October 11, 2019 Source: China Textile News

In the first half of 2019, in the face of complex domestic and international macroeconomic conditions, affected by the comprehensive factors such as increased pressure on the textile market and cyclical adjustment of the industry, the main economic indicators of the textile machinery industry fluctuated and the export market increased slightly. The operation was under pressure but overall was in line with expectations.

Operating income slightly decreased, profits remained relatively stable

From January to June 2019, the total assets of 680 textile machinery enterprises above designated size were 102.051 billion yuan, an increase of 8.56% compared with the same period of last year; the operating income was 45.971 billion yuan, a decrease of 0.79% over the same period. After a good start in the first quarter and a growth rate of 14.57%, since April, the growth rate of the industry's operating income has shown a year-on-year decline. The largest decline in April was 26.28%, and it fell 5.48% in May. 4.41%, the decline was narrowed month by month.

From January to June 2019, the total profit of textile machinery enterprises above designated size was 3.205 billion yuan, an increase of 0.46% compared with the same period of last year; the total cost was 42.325 billion yuan, a decrease of 0.98% compared with the same period of last year. By improving management levels and reducing costs and increasing efficiency, enterprises have maintained relatively stable profits in the case of a slight decline in operating income.

From January to June 2019, the accounts receivable of textile machinery enterprises above designated size increased by 14.15% year-on-year, and the inventory of finished products decreased slightly by 0.96%. Under the situation that the total operating income of the textile machinery industry decreased slightly, the accounts receivable showed two The increase in the number also shows that the market competition is more intense.

According to the sales data of the China Textile Machinery Association, the cumulative sales volume of the textile machinery industry in the first half of 2019 has basically maintained a steady state, but the pressure on new orders continues to increase, and the market conditions of various segments of the textile machinery are different. In the first half of the year, the sales of most of the spinning machinery products were relatively stable; the three major types of weaving machines were in line with expectations; the overall downward pressure on the main products of knitting machinery increased significantly; the printing and dyeing machinery was generally stable, but some equipment slowed down; Machinery shipments were steady, but new orders were reduced; orders and sales for most categories of nonwovens machinery declined to varying degrees.

China Textile Machinery Association conducted a survey on the operation of 80 textile machinery enterprises in the first half of the year. From the aggregated results, 60% of the companies believe that the industry situation in the first half of 2019 is in line with expectations, but half of the enterprises tend to expect the second half of the year. cautious.

Affected by factors such as increased market pressure, the surveyed companies in the first half of 2019 have a slower pace of developing new products. On average, new product sales accounted for 26.39% of the company's sales revenue. Overall, the proportion of corporate orders in the first half of 2019 was higher than that in 2018, and foreign orders were the same. Among them, the spinning machinery enterprises and knitting machinery enterprises have flat or reduced orders.

Unlike the situation in 2018, among the enterprises surveyed, the primary contradiction in the current production and operation has changed from market disorder and poor price competition to insufficient domestic market demand, but the disorderly and priceless bad competition is still enterprise. The important problems faced, the lack of international market demand and the volatility of raw material prices are at the forefront. In addition, trade friction and inflation are also common problems faced by enterprises. Among them, the volatility of raw material prices has a serious impact on weaving machinery enterprises and chemical fiber enterprises. Compared with the whole year of 2018, the proportion of enterprises affected by trade friction is considered to have increased significantly.

For the second half of 2019, the company is not very optimistic, only 14.10% of the companies are optimistic, 33.33% of the companies think the situation is general, 50.00% of the companies are not optimistic, and 2% of the companies said the situation is still unclear.

Exports are greater than imports have a limited impact on US exports

According to customs statistics, from January to June 2019, the total import and export of textile machinery in China was 3.606 billion US dollars, down 2.87% compared with the same period of last year. Among them: textile machinery imports 1.708 billion US dollars, compared with the same period last year, a decrease of 6.96%; exports of 1.988 billion US dollars, an increase of 1.13% compared with the same period last year. The export growth rate is greater than the import growth rate, and the trade surplus has been achieved for five consecutive months since this year.

From January to June 2019, China imported textile machinery from 63 countries and regions, with a total import value of 1.708 billion US dollars, down 6.96% year-on-year. From the perspective of imported product categories, chemical fiber machinery imports ranked first, with a total import value of 458 million US dollars, an increase of 17.96% compared with the same period of last year, accounting for 26.83% of total imports. In addition to chemical fiber machinery, weaving machinery and non-woven machinery, the seven categories of products have different degrees of reduction. Driven by downstream demand, chemical fiber machinery surpassed auxiliary equipment and spare parts in the first place since the end of 2018, and maintained its import growth in the first half of the year. With the industrial transfer and upgrading, and the growth of downstream demand, weaving machinery maintained a high import growth rate, but the growth rate declined.

