In The Traditional Off-Season, Downstream Prices Are In Conflict With High Prices, And Raw Material Preferences Are Increasing. Yarn Enterprises Once Again Tired?

Market brief

Zheng cotton main force in the 11500 yuan / ton up and down the consolidation, the main contract short added positions, investors cautious attitude, is expected to focus on the recent cotton Zheng cotton finishing, the lint spot market performance is still more general, the downstream yarn orders are still the general situation, for raw material acquisition and maintenance just need small single purchase, lint spot purchase and sale is not strong, inventory pressure is still outstanding, real estate cotton. In spite of the fact that the downstream yarn intention purchase price has risen, but the actual transaction is limited, the cotton mill is still hard to make profits. The imported cotton is still very common. Because of the low transaction price of the new cotton, the advantage of the imported cotton is still not strong. It is about to enter the June, and the downstream textile industry has entered the traditional off-season. Performance, small shock finishing mainly concerned about the weather speculation and storage and other related policy information.

The price of acrylonitrile market continued to be strong and volatile, and some factory quotations rose to 8000 yuan / ton. Due to the fact that the restart time of the maintenance unit was not clear, the time for production of Zhejiang Petrochemical was also pushed back. In the short term, the supply of acrylonitrile increased little, and the inventory of enterprises remained low. At the same time, the start-up rate of the downstream acrylic fiber industry increased. Acrylonitrile manufacturers also tend to increase their profits in the case of poor profitability, so the focus of market transactions has gradually increased, but terminal demand has not improved significantly, acrylonitrile prices continue to rise may encounter acrylic manufacturers conflict, the short term is still biased by strong adjustment. Acrylonitrile price stable market outlook, raw materials acrylonitrile continued to rise, acrylic fiber cost pressure increased, and terminal demand has not improved significantly, acrylic fiber industry part of the maintenance device restarted, factory equipment load maintained at 5-8, factory operator enthusiasm is still limited, downstream cotton mill orders generally, factory to raw material pick up enthusiasm is not high, but rising cost compression acrylic fiber manufacturers Profit margins, short term acrylic fiber prices are expected to rise or fall.

Recently, the reply issued by the Puning Municipal People's Government on the regulatory detailed planning for the starting area of the textile and dyeing and environmental protection comprehensive treatment center of Puning municipality, issued by the relevant departments, proposed that the comprehensive utilization of resources should be strengthened according to the function orientation, and the industrial structure adjustment and optimization and upgrading should be promoted, so as to achieve the sustainable development of local economy. The textile and dyeing and environmental protection comprehensive treatment center is a key project in Jiangsu Province. It is an important project for the comprehensive rehabilitation of the Yangtze River. The starting area covers an area of 420 mu, and plans for the construction of general printing plant, printing and dyeing plant, sewage treatment plant, central heating and gas supply project, industrial water diversion project, and the road and pipeline network of the park. By the end of 2019, the park had completed an investment of 2 billion 150 million yuan. At present, most of the city's printing, dyeing, printing and washing enterprises have entered the park. All the supporting projects and the printing and dyeing workshop built by the company are paying close attention to the construction.

In recent days, Fuxing Town, Susong County, Anhui Province, combined with the actual situation of the town, has focused on carrying out safety special inspections for textile enterprises within the jurisdiction area, so as to check and promote standards, promote improvement with norms, and strictly guard against all kinds of enterprise safety accidents. Revival is known as "cotton township". Its cotton planting area is wide and cotton textile enterprises are in full swing. The special inspection is aimed at compacting the main responsibility of safety production in the larger textile industry of Fuxing Town, and disseminate relevant laws and regulations and safety and hygiene knowledge to the responsible persons of relevant enterprises, integrate fire prevention and epidemic prevention work, and take concerted efforts by all relevant units, and work together to create a good safe production environment for the economic development of Fuxing town.

