In November, the Federal Reserve still slowed down the pace of interest rate hikes and kept the federal funds rate stable, which helped stabilize market confidence, superposed market consumption improved, and there were marginal signs of improvement in textile and apparel consumption. However, the overall market demand is still less than the same period in previous years, with the increase in domestic new cotton supply, cotton spot prices fell, cotton yarn, grey fabric volume prices weakened, downstream customers wait and see, product inventory accumulation. Yarn and cloth output fell slightly

According to the National Bureau of Statistics data, from January to November, the cumulative yarn production of cotton textile enterprises above designated size fell by 0.92% year-on-year, which was 0.23 percentage points narrower than that in January to October; The cumulative cloth production fell by 3.78% year-on-year, which was 0.44 percentage points narrower than that in January-October.

Exports have stabilized and picked up, and domestic consumption has increased

Exports continued to stabilize, showing strong resilience in development. According to the General Administration of Customs data, from January to November, China's textile and apparel exports fell 8.9% year-on-year, the decline narrowed for four consecutive months, and the overall trend of recovery was maintained. In November, China's textile and apparel exports fell 1.8% year on year, in the four traditional markets, the United States, ASEAN, the European Union and Japan accounted for 50.6% of China's exports, of which, exports to the United States rose 4.5% year on year, maintained growth for the third consecutive month; Exports to ASEAN fell 5.7 per cent from a year earlier, a sharp slowdown from October. Exports to the European Union extended double-digit declines, down 13.8 per cent. Exports to Japan fell by 14.3%, and the proportion of China's export market continued to decline. The growth rate of domestic terminal textile consumption accelerated. According to the National Bureau of Statistics, from January to November, the retail sales of clothing, shoes, hats and needles above the quota increased by 11.5% year on year, an increase of 1.3 percentage points from January to October, higher than the growth rate of 7.2% of total retail sales of consumer goods; The online retail sales of physical goods grew by 9.2% year on year, an increase of 1.6 percentage points from January to September, lower than the national online retail sales growth rate of 11.0%.

Product prices are low and inventory pressure is increasing

In November, the focus of domestic cotton spot prices continued to move down, purchases and sales weakened, spinning enterprises cut prices to promote sales, weaving enterprises orders less than the same period in previous years, cotton yarn procurement with use to buy, grey fabric inventory pressure increased. Represented by the price difference between 32 pure cotton yarn and 3128B standard cotton, the average price difference of yarn in November is about 6300 yuan/ton, which is slightly better than that in October, but according to the immediate profit, the enterprise is still in a state of loss.

The decline in major economic indicators continued to narrow

The decline in the main economic indicators of the cotton textile industry continued to narrow. According to the National Bureau of Statistics data, from January to November, the operating income of cotton spinning enterprises above designated size fell by 5.96% year-on-year, the decline narrowed by 1.07 percentage points compared with January to October, the total profit turned from negative to positive, an increase of 8.81%, the loss side 25.59%, narrowed by 1.31 percentage points compared with January to October; The operating income of cotton weaving enterprises fell 3.55% year-on-year, down 0.97 percentage points from January to October, the total profit fell 0.78% year-on-year, down 4.05 percentage points from January to October, the loss of 20.16%, down 1.15 percentage points from January to October. Although the revenue of cotton spinning and cotton weaving industry above the scale from January to November was lower than that of the textile industry, the total profit of cotton spinning and cotton weaving industry was better than that of the textile industry as a whole, and the efficiency of cotton textile enterprises gradually improved.

Overall, there are some positive factors in China's foreign trade, inflation in Europe and the United States has cooled down, overseas markets have entered the traditional sales season, and consumer demand has been released. At the same time, under the role of a series of pro-consumption policies, the domestic consumer market has continued to recover and its development resilience has continued to show. However, the external environment is still complex and severe, and the current consumer spending power and consumer confidence are still insufficient, which will affect textile and garment consumption to a certain extent.

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Hai'an County Qinfeng Chemical Fiber Co., Ltd. specializes in production and sales：polypropylene staple fiber, Polyester Staple Fiber, functional polypropylene short fiber, functional polyester staple fiber, hydrophilic polyester staple fiber,  polypropylene, PP staple fiber, polyester staple fiber.