There is no time for the textile industry to absorb new production capacity.

In 2012, the domestic macroeconomic environment has not improved, the downward pressure on the national economy has increased, the recovery and growth of the major economies in the world have been weak, the demand for the main products of the industry has been weak, and the cost of some factors of production has remained high. The growth rate of economic indicators has obviously declined, and companies' willingness to invest is not strong. In spite of various unfavorable factors, key enterprises in the industry have sufficient orders because of their advantages in technology, brand, and management. However, due to fierce market competition, the average selling price of products has decreased, which has squeezed the profitability of the company.

Industry needs time to digest new capacity

According to data from the National Bureau of Statistics, the total industrial production value of 1,560 industrial textile enterprises above designated size from January to June was 96.85 billion yuan, the sales value was 944.3 yuan, and the profit was 4.60 billion yuan, an increase of 16.10% and 16.62% respectively over the same period of last year. 13.50%, while the year-on-year growth rates of these three indicators were 29.40%, 28.78%, and 29.30%, respectively, and the growth rate of the three indicators fell by more than 12% compared with the same period of last year, in particular, the profit fell by more than 15 percentage points. .

In the first half of the year, the industry’s average profit margin was 4.80%, which was a slight decrease from the same period of last year. The industry’s total loss was 13.78%, and the loss amounted to RMB 300 million, an increase of 34.42% year-on-year. The profit rate of the cable was 5.59%, which was the highest in the industry; textile belts. And the profit rate of the cord fabric is only 3.57%, the loss surface is up to 18.11%, the loss amount has more than doubled, and profitability is worrying.

The association conducted surveys and surveys on 82 member companies. 48.9% of the companies believed that the business conditions in the first half of the year were good, 31.9% of the companies believed that the business conditions were normal, and 19.1% of the companies considered it unsatisfactory. The poor operating conditions of the company are mainly due to the fierce market competition, the loss or cancellation of the original orders, the reduction of large orders, and the shortened ordering cycle of customers.

Due to the rapid expansion of non-woven fabric production capacity in the past few years, the industry needs time to digest the new production capacity. At the same time, due to the unclear overall economic situation, the company's investment is more cautious.

According to statistics from the National Bureau of Statistics, the actual investment in the industry from January to June was 15.58 billion yuan, a year-on-year decrease of 9.7%. The number of projects under construction, the number of newly started projects, and the number of completed projects all dropped by more than 30% year-on-year. The investment in the nonwovens industry was 7.48 billion yuan, accounting for half of the total investment in the industry, and the investment amount increased by 9.3% compared with the same period of last year. According to 365 Yarn Network, the number of projects under construction, new projects started and completed projects decreased. The investment intensity of the industry has further increased. In the first half of this year, non-woven fabrics produced by above-scale enterprises reached 1.128 million tons, an increase of 23.78% year-on-year. As the most important raw material for industrial textiles, the production of non-woven fabrics continues to maintain a relatively high growth rate, indicating that the entire industry is still in an expansion phase and the fundamentals of the industry are still good.

In the first half of the year, exports grew by only 6.73% year-on-year

In the first quarter of 2012, the volume of exports of industrial textiles and exports maintained a relatively rapid growth, and the growth rate of exports reached 34%. However, with the impact of the international economic downturn on the export of industrial textiles in China, the export volume in January-June was US$9.07 billion, an increase of only 6.73% year-on-year.

Industrial plastics coated fabrics, medical and sanitary textiles, canopy products, bags, and non-woven fabrics are the top five products for industrial textiles, accounting for 77.67% of the total. The United States, Japan, India, Vietnam, and South Korea are the largest export markets of industrial textiles in China, accounting for 36.01% of total exports, and the export market concentration is not high, which is conducive to the dispersion of risks. Exports to the United States increased by 5.45%, and Vietnam’s exports fell the most, reaching 19.57%.

Asia is the largest export area of ​​industrial textiles in China, accounting for 41.84% of the total, but exports to Asia fell by 5.35% in the first half of the year, and exports to the EU have also maintained a zero growth; exports to Latin America and other European countries Not much, but the growth rate of more than 15% is the fastest growing market; exports to Africa are growing at a low rate and the export share is also low.

Growth in key application areas has risen

First-half exports of medical and sanitary textiles increased by 9.71% year-on-year. Demand for medical and sanitary textiles was basically a rigid demand. However, due to the poor economic environment at home and abroad, the market’s demand for product growth slowed significantly, adding new investment from previous periods. The production capacity has gradually reached production, and the total supply of the market has grown too fast. Therefore, competition in the industry in the first half of the year is fierce. Due to advanced equipment and technology and standardized management, large enterprises mainly supply foreign brands and domestic major brand enterprises. Orders are relatively good. The overall operation of the company is in good condition. Some enterprises are still preparing to invest in new projects.

In the first half of 2012, exports of medical and sanitary textiles reached 1.35 billion yuan, an increase of 9.71% over the same period of last year, and both export volume and export unit price rose by 4.7%. The export prices of cotton wool, gauze and bandages and disposable surgical gowns were basically the same, and the export prices of sanitary napkins and diapers rose by more than 10%. If only medical dressings and one-time surgical gowns are counted, the United States is China’s largest export market, but exports fell by 5.45%, exports to the Japanese market decreased by 22.37%, and exports to the Netherlands increased by 38.93% to US$31.77 million. .

