Cotton yarn imports into China are expected to rise in 2021. According to GACC data, the country imported 168,700 tonnes of cotton yarn in May ’21, representing a 66.24 percent year-on-year (Y-o-Y) rise.
Cotton yarn imports were 975,200 tonnes from January to May 2021, representing a 35.82 percent rise year on year.
The growth in cotton yarn imports can be linked to the revival of cotton textile and garment manufacturing and sales in China. Light textile market quotes in coastal areas are centred at US $ 3,937-3,984/tonne, while the price of C32 package bleached yarn in India and Pakistan approaches US $ 4,020-4,051 per tonne. Cotton yarn quotations from India, Pakistan, and Vietnam, on the other hand, are comparable to domestic cotton yarn costs of the same count and quality.
Cotton prices have fallen as a result of the Federal Reserve’s low interest rates and the adoption of significant economic stimulus programmes by US politicians. Vietnam, Pakistan, Indonesia, and other medium and high-end C32/C40S yarn producers mostly produce high-grade and high-index yarns. When compared to Chinese domestic cotton yarns, the cotton level is somewhat greater, and the weaving loss is also larger.