"One Price" Turnover Warmed Up Textile Enterprises Order Convergence Problem Now

In early June, cotton textile enterprises and cotton traders in Henan, Shandong, Jiangsu and other places reflected that in recent days, the main contract price of zhengmian CF2009 broke 12000 yuan / ton, and the spot basis price of Xinjiang cotton rose sharply, and the turnover was relatively cold.

Because of the "one price" lint selling company in the market, the cotton processing enterprises are mainly in the territory. These enterprises have greater pressure on cash flow in 6-7 months, and the buyers have larger bargaining space. On the other hand, at present, there are 3-6 months from the processing and public inspection period of the new cotton, and the moisture regain of lint has declined significantly (especially in linen warehouse and platform) as the recent hot weather continues.

Some spinning and weaving enterprises reflect that the production and delivery of domestic sales in autumn and winter are coming to an end. In the 7-8 month, the order is difficult to connect. Most enterprises take the "Online + offline" walking on two legs, and try to reduce production or even stop production under the premise of reducing the domestic market downturn in the next two months. (Jiangsu and Zhejiang textile enterprises continue to accumulate storehouse, and sales and capital pressure rise compared with 4-5 months). In addition to the OE32S (main production of medical gauze products), C40S cotton yarn inquiry and shipment are relatively active, the demand for other OE yarn, high count combed yarn and combed yarn is reduced.

A person in charge of a textile enterprise in Zibo, Shandong, said that at present, the 50S and above high count yarn is facing a cut-off (not part of the stock), instead of producing C40S, C32S and other high grade bleached yarns. If the downstream orders (including exports) failed to improve significantly in late June, they will reduce the raw material stocks of cotton and other raw materials to the low level while considering layoffs and improving the intensity of production cuts. The company said that in the 6-8 month, enterprises were not thinking about how to live well, but how to live. After all, green hills were not afraid of firewood.

Although the developed countries in Europe and the United States have pressed the economic restart button, a small number of "short, flat and fast" textile export orders have been restored, but the characteristics of low prices, urgent goods and high standards are also outstanding. The textile manufacturers in Guangdong, Zhejiang and Shandong are not enthusiastic about receiving orders. First, because of the serious shortage of enterprises' orders and the difficulty of convergence, it is still necessary to consider whether the green light of the small orders should be considered; two, the fluctuation of the RMB exchange rate and cotton raw material prices will be larger, and the low profit orders will inevitably increase business risks; three, the trend of Sino US trade relations is uncertain and the situation is likely to change at any moment; four, there are reports that the new crown epidemic situation There may be two outbreaks in autumn and winter. It is not ruled out that some European and American countries are again embarking on blockade measures. The contract will also face difficulties in implementation.