Inside And Outside Cotton Price Upside Down, Imported Cotton Is Dangerous? How Long Will PTA Fall And How Long Will It Last?

Market brief

Cotton purchasing in downstream enterprises is cautious, and Zheng cotton is down. Xinjiang cotton's listing volume has increased rapidly. At present, the purchasing enthusiasm of downstream textile enterprises is not high, new cotton transactions remain light, cotton prices continue to rise and kinetic energy is insufficient, and short-term spot cotton prices tend to be stable. In terms of seed cotton, Xinjiang has made rapid progress in recent years, and the scale of purchase in Northern Xinjiang is relatively large. The sale of seed cotton in southern Xinjiang is still affected by picking progress, and seed cotton prices are rising all the way, and the cost of lint cotton is greatly improved. The cotton farmers in the mainland are still reluctant to sell, cotton enterprises are short of profits and cotton sales are not fast, the atmosphere of the new cotton market is cold, the seasonal pressure of lint supply is high, the downstream demand is hard to change, and the progress of short term cotton sale is difficult to accelerate. In addition, the internal and external cotton prices are seriously upside down, and the average price of the outer cotton is higher than that of the domestic stock. It is expected that the imported cotton will be hard to sell in the near future, and some trade enterprises will suffer serious losses.

The price of acrylonitrile continued to weaken, the downstream wait-and-see mentality continued, the middlemen's spot offer price had been relatively low, the price continued downward trend under the expected cost gradually weakened, and more attention was given to the guidance of the new factory news. There was no obvious sales pressure on the short term factory, the price remained stable, the spot market was trading in a moderate manner, and the sporadic and low-end offer was heard. The price of acrylonitrile market in the short term was weak and volatile, and the adjustment space was relatively limited or relatively limited. Acrylic fiber prices continue to be stable, terminal demand performance continues in general, downstream acrylic yarn manufacturers orders are not good, acrylic market view air atmosphere is not reduced, but raw materials acrylonitrile factory prices remain stable, acrylic fiber manufacturers steady price mentality continued, short term acrylic fiber prices continue to be stable, focusing on raw material changes.

The overall export of textile and clothing in China has been stable, and there has been no ups and downs. According to statistics from China Customs, the total export volume of RMB was 1 trillion and 381 billion 980 million yuan, a small increase of 2.4%, of which 609 billion 370 million yuan for textile exports, 5.3% for growth, 772 billion 610 million yuan for clothing exports, and 0.3% for growth. In the US dollar, the total export of US $201 billion 950 million was 2.7% lower than the previous year, due to the exchange rate difference. Among them, textile exports amounted to 89 billion 160 million US dollars, down 0.1%, clothing exports 112 billion 790 million US dollars, down 4.7%. From the monthly export perspective, the impact of the United States on the total tariff increase has begun to show. In the first 8 months, the monthly export growth and decline have been broken. Both in Renminbi and in US dollars, September has continued to decline in August. In Renminbi, exports amounted to 171 billion 760 million yuan in the month, down 5.6%, of which 68 billion 380 million yuan for textile exports and 103 billion 380 million yuan for clothing exports, all down 5.6%. In dollar terms, exports amounted to $24 billion 520 million in the month, down by 7.6%, of which textile exports were 9 billion 760 million US dollars, down 7.8%, and clothing exports were US $14 billion 760 million, down 7.5%.

In the 1-8 month of 2019, China's industrial textiles industry continued to grow at medium speed, and the industrial added value of Enterprises above designated size increased by 7.3% over the same period last year, higher than that of the textile industry and industry. Nonwovens are important raw materials for industrial textiles. In 1-8, the production of nonwoven fabrics of Enterprises above Designated Size reached 3 million 356 thousand tons, an increase of 11.85% over the same period last year, and the output of tyre fabrics was 418 thousand tons, down 11.38% from the same period last year. In the 1-8 month, the main business revenue and profit of Enterprises above designated size increased by 4.61% and 1% respectively, with a profit margin of 5.92%, down 0.2 percentage points from the same period last year. In the 1-8 month, the export of industrial textiles was US $18 billion 293 million and imports of US $4 billion 413 million. Among the main products, 680 thousand tons of nonwoven fabrics were exported, valued at 2 billion 27 million US dollars, up 8.8% and 5.19% respectively, and the demand for nonwovens in the global market is still strong.

