Chinese yarn market in comatose stage

The Chinese cotton yarn mark is in a stage of comatose, as it enters the traditional off-season period.

Downstream yarn consuming companies are turning even more negative towards procurement of raw materials.

Despite spinners reducing prices by around 200 Yuan / ton last week, the move has not been able to stimulate yarn buyers, as order positions did not improve.

Chinese spinners have been hit by low-priced imports, due to the vast difference of 1,500-2,000 Yuan per ton between domestic and imported cotton yarn.

Only those spinners who have cotton import quotas are able to withstand competition from imported yarn, while the rest are facing a daunting task. 

Fibre2fashion News Desk - China