With The Increase Of Downstream Production Restriction And The Worse Search And Purchase, Will Raw Materials Be Slumped Under The Pressure Of Inventory And Capital?

Market brief

Yesterday, Zheng cotton closed, the lint spot market was flat, the industry waited and watched, sporadic cotton mills purchased "one price" resources, the volume was very limited, the downstream textile enterprises continued to accumulate product inventories, the intensity of production restrictions increased, and the demand for lint purchase was repeatedly reduced. The situation of goods being difficult to sell is still more prominent. Short term oversupply will obviously suppress cotton prices. It is estimated that cotton prices will continue to be weak before May 1. Cotton seeding in Xinjiang is coming to an end. The emergence of cotton is in good condition. Attention should be paid to weather conditions and the trend of speculation.

There are no other guidelines for the price of acrylonitrile. There are no other guidelines in the circulation area. The traders in the circulation market are cautious with the market. The price of the business is mainly based on the factory price. There is no lack of low-end offer in the market, and the terminal demand is not good at present. The overall market turnover is temperate. At present, the price of acrylonitrile is relatively low, and the cost is sustained. The acrylonitrile price is expected to be sideways in the near future. Concussion is the main factor. Acrylic staple fiber prices continue to be weak consolidation, raw materials acrylonitrile prices are weak and volatile, acrylic plant prices decline, the focus of the market is weak shocks, but poor terminal demand, downstream users purchase mentality is still cautious, concerned about the relevant news guidelines, mainly expected short-term acrylic prices will remain weak finishing.

Xinjiang is the main cotton producing area in China. With the acceleration of the resumption of production and production of textile enterprises in the mainland, the Xinjiang railway department has made every effort to guarantee cotton distribution and meet the needs of enterprises in various parts of the country. Since mid April, there have been cotton special trains running in the BaChu Railway Station and Korla Railway Station freight yard of the southern Xinjiang Railway. They are mainly transported to Jiangsu, Zhejiang, Hubei, Hunan, Jiangxi, Guangdong and other places to support the resumption of production and rehabilitation of many textile and medical materials enterprises. The local railway departments have put cotton loading into the daily work, and work overtime to organize transportation. At present, the Xinjiang railway department has launched the cotton transportation business in 9 railway freight yards such as Bachu, Akesu and Shihezi in the southern Xinjiang. Among them, 4 railway freight yards including Kashi, Korla, Kuitun, and Wubei are newly installed, carrying out fast loading and priority transportation, setting up a green way for the transportation of cotton. According to the statistics of the Urumqi Railway Bureau of China, from January this year, as of April 21st, the Railway Bureau of Urumqi of China sent 1 million 414 thousand and 300 tons of cotton in total, an increase of 68.5% over the same period last year.

24, 2020 Spring National Textile Park video research will be held in Jiangxi. Leaders from relevant trade associations and textile industrial parks in Jiangxi province and representatives of enterprises will attend the meeting, focusing on the current situation of the industry under the epidemic situation and the situation of self-help, and make recommendations. Jiujiang Sai Deli, Sheng Jun silk chemical fiber and other enterprises adhere to start up, make full use of medical masks and protective clothing raw materials. Jiangxi Changshuo outdoor leisure products Co., Ltd. urgently called on employees from all over the country to return to posts, organize the production of PTFE composite materials for medical protection, and timely manufacture nanoscale protective clothing. Winners, ninda, KANGYI, Changshuo, Huaxing knitting, paerge clothing, and Nanchang Baibai Hui garment industry and other leading enterprises in the industry, give full play to their industry advantages, have invested in the production of masks, protective clothing and other epidemic prevention materials. Only 9% of enterprises export orders to 80% of normal situation, and the proportion of export orders is below 50% of normal situation, the proportion of enterprises is as high as 61.2%.

