According to feedback from cotton yarn traders in Guangdong, Jiangsu and Zhejiang, since January, the quotations of cotton yarns from India, Pakistan, Vietnam and other origins have increased in turn regardless of shipments, bonded or customs clearance. In particular, the CNF price of Indian cotton yarns has been frequently raised, and some large and medium-sized Indian cotton yarns have The Pakistani yarn mill requires buyers to place actual orders at least 1-2 months in advance (and pay a full contract deposit).
A cotton yarn import company in Foshan stated that the current tight supply of C21 and C32S high-matching and bleached imported yarns in the Guangdong, Zhejiang and Fujian markets is gradually easing (traders and weaving mills transfer goods from other ports or directly purchase on-site (India, Pakistan and Vietnam yarns are shipped), but C26 high-quality packaged bleached yarns are still out of stock; inquiries and transactions for OE yarns, 8S-16S Pakistani siro spinning yarns and ring spinning yarns below 16S continue to be “warm water”. It is worth noting that as the US dollar and RMB quotations of imported cotton yarn have increased simultaneously, the price difference between domestic and foreign cotton yarn has narrowed to 250-350 yuan/ton, the overall global epidemic situation remains severe, many countries have further tightened prevention and control measures, and other negative impacts, China’s cloth The enthusiasm of factories and middlemen for signing contracts and purchasing foreign yarn cargoes and bonded goods has declined. Bonded + non-bonded cotton yarn stocks in Guangzhou, Ningbo, Qingdao and other ports have rebounded slightly from mid-December.
According to estimates by several large cotton yarn import companies, the quantity of imported cotton yarn arriving in Hong Kong in December 2020 may reach 160,000-165,000 tons, an increase of more than 5% over the same period last year, of which OE yarn, 10S and below The proportion of ring spinning yarn has declined, while the proportion of C26S and above counts has increased. The growth rate of Indian yarn and Pakistani yarn is higher than that of cotton yarn from Vietnam, Indonesia and other origins.
Middlemen in Shaoxing, Zhejiang, Zibo, Shandong and other places reported that in the past month, Indian C26-C40S cotton yarn and Vietnamese C26 and C32S yarn weaving factories have been relatively active in restocking, mainly because downstream textile and clothing companies have stepped up their efforts. Complete orders for the spring and summer of 2021 before the end of January (before the Spring Festival at the latest) and ship and deliver them in time. On the one hand, with the resurgence of the new crown epidemic in Europe, Japan, South Korea and China, gauze companies are increasingly worried about economic recovery, textile and clothing consumption, trade and transportation in the first half of 2021; on the other hand, the trend of RMB appreciation in 2020 remains unchanged , working overtime to catch up on orders and delivering goods in advance will help production companies reduce risks and lock in profits. Taking into account the rebound of the epidemic in the United States and Europe and the “big release” of the U.S. currency, the U.S. dollar index continues to fall; while China continues to implement a high level of opening up, coupled with the change of the U.S. government, Sino-U.S. trade frictions may be reduced, etc. Support the rise of the RMB exchange rate. Therefore, “take fewer medium- and long-term orders, take fewer large orders, and hurry up to complete low-profit contracts” is a common practice for textile and clothing companies. </p