From January to June 2019, the major countries and regions importing textile machinery were mainly Japan, Germany, Italy, Taiwan, and Belgium. The top five import trade volume was 1.447 billion US dollars, a decrease of 2.07% compared with the same period of last year. It accounts for 84.72% of the total imports. The demand for weaving machinery in the domestic market has supported the growth of Japanese imports.

From the category of imported products, the export value of knitting machinery was 520 million US dollars, an increase of 2.58% compared with last year, accounting for 27.40%, ranking first, followed by printing and dyeing finishing machinery, auxiliary equipment and spare parts, spinning Machinery, weaving machinery, chemical fiber machinery and nonwoven machinery. Chemical fiber machinery exports reversed the negative growth in the first quarter and recovered to double-digit growth year-on-year.

From January to June 2019, the total amount of exports to India, Vietnam, Bangladesh, Indonesia and Turkey accounted for 56.47% of the total export volume. It is the main country and region for the export of China's textile machinery. Exports to Vietnam have maintained a large growth rate, and the proportion of total exports continues to increase. With the development of Ethiopia's textile industry, the amount of exports to Ethiopia increased significantly year-on-year, reaching 541.04%. Textile machinery products exported to the “Belt and Road” countries accounted for 74.29% of all exports, which is the main market for China's textile machinery exports, with exports to Central Asia and ASEAN increasing significantly.

Since August 2017, the US Trade Representative Office initiated the investigation of China 301. From May 10, 2019, the tariff rate on the 200 billion US dollar listed goods imported from China has been increased to 25%. China's textile industry exports to the United States, including almost all kinds of textile yarns, fabrics, knitting, industrial finished products and some home textiles and textile machinery products, these products for the United States exports more than 4 billion US dollars. Since then, the United States has announced that it intends to increase tariffs on China's $300 billion tariffs, including China's textile industry's exports to the United States, and most of its home textiles and parts of textile machinery products, involving exports to the US for more than 40 billion US dollars.

Textile machinery has been subject to tariffs mainly involving most chemical fiber machinery and printing and finishing machinery. The $300 billion tax increase list mainly covers most spinning machinery, knitting machinery, auxiliary equipment parts and some weaving machinery. At present, Sino-US trade relations have not eased. In the first half of the year, China's textile machinery industry exported US$43 million to the US, accounting for 2.28% of all textile machinery exports, down 21.07% year-on-year. The United States is the ninth largest country in the export of textile machinery products in China. Among the products exported to the United States in the first half of the year, spinning machinery, weaving machinery, auxiliary equipment and spare parts, as well as printing and dyeing and finishing machinery, saw significant declines. The United States has a small share of China's textile machinery export market, and the decline in exports to the United States has limited impact on the entire textile machinery industry.

Entering the adjustment phase to meet the demand and improve development resilience

At present, the domestic and international economic situation is still complicated and severe, the global economic growth is weak, and the international trade boom is declining. External instability and uncertainties have increased. The Sino-US trade situation is uncertain, and China's macroeconomic operating pressure has increased. Affected by the slowdown in international market demand and uncertain trading environment, the textile export situation in the second half of the year is not optimistic. The potential of domestic demand is to be further explored, and corporate investment will be more cautious. In 2019, the market pressure faced by the textile machinery industry increased, production and sales gradually slowed down. After the high growth rate in 2017 and 2018, the overall operation of the textile machinery industry will enter the adjustment stage.

However, the fundamentals of the overall smooth operation of China's national economy will not change. The central government has issued a series of policies and has continuously increased its implementation, including a proactive fiscal policy and a prudent monetary policy, and a tax reduction and fee reduction policy. With the continuous implementation of industrial policies in the future, it will help optimize the business environment, stabilize consumption and investment demand, and support the smooth operation of the textile and textile machinery industry.

In response to external environmental changes, the textile machinery industry will continue to focus on new kinetic energy development and industrial upgrading, and promote independent innovation. Textile machinery enterprises should fully understand the complexity of the global economic and trade environment and the long-term nature of risk factors, and respond to market demand and actively explore internationally. The domestic market, improve the ability to resist risks and develop resilience, and promote the industry to achieve high quality development.