In May 25th, the founding ceremony of the 300 thousand ring spinning project of the textile board of Lihua group was held in Xinjiang's Sha Ya county. The total land area of the 300 thousand ring spinning project is 467.3 mu, with a total construction area of more than 150 thousand square meters and a planned investment of over 1 billion yuan. After the implementation of the project, the annual production capacity of medium and high grade pure cotton combed compact yarn and cotton top combed yarn will be more than 5 tons. The total spinning volume of Lihua group will exceed 800 thousand spindles, with a total investment of more than 3 billion yuan, which can produce more than 120 thousand tons of cotton yarn per year, and can solve more than 3400 jobs for local people. The foundation laying ceremony of the project was successfully completed. The project is scheduled to be put into operation in August 2021.

Recently, Zhejiang RIFA textile machinery Limited by Share Ltd and Jiangsu Hengli Group's Jiangsu Textile Machinery Co., Ltd. / Sichuan Hengli intelligent textile technology Co., Ltd. signed a large order for more than 10 thousand equipment. It is reported that this equipment order RF310 electronic side machine, RF310 has the edge universal machine total 6000, JW10 water jet loom nearly 8000 units. Jiangsu poly Textile Co., Ltd. is located in the Suqian Port Industrial Park of the canal, covering an area of more than 5000 mu, with a total investment of 23 billion yuan. The annual output of 1 million 200 thousand tons of differential super simulation functional chemical fiber and the annual production of 1 billion meters functional fabrics and other projects. Sichuan Hengli intelligent textile technology Co., Ltd. is the sixth largest production base of Hengli Group, with a total investment of 20 billion yuan and an area of 5000 mu. Among them, the textile project covers an area of 2480 Mu and an investment of 8 billion 200 million yuan, and will build an annual output of 1 billion meters of high-grade textile fabrics. The first phase of the project will be put into operation in October 2020. The spinning project covers an area of 2520 mu, with an investment of 11 billion 800 million yuan, and the intelligent polyester spinning project with an annual output of 1 million 200 thousand tons will be built. The first phase of the project will be put into operation in June 2021.

Recently, the United States International Cotton Association (CCI) announced joining the SAC, and will use the alliance sustainability assessment tool Higg Index to promote environmental and social responsibility throughout the supply chain. As a member of the sustainable apparel alliance, the American International Cotton Association will work together with more than 250 global brands, retailers and manufacturers, as well as government, non-profit environmental organizations and academic institutions to enhance the sustainability of the supply chain of clothing, footwear and textile industry. Higg Index is an index based measurement tool that enables suppliers, manufacturers, brands and retailers to evaluate materials, products, production facilities and processes according to environmental performance, social labor practices and product design, so as to enhance transparency of supply chains and promote decision makers to improve efficiency and sustainability.

In April, exports of general exports and textiles and raw materials industries in Turkey were severely reduced, resulting from the disruption of supply chain, material constraints and market closures. In April, Turkey's textile exports decreased by 51.7%, accounting for 4.6% of total exports in April, and the proportion of 1-4 months was 5.6%. In January 2020, Turkey's textile exports amounted to US $834 million, in February it was US $835 million, in March it was exported to US $754 million, and in April it exported US $414 million, down 50% over the same period last year, and the average decline in 1-4 months has reached 44.4%. In 1-4 months, Turkey's textile exports to Germany decreased by 7.5%, exports to Italy decreased by 64.3%, and exports to the United States shrank by 21.4%.

In February 21, 2020, the Pakistan National Customs Committee issued the Announcement No. 46/2016/NTC/PFY/NR/2020 that the application of the Chinese manufacturer / exporter Suzhou Sheng Sheng chemical fibre Co., Ltd. in January 27, 2020 to investigate the new exporters of the imported polyester filament yarn from China and Malaysia initiated anti-dumping investigations. Products involved include polyester textured yarn (tax code: 5402.3300), full stretch wire (tax code: 5402.4700), multi ply yarn (tax number: 5402.6200), excluding colored polyester filament yarn. The investigation period is from January 1, 2019 to December 31, 2019. During the investigation, the enterprises involved should pay 11.35% cash margin at cost plus freight (C&F). The investigation agency is expected to make a final review within 6-12 months of filing the announcement. The interested parties should register within 15 days after the announcement, and submit evidence within 30 days.

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