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Outlook of Japanese chemical fibre sector not optimistic
Jul '12
Mr Tsunehiro Ogawa
Mr Tsunehiro Ogawa
“The Japanese chemical fibres industry stayed near stagnant in the first half of 2012, when compared with the same period of the previous year”, said a top official of the Japan Chemical Fibre Association (JCFA).

Production figures of the Japanese chemical fibre industry, which is amongst the top three  production hubs in the world, are presently lower than those attained before the global economic crisis ripped throughout the world in mid-2008.

In the first five months of 2012, Japanese chemical fibre output fell 3.2 percent from a year ago to 416,000 tons. Exports were down 4.6 percent to 181,000 tons, while imports dropped 8.6 percent to 87,000 tons and mill consumption dipped 3.9 percent to 321,000 tons.

According to Mr Tsunehiro Ogawa – Director General of JCFA, “There are two main reasons for the stagnancy. Firstly, overall domestic demand for textile products remained weak in the first half of 2012. 

“Secondly, the personal expenditure on clothing remained sluggish. Similarly demand for interior and home furnishings like curtains and carpets were sluggish in spite of signs of recovery of the indexes of both housing and private construction orders.

“However, demand for textile accessories from the automobile sector in the first half of 2012 has been on a recovery trend from the supply chain disruption by the earthquake, mainly because of the government subsidy program for “Eco-Friendly Car Purchases”, he said.

Mr Ogawa was not optimistic about the rest of 2012. He expects that domestic demand from textile and apparel will be weak, demand from automobile sector will be uncertain and exports would fall further, due to the slowdown in European & US markets.

Fibre2fashion News Desk - India

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