Spinning machinery intelligence needs continue to increase

According to the statistics of key production enterprises in China Textile Machinery Association, the sales of carding machines in the first half of 2019 was about 2,300 units, an increase of 4.6% year-on-year; the sales of drawframe machines was about 2,000 units, an increase of 33.3% year-on-year. The number of draw frames of the device was about 950, accounting for 47.5% of the total. Compared with the same period of last year, the proportion of draw frames with autoleveling devices increased. The number of combers sold was about 385, which was basically the same as that of the same period last year. The sales of roving frames are about 600 units, a decrease of 20% year-on-year, of which about 310 units are equipped with thick and thin devices, accounting for 51.7% of the total; the sales of cotton spinning machines are about 2.35 million spindles, a slight increase year-on-year. Yarn device) sold about 1.55 million spindles, accounting for 64% of the total sales of spinning frames; about 800,000 spindles with spinning machine, accounting for 34% of the total sales of spinning machines, up 70% year-on-year; The spinning equipment sold a total of about 2.5 million spindles, which was basically the same as that of the same period of last year; the sales of rotor spinning machines was about 190,000, down 29.6% year-on-year; the sales of automatic winders were about 320, up 6.7% year-on-year. The type of growth is more; the sales of short-fiber double-twisting machines are about 840 units, Drop more; in the first half vortex spinning equipment imported 114 units, up 78%.

According to customs statistics, in the first half of 2019, the total export volume of spinning machinery mainframes was about 250 million US dollars, a year-on-year decrease of 3.0%. In the first half of 2019, the total import volume of spinning machinery mainframes was about 270 million US dollars, down 13.1% year-on-year. The total import value of spinning equipment, special spare parts and auxiliary equipment was about 120 million US dollars, down 5.9% year-on-year.

Operational analysis can be seen from the statistical data, the overall operation of the spinning machinery in the first half of the year is relatively stable, the demand for automation, continuous and intelligent in the new project continues to increase, the carding, the coarse and fine mesh, the automatic packaging of the yarn and the process Transportation and other basics have become standard; the renovation project continues to focus on economic upgrading; the rotor spinning machine has seen a significant decline this year, while maintaining rapid growth over the past three years, but the import of jet vortex spinning equipment has surged, indicating that users are short. The demand for process equipment remains undiminished. As the adaptability of raw materials for short process equipment becomes wider and wider, the comprehensive cost of spinning enterprises continues to decrease, and the market prospects for short process equipment are broad in the future.

Trend Forecast The general direction of spinning equipment development is automation, continuity, digitization and intelligence. Demand for short process equipment continues to grow and will partially replace ring spinning in the future. New projects and stock equipment upgrades and “machine substitutions” are still major trends, such as: spun yarn joint robots, smart carding machines, automatic logistics systems, automatic yarn packaging systems, intelligent doffing robots, winder automatic yarn feeding System, rotor spinning automatic change automatic joints, etc.

Weaving machinery trend differentiation promotes product upgrade

According to the statistics of China Textile Machinery Association, from January to June 2019, major domestic manufacturers sold 2,900 high-speed rapier looms, down 26.15% year-on-year; 38,000 water jet looms were sold, up 25.89% year-on-year; Sales of 7,500 air-jet looms decreased by 8.32% year-on-year.

According to customs data, 1220 sets of high-speed rapier looms were imported from January to June 2019, down 3.48% year-on-year; 2269 water jet looms were imported, up 230.116% year-on-year; 2,791 air jet looms were imported, up 60.68 year-on-year. %. From January to June 2019, a total of 5,900 rapier looms were exported, down 28.15% year-on-year; a total of 5,231 jet looms were exported, up 13.18% year-on-year; a total of 946 jet looms were exported, down 14.54% year-on-year.

Operational analysis The domestic textile industry is affected by uncertainties in international trade tensions and various domestic policy adjustments. Investors' willingness to invest declines and consumer confidence is insufficient. Fluctuations in exchange rates were obvious, and raw material prices continued to fall. Although the domestic industrial transfer and upgrading process continued, the pace slowed down. In the first half of 2019, demand for water jet loom continued to grow, while demand for high-speed rapier looms and air jet looms declined.

Trend Forecast Domestic weaving machinery is affected by the international and domestic economic environment and the economic cycle of the textile industry. It is expected that the operation will slow down in the second half of the year. Domestic manufacturers should strengthen their attention to foreign markets while improving product quality, broadening product adaptability, and enhancing brand awareness.

Knitting machinery overseas market or a breakthrough

According to the statistics of China Textile Machinery Association, the sales volume of the main domestic manufacturers in the first half of 2019 was about 62,000 units, down about 40% year-on-year; the sales volume of the circular weft machine was about 11,000 units, down 8% year-on-year; the sales volume of warp knitting machines was about It was 2,200 units, down 15% year-on-year. According to customs statistics, the export value of China's flat knitting machine was US$170 million, up 21.3% year-on-year; the export value of circular weft machine was US$120 million, up 13.2% year-on-year; the export value of warp knitting machine was US$0.3 billion, down 15.4% year-on-year. .

