According to feedback from cotton spinning mills in Jiangsu, Zhejiang, Shandong and other places, affected by the sharp rise in Zheng cotton and Zheng yarn since late July and the rise in the price of imported cotton yarn, the ex-factory price of cotton yarn and the quotations in various light textile markets have started to increase. The range is generally in Above 500 yuan/ton, the increase in OE yarn and low-count spinning yarn is slightly smaller, while the adjustment in high-count yarns of 50S and above is slightly larger. Textile companies quickly pass the risk of rising raw materials to consumer terminals such as gray cloth, fabrics, and clothing.
A cotton yarn trader in Shaoxing, Zhejiang said that due to the wide fluctuations in cotton and yarn futures, as well as heavy rainfall in Henan and other provinces, cotton spinning mills have been greatly affected by orders. Factories and cotton traders are not very enthusiastic about making external quotations, and the wait-and-see mood prevails. In the past two days, the market quotations of domestically produced C32S medium and high-grade self-winding cotton yarn have generally risen to 27,200-27,500 yuan/ton, an increase of 600-700 yuan/ton from early July, which is significantly weaker than the increase in the CY2109 contract and CF2109 contract.
Judging from the survey, weaving mills, fabric companies and middlemen in Jiangsu, Zhejiang, Guangdong and other places have limited ability to digest the rise in cotton yarn. As cotton spinning mills and cotton yarn traders increase According to the quotation, except for the relatively active inquiry and transaction of OE21-OE32S cotton yarn, the shipment of conventional yarn with counts of 40S and below continues to slow down.
The bargaining power of downstream fabrics, clothing, foreign trade companies, etc. is not strong, and the profits of receiving orders are low. The sharp increase in cotton yarn not only makes it more difficult to complete the downstream contracts from July to September, but also makes the docking more difficult. Orders in the fourth quarter of 2021 are also cautious. In addition, compared with domestic cotton yarn, the price increase of imported yarn cargo and bonded supply is relatively low (priced in US dollars), and the price competitive advantage is becoming more and more prominent. Some weaving companies and garment factories in coastal areas have expanded their operations in Vietnam, Pakistan, Vietnam, and Central Asia. Procurement of cotton yarn from other origins. On July 28, the net weight of C32 highly packaged and bleached imported cotton yarn in Shaoxing, Changzhou, Ningbo and other places was quoted at 26,800-27,000 yuan/ton, which was more than 500 yuan/ton lower than domestic cotton yarn (the price difference between public weight and net weight needs to be taken into account). </p