Filtration and separation textiles export growth is expected to be 20% to 30% in the first half of 2012, due to the impact of the macroeconomic recession, the new dust removal and gas purification system is less, the new project's filter material volume has declined significantly, For example, in the cement and iron and steel fields, the normal-temperature filter materials showed negative growth year-on-year.

In the first half of the year, the increase in the use of dust removal filters was 10% to 20% year-on-year, and most of them were high-temperature filter materials. The prices of the products were high, and the production value was large. The current production status of the company was very full and the order was in October. However, due to the fierce competition in the market and the increase in production costs, profits have decreased and the profit rate has dropped by 10% to 15%. Dust filter materials are also exported to foreign countries along with the host manufacturers, such as India, Pakistan, South America, Southeast Asia, Africa and other countries and regions, especially India, due to its rapid economic growth, the development of its coal-fired power industry is very rapid, a lot of new power plants , China's export growth of filter materials is expected to be 20% to 30%. Before the winter is the peak period of dust filter replacement, so the market expectations in the second half is still relatively optimistic, the annual market growth is expected to remain at 10%.

Vehicle Textiles Automobile production and sales both increased year-on-year. In 2011, automobile production and sales only increased by 0.84% ​​and 2.45% year-on-year, and the growth rate decreased by 31.6 and 29.9 percentage points compared with 2010 respectively. The growth rate of production and sales was the lowest in 13 years. In the first half of 2012, China's automobile production and sales only increased by 4.1% and 2.9% respectively year-on-year, but the production and sales of passenger cars were better, with year-on-year increases of 7.9% and 7.1% respectively. 365 Yarn Network understands that in addition to the slowdown in market demand, the continuous increase in labor costs, procurement policies and procurement methods of OEMs, and fluctuations in raw material prices have brought great challenges to the operation of the industry in the first half of the year. The sales revenue of key enterprises in the industry in the first half of the year has maintained a growth of 10%, but the increase in profits has been lower than income, and some companies have even suffered losses. In particular, companies supporting their own brand cars have encountered major difficulties.

The negative growth in infrastructure investment in some countries in geotextile textiles The development of geotextile textiles is closely related to investment in the national infrastructure sector. In the first half of the year, the country’s investment in some infrastructure areas showed negative growth. For example, investment in railway infrastructure dropped 38.6% year-on-year. In the first half of the year, infrastructure investment only completed one-third of the annual plan; highway investment decreased by 13.5%. The national and provincial main road reconstruction investment dropped by 4.8%. However, countries in the fields of water conservancy and water transport have increased their investment. In 2012, the country’s water conservancy investment will reach 480 billion yuan, an increase of about 40% year-on-year, investment in water transportation projects will increase by 33%, and the investment in the construction of landfills will remain the same. Higher growth rate.

Although the investment in the water conservancy industry is booming, the overall market demand is weak, competition is fierce, and the price of products is falling. Due to the shortage of funds, the slow return rate in the engineering field has caused considerable pressure on the company's capital chain. Moreover, with the deep understanding of geotechnical products by users, the requirements for products have been continuously improved, and industry technology and product upgrades have been promoted. It has also made it difficult for small-scale enterprises with low technology level to obtain orders, underemployment, and business operations.

There is a certain growth in the balance between textiles for safety protection. Under the influence of unfavorable factors in the textile industry, the textile market for safety protection has also suffered a certain amount of impact, mainly in the following aspects: First, due to low demand, intensified market competition, and the price of products Continued decline; Second, downstream companies are cautious. Since the beginning of this year, the production and sales of safety-protection textile companies have basically balanced and maintained a certain growth rate, and export volume and price have increased. From the perspective of key enterprises in the industry, in view of the current situation in which the domestic market is not prosperous, enterprises take exports as an important way to maintain growth, actively explore the international market, give full play to price advantages, and expand exports, mainly for the Asian, EU and North American markets. The growth rate of exports to emerging markets is close to 50%. On the whole, the income from textiles for safety protection in the first half of the year increased compared with the same period of last year, but profits decreased compared with the same period last year.

The prices of structurally-enhancing textile products continue to fall. After experiencing high-speed but unordered development for several consecutive years, the wind power industry has been gradually transitioning to rational development under the correct guidance of the government. However, the imbalance between supply and demand and deterioration have been The market competition environment has caused the price of products to continue to decline and has not been eased. Wind turbine blades are the main equipment for wind power generation. Affected by the external industry's market environment, profit margins have been significantly reduced in 2011. The operating situation in 2012 is still not optimistic.

In the second half of the year, the industry exports still maintain a certain growth rate

Difficulty in some areas is an inevitable process in the growth of the industry. It will promote the integration and reshuffle of the industry, and promote the industry to change from the simple growth mode of relying solely on expansion of production capacity to relying on the comprehensive advantages of technology, R&D, branding, and management. Reduce costs and improve product quality, thus driving the transformation and upgrading of the industry.

The market for industrial textiles is huge. The industry is still in a period of rapid development. The backbone enterprises are full of confidence in the development of the industry. It is expected that the production and sales of the whole industry will maintain double-digit growth in the second half of the year, but the profitability of the industry may be A slight decline occurred. In foreign markets, because the world economy has not fully escaped the impact of the economic crisis, and China’s industrial textiles still have the advantages of cost, technology, and industrial chain in the international market, exports will still maintain a certain growth rate.