Recently, China's first "Internet + Cotton mining machine" platform was unveiled in Xinjiang. The majority of cotton farmers opened their cell phones to log in to the WeChat public number. The pilot project is being launched in Shihezi. The cotton planting area in Xinjiang ranks first in the country. This year the area is basically the same as last year, about 38 million mu, and the area of machine picked cotton has been expanding in recent years. Last year, the proportion of machine picked cotton in Northern Xinjiang accounted for more than 80%. The "Internet + Cotton mining" platform is easy to operate. The cotton planting households can pay attention to the "cotton" WeChat public number or log in with "cotton" APP, and then make an appointment for cotton picker service. After entering the platform, there are nearly 1000 models of cotton pickers with different brands and different brands waiting for an appointment online to provide more options for cotton planting households.

Recently, the Xinjiang Korla Zhongtai petrochemical limited liability company's annual output of 1 million 200 thousand tons of PTA project commissioning test concluded, marking the PTA device linkage trial work is about to start, for the PTA device commissioning test to help fuel. It is understood that China and Thailand petrochemical in accordance with the production preparation node plan, in order to test the installation quality and equipment performance of chemical pumps, slurry pumps, lubricating oil stations and other equipment installed in the PTA main device, carry out single machine commissioning for each unit. In 2019, the PTA industry welcomed the peak of production. The four quarter of this year, the new Feng Ming and Hengli petrochemical installations planned to be launched, were the focus of the market. The two devices originally planned to be put into operation in October and are postponed to November and December respectively.

In October 14th, Anhui Huamao textile Limited by Share Ltd released the first three quarters of 2019 performance notice. The announcement shows that in September 30th January 1, 2019 -2019, the net profit attributable to shareholders of listed companies was 230 million yuan -2.80 billion yuan, an increase of 71.86%-109.22% over the same period last year, and the basic earnings per share were about 0.244-0.297 yuan. During the reporting period, the proceeds from the sale of some shares of Guotai Junan Securities held by Huamao shares and the investment income recognized by the dividends of shares in accordance with the accounting standards increased the net profit attributable to shareholders of Listed Companies in the current period. At the same time, the company actively promoted structural adjustment and transformation and upgrading of the textile business, and the textile business profits rebounded steadily.

Recently, the Ministry of industry and Commerce will determine the list of green design demonstration enterprises for industrial products (the first batch) to be publicized. Among them, a total of 6 textile enterprises were selected. The public notice time is October 11th ~11 9 days. They are: Inner Mongolia Erdos Tiomin Resources Inc, mutual (Panyu) textile printing and dyeing Co., Ltd., Wan Shi Li Group Co., Ltd., Kang Sai Ni Group Co., Ltd. (formerly Ningbo Kang Sai Ni plush products Co., Ltd.), Fujian province resources recycling Polytron Technologies Inc, dragon Fu ring can Polytron Technologies Inc.

In October 15th, RGE, a leading resource manufacturing company in Singapore, announced that in the next ten years, the group plans to invest 200 million US dollars for the development of textile cellulose fibers. The investment plan, announced before the Vancouver textile trade and sustainable development conference, will help develop alternative solutions for cellulose or plant based materials and closed-loop manufacturing. The investment is expected to develop in the following three ways in the proportion of 70:20:10, including expanding the mature clean technology in the fiber manufacturing industry, making pilot production reach the industrial scale, and developing new frontier solutions. The Golden Eagle Group is headquartered in Singapore, and its businesses include Sai Deli, China, and AsiaPacificRayon (APR) in Indonesia. With the power of these two companies, Jinying has become the world's leading producer of cellulose fibers with an annual output of 1 million 400 thousand tons.

According to the industry profile of Argentina Garment Industry Association (CIAI) in October 2019, according to the report of Argentina Federation of medium-sized enterprises, the purchasing power of the people of Argentina declined sharply, resulting in a 17.6% decline in the retail sales of ready made garments in August 2019. Although the clothing industry has tried not to inflate the price of clothing with inflation, sales are still falling. Argentina's National Bureau of Statistics (INDEC) pointed out that clothing sales in shopping centres and supermarkets decreased by 6.4% and 12.1% respectively in July 2019 compared with the same period last year. CIAI said that the industry has been severely affected by the declining purchasing power of consumers and the high cost of Taxation and finance, which has seriously affected the normal development of the textile and garment industry. According to the INDEC report, the apparel industry in August declined by 12.8% compared with the same period last year, which has been declining for 15 consecutive months. In addition, because of the decline in domestic clothing sales and the appreciation of the US dollar, the import of clothing was hit. According to customs statistics of the Arab countries, clothing import decreased by 35.8% in August (the number decreased by 31.8%, and the selling price dropped by 5.9%).