The textile market under the epidemic is waiting for a slow recovery

Recently, the Chinese market, which has been delayed by the epidemic, has finally received long-overdue good news. As The State Council issued the Notice on Ensuring smooth transportation and Logistics services on April 11, it is also gradually taking effect.

Raw material purchasing and textile weaving orders are better than the previous period

It is understood that the reason for the epidemic prevention and control in more than 10 provinces and cities, including Jiangsu and Zhejiang, Guangdong, Shandong and Hebei,Authorities closed some highway entrances and tollbooths,Even though there are heavy restrictions on truck drivers at normally open intersections, A large number of drivers are unable to get off the highway because their travel codes have stars or nonlocal license plates,Resulting in a nearly 30 percent increase in transportation costs.

Rising freight costs have increased the procurement costs of Chinese textile enterprises,In addition, due to the severity of the epidemic, strict control of the epidemic and poor logistics,The weaving mills began to run short of raw materials,As a result, the production enthusiasm of small and medium-sized yarn factories and weaving enterprises has been declining, and the proportion of production reduction and suspension of production has been increasing.

If the epidemic can be controlled, the depressed textile market will no longer be "oppressed"

There are two phenomena in the middle and downstream,First, the epidemic was still difficult to control in China in May.Terminal demand is low and orders remain sluggish,Then the middle and downstream enterprises are forced to continue to reduce the opening rate and production, in order to preserve the survival strength.Second, the epidemic situation in China has been fully controlled, production liquidity has recovered under the guidance of national stimulus policies, low raw material inventory levels in China have been replenished, and upstream sales turnover has improved and prices have stabilized.

From the current situation, the epidemic has led to the continuous contraction of the domestic textile market demand, the recovery period is delayed.In addition, affected by regional political conflicts, the international environment is complex and the future situation is not clear, which has brought unpredictable influence to the textile industry. Since the beginning of this year, many weavers have been faced with cash pressure, shrinking market, environmental supervision, and urgent transformation problems; In particular, the impact of the epidemic is even worse for enterprises!

From：Chemical fiber headlines