Home / Knowledge / News / Textiles / Chemical fibre industry enters cyclical period
Chemical fibre industry enters cyclical period
Dec '08
The chemical fibre industry has showed a sharp reversal from the peak it attained in the last few years thereby demonstrating characteristics of a strong cyclical period. In the first three quarters, chemical fibre production could achieve a growth of only 2.44 percent year-on-year, down 16.66 percent from the same period last year.

The growth also fell for the first time in eight years to below single digit rates. The growth rate of fixed assets also significantly fell by 18.6 percent, far below 51.6 percent of the first three quarters last year and 31.8 percent in the whole year of 2007.

The economic crisis and the resultant slump in off take and also the crash in prices of vital petrochemicals, the situation in the fourth quarter of the current year in China as well as abroad is expected to further exacerbate leading to a further deterioration in the once vibrant chemical fibre industry.

The chemical fibre industry in China is expected to realize a revenue growth of only 1.44 percent year-on-year, while growth rates in profits are expected to fall 65.38 percent year-on-year. Demand from the down stream sectors is not enough to utilize the capacities resulting in rising inventories.

Due to declining export orders and slowdown in the domestic downstream industries, companies have been compelled to reduce their operating capacities on the back of rising stock levels. This difficult phase is expected to continue in to the first half of 2009. Industry leaders are expecting the situation to improve towards the beginning of 2010 only.

Fibre2fashion News Desk - China

Must ReadView All

(L-R) Mr Shao Bojin, Chairman of Jihua Group and Mr Rohit Aggarwal, President of Huntsman Textile

Textiles | On 28th Oct 2016

Huntsman gets into strategic partnership with Jihua Group

Huntsman Textile Effects, the leading provider of high quality dyes...

Marzoli FT6D roving frames in Sintex’s Unit 2. Coutresy: Marzoli

Textiles | On 28th Oct 2016

Marzoli roving frames erected at Sintex textile division

A total of 48 Marzoli roving frames were erected in units I, II and...

Courtesy: Polartec

Textiles | On 28th Oct 2016

Polartec innovates most breathable waterproof fabric

Polartec, the premium provider of innovative textile solutions, has...

Interviews View All

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Kevin Nelson

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search