According to feedback from cotton yarn trading companies in Jiangsu, Zhejiang, Guangdong and other places, ICE cotton futures have continued to fluctuate and bottomed out since late October (the main December contract fell below 80 cents/pound, 75 cents/pound and other levels, reaching an intraday low of 70.21 US dollars). points/pound, hitting a new low in the past two years), the gradual recovery of foreign yarn arrivals and warehousing in September/October, and the continued decline in domestic cotton yarn quotations, etc., the port bonded and distant month cargo cotton yarn, customs clearance cotton yarn quotations in RMB All showed slight corrections, and there were signs of a lackluster atmosphere for inquiries and shipments. Especially for high-count carded/combed yarns of 40S and above in places such as India and Indonesia, there was even a lack of access. Some traders did not open for business for a week.
A textile import and export company in Shaoxing said that imported cotton yarn has been a bit “hot” recently: on the one hand, although the ICE futures market has fallen sharply in the past half month, traders have generally raised the basis, resulting in obvious out-of-sync adjustments in foreign cotton futures; in addition, Countries such as India and Pakistan still have a high proportion of yarn mills that are in a state of production reduction and suspension, and the supply of cotton yarn is not very sufficient. Therefore, there is not much room for the price of cotton yarn to go down, and it is difficult for domestic cloth mills and middlemen to “buy up”; on the other hand, As the Zheng Cotton CF2301 contract broke through 13,000 yuan/ton and 12,500 yuan/ton, the ex-factory price and market transaction price of domestic cotton yarn fell sharply. Some small and medium-sized cotton spinning mills had to take measures due to the continuous increase in yarn accumulation rate. Dispose of goods and hurry up to “remove inventory”. The “upside-down” range of domestic and foreign cotton yarn prices has expanded again from 2,000-2,500 yuan/ton to 2,500-3,000 yuan/ton, and the competitiveness of port customs clearance yarn has declined. Except for some weaving, fabric, and clothing companies that purchase “rigorous needs” due to traceability orders, downstream companies are less enthusiastic about restocking foreign yarn.
Judging from the survey, the performance of 8S-16S Siro spinning yarn from Pakistan and Vietnam, and OE yarn produced in Vietnam, which were relatively active in inquiries and transactions in September/October, has deteriorated significantly in the past week or so, mainly affected by denim fabrics from coastal areas such as Guangdong and Zhejiang. Traceability orders from mills and knitting factories have decreased, and the operating rate has continued to decline; in addition, some domestic yarn mills have switched to producing low-count siro-spun cotton yarn (mostly using Xinjiang cotton with cotton), siro-blended yarn, etc. to replace imported siro-spun yarn. Sex is becoming more and more prominent. A cotton yarn trader in Guangdong believes that the suppression of Xinjiang cotton import bans by the United States and the European Union is difficult to eliminate in the short term, and the traceable impact has spilled over to Southeast Asia and other countries; in addition, imported yarn is still relatively “upside-down” and the Federal Reserve continues to aggressively raise interest rates. The pressure of depreciation of the RMB is acute (the import cost of outer yarn is rising), so there are no plans to purchase outer yarn in the short term.
</p
