According to reports from some cotton spinning companies in Shandong, Henan and other places, recent cotton yarn inquiries and shipments have continued to improve compared with April, and the production and sales of C40S, C32S, and C26S cotton yarns have been relatively active (especially the supply of 40S mid- to high-end cotton yarns has been relatively tight). The orders for high-count combed and carded yarns of 50S and above have also bottomed out, with few early orders, low inventories, and high profits. Although the demand for OE yarn and low-count ring spinning yarn is recovering slowly, the “intestinal obstruction” problem in all links of the industrial chain such as cotton, cotton textiles, fabrics, clothing, and foreign trade companies is gradually easing, and the confidence of cotton enterprises, textile enterprises, and terminals further recovery.
A medium-sized cotton spinning company in Zhengzhou, Henan said that this year’s cotton textile industry has shown a phenomenon of not being weak in the off-season. The inventory of medium and high-count cotton yarn has smoothly dropped to a low position in response to demand. Since May, yarn The increase in ex-factory prices appears to be very cautious. The average price of C21S-C40S cotton yarn has increased by 300-400 yuan/ton, which is lower than the increase of about 700 points in Zheng Cotton CF2109 market. Judging from the survey, recently cotton yarn traders in the light textile markets of Guangdong, Jiangsu, Zhejiang, Shandong and other places are more enthusiastic about inquiry and inventory replenishment than in April. Conventional yarns are mainly used, and the demand for worsted yarns and special spun yarns is not high.
As for the reasons why the trading volume and price of cotton yarn continued to rise after the “May Day”, most textile companies summarized the following points: First, the main contract of Zheng Cotton rose from 15,530 yuan/ton to 16,250 yuan/ton, and the cost of cotton yarn has subsequently risen; secondly, the “city closures” and unstable freight channels in India, Pakistan and other Southeast Asian countries have not only led to the return of short-term orders, but also the gradual overflow of long-term orders from Europe, the United States, Japan and other countries. Domestic textile and clothing Enterprises’ concerns have declined and their order-taking sentiment has increased; thirdly, due to the raging epidemic in India, the industry expects that there may be major problems with the shipment and delivery of Indian and Pakistani yarns, Indonesian yarns, etc. in the April-June shipping schedule, and the supply capacity of external yarns has declined rapidly; Fourth, cotton yarn traders in coastal areas promptly replenished their stocks and replenished orders in the domestic sales market in autumn and winter, which also supported the rebound in cotton yarn prices and smoothed shipments. </p
