Since the second half of the year, the market has been tepid, resulting in a lack of confidence in the entire weaving market and mediocre transactions. The weaving market, which has been silent for too long, needs a little stimulation to drive the market and boost the confidence of textile people.
Boss Bu has been looking forward to the arrival of cold winter. Entering December, he is looking forward to more exciting news. On the evening of December 1, local time in the United States, the heads of state of China and the United States met in Buenos Aires, Argentina. After the meeting, the relevant person in charge of the Chinese economic and trade team stated that the two heads of state discussed Sino-US economic and trade issues and reached a consensus. This news also means that the Sino-US trade friction has stopped escalating, and the textile foreign trade order may return to the early boom stage.
In addition, the upstream raw materials PTA and ethylene glycol have been affected by the fall of international crude oil and have continued to decline for nearly February. It is precisely because of the haze shrouding the raw material side that orders in the entire textile market have been mediocre. Just yesterday, affected by the good news about Sino-US trade, international oil prices rose in response, and PTA futures prices also began to stop falling and rebound. Driven by upstream costs, the price of polyester filament has also begun to rise slightly. A small number of specifications have increased by 50 yuan/ton, which is not a big increase. However, boosted by double good news, production and sales have finally “exploded” again. Got it! Polyester manufacturers are finally looking forward to hope, so some manufacturers have begun to close the market and hesitate to sell.
Under the double good news, cloth bosses in the downstream weaving market can no longer stand it any longer, and the tepid gray cloth market is about to get a boost. The gray fabric business in the second half of the year was not satisfactory, and the sales volume of gray fabrics was not large. The inventory of weaving manufacturers has been at a high level, which is a very troublesome thing. Seeing that the end of the year is coming soon, it seems that the inventory in the warehouse must be kept for the New Year. However, as soon as the news of the easing of Sino-US trade friction came out, cloth bosses expected that orders from the US would increase and there would be a wave of concentrated replenishment of fabrics. So, as a shot in the arm, they started advertising to sell gray fabrics again. Many cloth bosses in WeChat Moments have called on textile workers to stock up on gray fabrics, citing news of trade easing and rising raw material prices.
China-US trade is easing, and the textile foreign trade market may pick up
Although Boss Bu’s posting on Moments like this is somewhat of a hype, there is also a certain truth to it. Let’s analyze it in detail below. Regarding the easing of Sino-US trade and whether US orders will increase, the author believes that it will definitely promote the transaction volume of US foreign trade orders to a certain extent. Since the first half of this year, due to the escalation of Sino-US trade friction, foreign trade orders to the United States have dropped significantly. Many cloth bosses who do orders from the United States also report that there are not many orders from the United States this year. In addition, Sino-US trade also affects global trade. A cloth boss who does foreign trade orders said, “Because our current orders are sent to Bangladesh, Vietnam and other places, but they are only processing on behalf of others. The final customers are the European and American markets, so Sino-US trade has a certain impact on end customers.” . If end customers place fewer orders, fewer orders will be transmitted to our company.” In this way, China and the United States will cooperate again, and the final buyers in Europe and the United States will also place orders to China again, so it is inevitable that foreign trade orders will increase. It must be done.
Polyester prices rebound and gray fabric prices may increase
The reluctance to sell polyester yarn in sealed trays is a measure often taken by polyester yarn manufacturers to increase production and sales. As we all know, when cloth bosses buy raw materials, whether they are polyester or nylon yarns, they have the mentality of “buying up, not buying down”. Therefore, polyester manufacturers have firmly grasped this mentality and are reluctant to sell the products, thereby increasing the desire of cloth owners to buy. Facts have proved that many cloth owners couldn’t bear it anymore and started buying raw materials when the prices of bulk textiles rebounded across the board yesterday. Therefore, yesterday’s polyester production and sales averaged 400%. No one cares about the chattering polyester yarn. Once there is a rebound, it immediately becomes a hot commodity. A while ago, due to the sluggish gray fabric market and the falling polyester prices, some gray fabric manufacturers lowered their prices. Nowadays, the price of polyester yarn has rebounded, and the possibility of a price correction of gray fabrics cannot be ruled out. Therefore, fabric merchants who need to stock up can hurry up and prepare at this time.
Although the author, like the cloth boss, hopes that fabric merchants will stock up on stockings to make this gray fabric market lively, but rationally Stocking up is still important. After all, two pieces of good news have just come out. It remains to be seen how the market will behave. Therefore, it is currently only suitable for small batch replenishment according to your own needs. </p