Operational analysis In the first half of 2019, the downward pressure of the overall operation of the three major types of knitting machines, such as flat knitting machine, circular weft knitting machine and warp knitting machine, increased significantly.

After two years of rapid development, the flat knitting machine market gradually cooled down. In the first half of 2019, the domestic market sales volume decreased significantly, and the overseas market continued to grow. The downstream market of flat knitting machine is gradually saturated, and the homogenization competition is becoming more and more serious. As a result, its growth rate slows down and the overall situation gradually declines. At the same time, some shoe market orders flow to the warp knitting machine. The single-system flat knitting machine was affected by the downstream sweater market, and its performance was relatively flat, with a large decline in sales. The overseas market performance of Hengji was outstanding, and exports to Bangladesh, India and Cambodia increased significantly year-on-year.

The overall performance of the circular weft machine market has stabilized slightly. In the first half of 2019, the circular machine market declined in the second quarter after a brief recovery in the first quarter. In addition, domestic companies are actively exploring overseas markets, ranging from single-sided models to jacquard models. The export of circular weft machines has shown a growth trend, especially in markets such as Vietnam, India and Bangladesh.

Due to the market saturation, fluctuations in raw material prices and shortage of labor, the warp knitting machine industry is in a downward trend, and the performance of subdivided models is different. Among them, the double needle bed warp knitting machine benefited from its wide range of application fields, and the sales volume remained stable compared with the same period of last year. Affected by the downstream market, the lace machine market continued to slump, and sales volume declined compared with the same period last year. The high-speed warp knitting machine has become saturated with the development market in recent years, and has experienced a significant decline compared with the same period last year. The market performance of multi-axial warp knitting machines was relatively flat, and the sales volume also declined to some extent.

Trend Forecast As consumers pursue further personalization and fashion, the corresponding knitting machinery still has broad prospects for development. From the development direction of enterprises, knitting machinery enterprises pay more and more attention to the differentiated innovation and individualized needs to meet the needs of special varieties, attach importance to independent research and development and intellectual property protection, and move toward “high-precision” and intelligent manufacturing and interconnection.

The key technologies and key equipments of China's knitting machinery industry will continue to be tackled, and the overall equipment technology will be improved rapidly. However, the integration, modularization and automation level of design and manufacturing of knitting machinery enterprises need to be improved.

The advantages of printing and dyeing machinery digital printing gradually become prominent

Data Fast Track From January to June 2019, the China Textile Machinery Association's key sampling enterprises sold 121 sets of rotary screen printing machines, an increase of 9% over the same period of last year; sales of flat screen printing machines 30 units, an increase of 11.11% over the same period of last year; sales tenter There were 221 sets of fixing machines, which was 3.49% lower than the same period of last year.

According to customs statistics, the cumulative import volume of printing and finishing machinery and parts from January to June 2019 decreased by 1.46% year-on-year, and the import value decreased by 14.76% year-on-year; from January to June 2019, printing and finishing machinery and parts The cumulative export value decreased by 3.49% year-on-year.

Operational analysis In the first half of 2019, the overall market for fabric pretreatment equipment was stable, especially the continuous pretreatment technology for knitted fabrics, which has matured and developed in recent years. Thanks to the downstream printing and dyeing industry's centralized relocation to the industrial park and the rise of the textile industry in the Belt and Road countries and regions, the low-bath ratio intermittent dyeing equipment manufacturers generally reflect the good order status, and the domestic low-bath ratio and high-automatic intermittent dyeing machine wins. The domestic and international markets have been unanimously recognized and maintained a small growth trend.

The rotary screen and flat screen printing equipment is the mainstream equipment in the domestic printing field, and the domestic market is in a saturated state and runs smoothly. Affected by domestic environmental protection policies and operating costs, the printing and dyeing industry shifted to Southeast Asia, which drove the increase in domestic printing and dyeing equipment exports, which made up for the shortage of the domestic market and led to the growth of flat screen printing equipment. It is noteworthy that although the rotary screen and flat-net printing equipment maintained a growth trend in the first half of the year, according to the China Textile Machinery Association, the new orders in the first half of the year were not satisfactory, especially since the second quarter.

