6.8% year-on-year, 28.0 percentage points lower than that of the same period last year, and the decline rate was 5.2% lower than that of January April Point. In terms of the demand for chemical fiber products in the textile and clothing industry, unless the output of weaving fabric increased by 2.46%, the output of cotton blended yarn, chemical fiber yarn, cotton blended fabric, chemical fiber staple fabric and cord fabric decreased by 29.96%, 11.84%, 43.34%, 12.05% and 10.44% respectively, and the decline rate of most products was slightly narrower than that of January to April. In terms of foreign demand, according to the data of China's customs, the export value of China's textiles and clothing from January to May was 100.62 billion US dollars, a year-on-year decrease of 2.3%. The decline rate continued to narrow by 8.2 percentage points compared with January to April, and increased by 0.4 percentage points compared with the same period of last year.

The decline of chemical fiber output continued to narrow. According to the data of the National Bureau of statistics, China's chemical fiber output from January to May was 22.94 million tons, a year-on-year decrease of 3.16%, and the decline rate continued to narrow by 1.81 percentage points compared with January to April, and the performance of various subdivision products was different. Among them, the output of viscose staple fiber was 1148800 tons, with a year-on-year decrease of 34.34%, which was 4.84 percentage points deeper than that of January to April; the output of polyester fiber was 18145200 tons, with a year-on-year decrease of 2.30%; the output of spandex was 316900 tons, with a year-on-year decrease of 0.49%, which did not continue the growth trend from January to April; the output of nylon was 16366100 tons, with a year-on-year increase of 1.30%, which reversed the situation of decrease from January to April.

The international trade situation is grim, and the decline of chemical fiber import and export continues to deepen. According to the data of China Customs, from January to may, China imported 313700 tons of chemical fiber, a year-on-year decrease of 17.19%, a decrease of 2.32 percentage points compared with that of January to April, and the import volume of main products decreased to varying degrees. In terms of export, affected by the overseas epidemic situation, the export volume of chemical fiber decreased. From January to may, the export volume of chemical fiber decreased by 16.90% to 1.6661 million tons, which was 9.2% deeper than that from January to April, and the decline rate of main products was deeper than that from January to April. Among them, the export of polyester staple fiber decreased by more than 30%, polyester filament export decreased by 13.31%, nylon filament export decreased by 16.42%, viscose filament export decreased by 24.37%, viscose staple fiber export decreased by 17.07%; the market heat of spandex mask ear tape decreased, and the export volume changed from January to April with a year-on-year decrease of 6.17%.

The economic efficiency of the industry decreased significantly. According to the data of the National Bureau of statistics, from January to may, the business income of Enterprises above Designated Size in chemical fiber industry was 286.292 billion yuan, with a year-on-year decrease of 17.97%, and the decrease rate was 1.99 percentage points lower than that of January April; the total profit was 4.097 billion yuan, with a sharp decrease of 59.13% year-on-year, and the decline rate was 1.31 percentage points lower than that of January to April, among which polyester and nylon industries decreased by 90.40% and 7.72% respectively. The profit margin of operating revenue was only 1.43%, 1.63 percentage points lower than that of the same period last year. Compared with the same period last year, the loss of enterprises increased by 15.25% year-on-year, increasing by 15.25%.

Investment confidence is insufficient, and fixed asset investment has decreased significantly year on year. From January to may, the fixed assets investment in chemical fiber industry decreased by 23.2% year on year, 9.6% more than the same period last year, and 7.0% more than that from January to April, reflecting the lack of investment confidence of enterprises, but the key enterprises in the industry are still steadily promoting the construction of new projects.