On the morning of 24 th, the Xinjiang autonomous region promoted the video conference on textile and clothing and other labor-intensive industries to promote employment. The meeting informed the 2019 regional textile and garment employment and industrial development and the main points of 2020. The meeting stressed that we must firmly grasp the core task of developing industries and promote employment, and continue to exert great efforts in enhancing the sustainable development level of textile and clothing and other labor-intensive industries and promoting their employability. We should further improve the industrial chain, intensify market development, and do a solid job in personnel training, so as to enhance the overall strength and development level of the industry. We must adhere to one enterprise, one strategy and precise service, ensure that all policies and measures affected by the hedging effect are effective, and promote the coordinated recovery and production of all links in the industrial chain. We should speed up the progress of key projects to ensure early completion, early production and early employment.

Recently, the Nantong Federation of trade unions, the Municipal Bureau of labor and industry, the Bureau of human resources and Social Sciences and the textile industry association promulgated the measures to promote the reform of the construction of industrial workers in Nantong textile industry, and put forward 10 measures, namely, deepening the party building and construction mechanism in textile enterprises, promoting the establishment of blue collar technical talents fund, and setting up "smart Blue Award" for textile workers. We should improve the training system for skilled personnel, strengthen the political gains and economic gains of textile workers, and strive to create a team of highly qualified textile workers with ideals, beliefs, skills, creativity, and dedication to contribute to the development of the textile industry in Nantong.

Recently, the Hebei provincial market supervision bureau has decided to concentrate on the supervision and inspection of textile and clothing in the whole province. The special operations are targeted at students' clothing in the administrative area of the province, infant clothing products with safety category A, and the producers and sellers of products that are directly related to the skin, such as underwear, underwear and shirts, which are classified as B. Special actions are taken in combination with on-site inspection and product sampling inspection. A comprehensive inspection of the corresponding textile and garment producers and sellers in the area shall be carried out. Follow up sampling tests shall be carried out for the substandard products of the state supervision and spot checks, the provincial supervision and spot checks, and the transfer of products suspected of having quality and safety problems in recent years.

According to the statistics of business data in 350 tens of thousands of platforms, the rate of resumption has exceeded 90%. In the first quarter, the scale of online retailing was basically the same as that of last year, and the online retail sales of physical goods increased by 0.9%. From April 28th to May 10th, the Ministry of Commerce, the Ministry of industry and commerce, the State Post Office and other departments will jointly organize online shopping festivals, and participate in 109 platforms. Various businesses will launch various preferential activities, giving consumers real benefits and profits.

The results of the second International Textile Federation's new crown impact survey show that more orders have been cancelled or postponed since the first survey. Global orders fell by an average of 32%, compared with only 8% in the first survey. In the second survey, only a handful of companies reported new orders since the beginning of the crisis. Companies that get extra orders (mainly garment companies) can quickly switch from traditional textile products to medical textiles. It is worth noting that the reduction of orders in East Asia (-20%) is significantly lower than that in all other regions (-30% to -41%). It can be assumed that the area affected by the epidemic first is also the first to recover from the epidemic crisis. In particular, China and South Korea have successfully controlled the epidemic. In the past 2-3 weeks, most Chinese textile companies have accelerated their resumption of production. Similarly, the "offline" retail outlet is also reopened, and consumption is rising again. Companies around the world predict that the turnover in 2020 will be 29% lower than that in 2019. This is obviously lower than the first survey result 11%. So far, orders can be increased during the new crown crisis, and the turnover in 2020 is expected to be higher than that of last year.

At present, many places in Vietnam have gradually liberalized social isolation and resumed normal resumption of production since April 22nd. Vietnamese Prime Minister Ruan Chunfu has agreed to resume the export of medical masks and protective clothing, provided that the domestic demand, including reserves, needs to be met first, while the export target is limited to countries suffering from severe impact of the new crown pneumonia. Statistics from the Ministry of health show that there are about 68 companies producing medical equipment and protective clothing in Vietnam. In addition to cloth masks, some textile and clothing companies are also investing in producing medical masks. However, Vietnam's EU Trade Office warned that mass production of medical masks and protective clothing would lead to poor quality products and excessive supply if it failed to comply with technical standards for production control. Manufacturers must be aware that exporting medical masks and protective clothing to the EU requires the use of CE badge. The CE logo indicates that the product has been evaluated by the manufacturer, and that it meets the requirements of the European Union's safety, health and environmental protection.

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