Textile Machinery Industry in 1st Half: Moderate Growth in Production and Marketing, Significant Decline in Export

Data from the National Bureau of Statistics shows that in the first half of this year, the textile machinery economy in China registered growth in terms of scale, production & marketing as well as costs and expenses, but the total profit dropped moderately. In the same period, the total export declined significantly.

In January-June period, the prime business revenue of the textile machinery industry amounted to CNY 51.64 billion, up 7.35% year-on-year; total assets amounted to CNY 84.46 billion, up 7.53%; there were 732 textile machinery manufacturers with a total 132,800 employees, down 1.51%. In this period, the sales of industrial products amounted to CNY 51.06 billion, up 7.56%; the sales-output ratio stood at 97.37%, up 0.08 percentage point year-on-year; finished products converting into capital amounted to CNY 4.49 billion, up 18.95%. Meanwhile, the total profit stood at CNY 2.96 billion, registered a decline of CNY 6.62 million; 16.26% of the manufacturers reported losses and they generated a loss value of CNY 213 million, an increased of CNY 113 million compared with same period of last year.

In the first half of this year, the import and export of textile machinery amounted to US$ 3.25 billion, down 22.95% year-on-year, in which, the export amounted to US$ 1.09 billion, up 3.48%; the import about US$ 2.16 billion, down 22.95%.

In this period, China imported textile machinery from 50 countries and regions. The import of spinning machinery is on the top of the list, amounting to US$ 428 million, up 2.27% year-on-year, accounting for 19.84% of the total import value.

Germany, Japan, Italy, Taiwan and Switzerland are top 5 suppliers and the import from these suppliers amounted to US$ 1.86 billion, down 21.78% year-on-year, accounting for 86.32% of the total import. The import from Germany amounted to US$ 750 million, down 14.32%, in which, the import of knitting machinery amounted to US$ 240 million, down dramatically by 40.06%.

In the first half of this year, the export of textile machinery amounted to US$ 1.09 billion, up 3.48%, in which, the export of knitting machinery amounted to US$ 276 million, down 14.05%, accounting for 25.28% of the total export value, ranking the first place; followed by auxiliary equipment and parts, printing, dyeing & finishing machinery, chemical fiber machinery, spinning machinery, weaving machinery and nonwoven machinery. The export of chemical fiber machinery registered the highest year-on-year growth up to 103.71%.

India, Indonesia, Bangladesh, Pakistan and Japan are top 5 destinations of China’s exported textile machinery, accounting for 48.65% of the total export value, in which, the export to India amounted to US$ 203 million, down 19.44%, covering 18.61% of total export.

By ownership of exporters, private firms ranks the first, with an export of US$ 463 billion, up 5.54% year-on-year, accounting for 42.35% of the total; followed by foreign-funded companies, US$ 328 billion, down 8.04%, accounting 30.03% of the total; and State-owned enterprises, Sino-foreign joint ventures, collective enterprises and Sino-foreign cooperative enterprises.