Domestic demand of textiles and apparel slows down (China)

Accordong to Mr.Sun Huaibin,spokesman of China Textile Industry Association, domestic demand of textiles and apparel has slowed down compared to the same period last year, due to slowdown of domestic macroeconomic growth.Overall, despite the annual growth of clothing consumption in domestic marekt will be still below previous year's level, the growth rate will show a trend of gradual increase, which will gradually pull up the textile industry.

According to relevant statistics, in the first half of 2012, global textile and apparel imports by European Union fell 6.9 percent year on year,textile and apparel imports by the United States showed nearly a zero growth, global textile and apparel imports by Japan increased only 2.2 percent year-on-year, the rate decreased by 10.8 percentage points compared with the same period last year, confirming that overall demand on international market was in the doldrums.

Since 2012, domestic cotton price has been higher than international market, as of mid-August,domestic cotton price was more than 5000 yuan/ton higher than international market, the spread widened by 67 percent compared with the beginning of the year, resulting in serious decline of competitiveness of cotton spinning industry chain in China.

Mr.Sun huaibin points out that the negative growth trend of China's textile industry is difficult to make a fundamentally reverse, as price trend of domestic and international cotton is not yet clear. However, the decline of growth rate of industry sales is expected to be gradually reduced with domestic demand growth gradually picking up.