The Stock Pressure Is Small, Short, Warm And Short, And Short And Strong. Is The Yarn Price Going Down Soon?

Market brief

Zheng cotton shock rose, the main contract increased significantly, 8 morning, the Sino US economic dialogue took the lead in the call, short-term Zheng cotton technology trend is better, is expected to continue to attack. Spot cotton prices have gone up slightly, but demand is still weak, and the order of cotton yarn and grey fabric is not enough. The purchasing enthusiasm of the cotton mill is not high. In the face of Zheng cotton's rise, the cotton mill has a wait-and-see attitude, the lint volume has been shrinking, and the market has strong concerns about the terminal demand. It is approaching the contract delivery period in May, and some spot warehouse cotton spots continue to flow out. Short term spot cotton prices follow the futures to move slowly, focusing on the weather and the impact of Sino US trade relations.

Acrylonitrile price continued to narrow oscillation, cost surface pressure was not reduced, and acrylonitrile plant load dropped to 6 near the new device has not yet been put into operation, acrylonitrile supply reduced, supply side support slightly stronger, middlemen price mentality continuation, the market has no shortage of high price offer heard, short line concerns the market transaction situation, acrylonitrile price is expected to continue a narrow range of shocks. Acrylic staple fiber prices continue to stabilize, terminal demand has not improved significantly, acrylonitrile factory maintenance continued, the industry equipment load remained relatively low, at present, acrylic fiber prices have been relatively low, downstream factory procurement mentality slightly different, short-term concerns about the price changes of raw materials guidelines, expected nitrile fiber price stabilization.

In May 4, 2020, the United States Trade Representative Office (USTR) announced the thirteenth batch of product exclusionary announcements under the list of $200 billion plus tariff products, adding 146 products, including 1 textile products tax numbers. The textile description and HS code are as follows: 5208.39.2020: dyed satin fabric with a cotton content of at least 85% and a width of at least 292 cm, but not more than 293 cm, and the weight is not more than 210 g / m2. Up to now, there are 12 batches of textile products in the 13 batch of US $200 billion tax collection, involving 49 textile tax numbers. The products being excluded will no longer be subject to 301 tariff when exported to the United States. Exclusion period can be traced back to the date of entry into force of the 200 billion list - September 24, 2018. The validity of the excluded products listed in this notice is from September 24, 2018 to August 7, 2020.

In May 6th, the General Administration of market supervision (SAC) formally issued the recommended national standard for GB/T 38880 - 2020 "technical specification for child masks". The national recommendation standard of the technical specification for child masks is the first national standard for children's masks in China. It provides the basis for choosing and wearing children's masks correctly, regulating the industry's competition order and strengthening market supervision, providing technical support and standard guarantee for children's mask manufacturers. It is suitable for masks worn by children aged 6 to 14 years and below.

In May 3rd, we learned from Pingmei Shenma Group that the group's annual output of 1500 tons of melt blown fabric project has been formally put into operation, and it has become the only enterprise in Henan province that can produce melt blown special materials and produce melt blown fabrics. Facing the situation that there is a big gap in domestic medical masks, as an important production enterprise of modified plastics, Pingmei Shenma Group makes full use of its technical advantages and industrial chain advantages in the production of nylon 66 industrial yarn and fine denier yarn, and organizes the relevant departments such as technology department and production department for the first time to start technical research, and successfully master the special process of melt blown fabric. In April 10th, the production line of 7 melt blown special materials began mass production; in April 30th, the annual output of 1500 tons of melt blown fabric project was commissioning; in May 1st, the first batch of melt spraying cloth was laid off. "We can produce 4 tons to 5 tons of melt blown fabric every day, which can be used to manufacture more than 4 million masks, which will effectively change the current situation of the shortage of raw materials in the core of Henan masks." The head of the group's relevant departments said.

At 11:10 noon on May 8th, the fire rescue detachment command center of Sanming City, Fujian province received a warning. A fire broke out in a warehouse of a textile mill in the Yongan development area of Sanming. The command center dispatched 11 fire engines and 58 officers and soldiers to the scene to fight. The scene investigation found that the fire building is a single storey steel structure warehouse (simple factory building), which is burning fiercely. The commanding officers are deployed immediately to organize fire fighting to prevent the fire from spreading. It is understood that the fire material is veil, cloth and other textile supplies. As of 12:50, the fire was under control, and no personnel were trapped and casualties.

In May 6th, Wan xiaali silk and Microsoft (Asia) Internet Engineering Institute Microsoft Xiaobing team announced that relying on artificial intelligence to create technology, customized customized scarf design and retail platform for consumers, "West Lake No. 1" has been completed, and has been formally launched in all stores in Hangzhou. The platform can realize real-time communication between AI designer Xiaobing and consumers, and make one to one scarf customized design and production according to the characteristics of consumers, which can greatly reduce the operating costs of manufacturing and retail enterprises while meeting the individual needs of each consumer. At present, thousands of consumers have obtained the customized customized scarves designed by Xiaobing through the retail interactive large screen of all things in the trial operation period.

On the afternoon of May 6th, the signing ceremony of Jiaxin Sino Burmese Fashion Institute and the Burma garment production technology training project was held at Jiaxing Vocational and Technical College. Jiaxing Sino Burmese Fashion Institute was founded jointly by Jiaxing Vocational and Technical College and Zhejiang Jiaxin silk Limited by Share Ltd, marking the opening of a new chapter of overseas cooperation between schools and enterprises in terms of integration of production and teaching. At the scene, Jiaxin Sino Burmese Fashion Institute was signed and formally unveiled. The two sides signed a cooperation agreement between Jiaxin and China Burma garment college, and the agreement on training project of garment production technology of Jiaxin China Burma garment college. According to the agreement, the two sides established the Jiaxin Sino Burmese Fashion Institute on the basis of Jiaxin Burma Fashion Co., and built it into a training base for high skilled talents in garment production along the belt and road. At the same time, under the framework of Jiaxin Sino Burmese Clothing Institute, we jointly train the technical personnel of garment production in Yangon, Burma, and provide systematic training for basic staff sewing, technical work and standardized management and operation for each employee annually.

In recent weeks, Pakistan weaving factory has resumed work in succession. The rate of factory start-up has gradually increased, demand has begun to increase, and the price of Pakistan yarn has obviously recovered. It is reported that the Pakistan government allows some textile factories to process export orders, and will allow more factories to resume production in the coming weeks. Affected by this, the price of 30 domestic combed yarn in Pakistan increased by 3.23% during the past week, while demand for foreign buyers began to increase, and the export price of Pakistan yarn increased by 2.75%. In addition, the rising import price of cotton in early Pakistan also provided support for the rise in yarn prices. Although Pakistan's domestic cotton stocks are adequate, the cotton mill has no intention to purchase, which is very popular with imported cotton. Therefore, domestic cotton prices have dropped, and cotton prices in Pakistan will continue to bear pressure in the coming months.

In recent weeks, the closure of many textile factories in India has been affected by the closure of the epidemic. The decline in demand has led to a decline in yarn prices in India. India Cotton Association (CAI) officials said in May 5th that due to the current blockade and worry that cotton consumption will be reduced, the carry over inventory will be increased at the end of the year of India in the end of September this year, and the cotton price in India will drop by 12-15% in the near future. CAI said that the current cotton price in India is lower than 10-12% in the international market. Once the blockade is lifted, the demand of India textile mill will be improved. Bangladesh, Vietnam and China will also have great demand for cotton in India. Now, we have received some enquiries from Bangladesh, Vietnam and China. Once the closure is closed, the inquiry will increase significantly.

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