Digital printing equipment has been the focus of printing equipment in recent years. With the gradual maturity of digital printing technology and the decline in production costs, its advantages have gradually become prominent. In the first half of 2019, the digital printing equipment market was generally operating well. The complicated and volatile international trade environment in the first half of the year accelerated the transfer of downstream European and American orders from China to Southeast Asian countries. The foreign digital printing market has obvious competitive advantages over traditional printing, which brings opportunities to domestic digital printing equipment enterprises, and the export market has grown rapidly.

After several years of rapid growth, the stenter has slowed down in the first half of 2019. Enterprises generally reflect insufficient market demand, sales in the second quarter have fallen sharply, and the market situation in the second half is not optimistic.

In recent years, the domestic import and dyeing and finishing machinery import market has continued to decline, on the one hand due to insufficient domestic market demand, on the other hand due to the improvement of domestic equipment manufacturing level. On the export side, due to the complicated and ever-changing international trade environment in 2019, the international textile machinery market has been affected by certain impacts, and market confidence is insufficient. On the other hand, the manufacturing level of printing and dyeing machinery in India and Turkey has been continuously improved, and some overseas markets have been seized and become domestically produced. The main competitors of printing and dyeing equipment have increased export pressure.

Trend Forecast In the second half of 2019, Sino-US trade friction increased the uncertainty of the market. Under the dual pressure of domestic and international market environment, the overall situation is not optimistic, and the pressure for survival and development of enterprises is great.

In the face of complex and volatile market and economic environment, enterprises should accelerate transformation and upgrading, focus on scientific research and innovation, improve product competitiveness and comprehensive management capabilities, and enhance their ability to resist risks.

Chemical fiber machinery special fiber production equipment has demand

According to the incomplete statistics of China Textile Machinery Association, the shipment of filament spinning machines such as polyester and nylon in the first half of the year was around 5,700 spinning, which was 9.62% higher than the same period of last year; the shipment of high-speed texturing machine was about 1050. Taiwan, down 11.0% year-on-year, but the shipment of low-speed texturing machine has a certain increase. The new capacity of polyester staple fiber equipment was about 250,000 tons, which was the same as that of the same period last year.

According to customs statistics, the import volume of chemical fiber machinery in the first half of 2019 was US$458 million, an increase of 17.96% year-on-year. The top five import markets were Japan, Germany, Italy, the United States and Belgium; the export value was US$157 million, an increase of 25.60% year-on-year. The top five export markets are Vietnam, Turkey, Japan, India and Indonesia.

Operational analysis It can be seen from the statistics that in the first half of 2019, the operation of chemical fiber machinery enterprises was generally stable, and the shipment of chemical fiber machinery was stable, but new orders were reduced. In 2018, the investment in the chemical fiber industry rebounded, and the domestic new chemical fiber project increased, driving the market demand for chemical fiber machinery to rebound. This development inertia continued into the first half of 2019. However, with the sharp decline in the benefits of the chemical fiber industry, growth is difficult to sustain.

Trend Forecast With the fluctuation of raw material prices, due to factors such as chemical fiber enterprises' integration of production capacity, inventory reduction, industrial transformation and upgrading, it is expected that the growth rate of chemical fiber machinery orders will be slow in the second half of the year. In addition, special fiber and functional fiber production equipment such as composite fiber and foreign fiber have certain market demand in the second half of the year.

Non-woven mechanical services extend into the direction of development

According to the China Textile Machinery Association survey of some key enterprises, nearly 100 supporting spunbond spinning production lines in the first half of 2019, basically the same as last year; the spunlace line completed 10 sales, down more than 60 compared with the same period last year. %; 32 spunbond splice sales production lines, up nearly 20% over the same period last year, and acupuncture production lines completed 94 sales, a slight decrease from the same period last year.

Since the second quarter of this year, due to the impact of trade frictions between China and the United States, the downstream companies have increased their wait-and-see attitudes, and their orders and sales have declined to varying degrees. Take the consumption of such equipment as a needle, and the company’s stocking orders tend to be conservative. Reflects the decline in the market for acupuncture nonwovens. Relatively speaking, the spunbond and spunmelt markets are relatively stable. The spunlace nonwovens market is accelerating its correction after more than two years of rapid growth. Acupuncture production line, the situation of new orders from enterprises is not optimistic, and the market has dropped significantly.

Trend Forecast As a important raw material for industrial textiles, non-woven fabrics are still in great demand in various fields such as geotechnical construction and medical and health care. In the first half of the year, under the overall sluggish market environment in China, some enterprises have achieved anti-market growth. After analysis, these enterprises have unique advantages in cultivating the international market or cultivating their own core competitiveness. Enterprises should also pay attention to the extension of the equipment manufacturing industry to the manufacturing service industry by means of intelligent manufacturing development opportunities.