SunSirs--China Commodity Data Group

Member ID: password: Join Now!
Commodity News

SunSirs:Textile Companies are Shipping Slowly, while Cotton Yarn Prices are Temporarily Stable

July 11 2025 13:28:21     SunSirs (John)

Price trend

According to the commodity market analysis system of SunSirs, costs have risen this week, and the cotton yarn market response has been flat, with slow sales and temporarily stable prices. As of July 11th, the spot price reference for 21S cotton ring spinning in Shandong Province, China is around 21,765 RMB/ton, which is the same as last week; The spot price of 32S cotton ring spinning is estimated to be around 23,200 RMB/ton, unchanged from last week.

Fundamentals:

Market Overview: This week, there is a slight improvement in demand for cotton yarn at the terminal, and Zhengzhou cotton futures rebounded, which relatively promotes the flow of cotton yarn from upstream yarn factories to the trading link. However, the actual trading center has limited upward movement, and the deviation between short-term cotton prices and downstream markets has led to poor profit conditions in various links of the industry chain. Imported cotton yarn shipments are mainly based on mid-range quality and low-priced resources, with some air spun and ring spun yarns priced similarly to domestic yarns, gradually flowing into domestic sales. Driven by cotton prices, yarn prices in India have also slightly increased, and local demand still provides strong support for cotton yarn consumption.

Operating rate situation: There has been little overall change in operating rate this week, with slightly lower sales of domestic textile enterprises compared to Xinjiang region. Some small textile enterprises in mainland China have stopped processing inventory, while Xinjiang textile enterprises have maintained stable power on, with 50-70% of domestic textile enterprises and 8-9% in Xinjiang region. As of July 10th, the operating load of mainstream textile enterprises was 70.40%, a decrease of 0.84% compared to the previous month.

Inventory situation: Currently, about 30% of downstream fabric factories are operating, and the procurement of raw materials is not active. The inventory still shows a trend of accumulation. Some large factories in Xinjiang have inventory for about 35-40 days, while mainland enterprises have inventory for about 20-28 days. As of July 10th, the yarn inventory of major regional textile enterprises was 31.2 days, with a weekly increase of 0.65%.

Cost side: Cotton prices have been running strongly this week, with Zhengzhou cotton futures rising and external cotton prices significantly increasing. However, downstream demand is weak and the market is moving slowly. Although domestic consumption is still under pressure, there is a shortage of high-quality goods in the market, coupled with expectations of tight supply, supporting a bullish mentality.

Weak demand: Currently, trading in the all cotton fabric market is sluggish, and weaving factories have reported a lack of actual orders, making spot transactions even more difficult. Manufacturers' inventory is generally high, and some large factories have plans to reduce production. Recently, cotton prices have remained stable and upward, with strong quotes for all cotton fabric. However, actual transactions are still subject to negotiation based on individual orders. For the future, most textile factories believe that the improvement in September is limited and their expectations are not high.

Market outlook

Recently, the off-season characteristics of the market have continued to emerge, and there has been no significant improvement in the demand for yarn. The production and sales rate has remained at a low level, leading to a continuous increase in finished product inventory. At present, the number of large orders in the hands of textile enterprises is limited, mainly consisting of small and short orders. Overall, in the absence of strong demand support and increasing inventory pressure, yarn prices are unlikely to experience significant fluctuations in the short term, and are expected to remain stable with a low likelihood of significant fluctuations.

If you have any inquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.

Related Information
Energy
Chemical
Rubber & plastics
Textile
Non-ferrous metals
Steel
Building materials
Agricultural & sideline products