Are there any new developments in Sino-US trade and cotton quotas? Hear what the guests at the 2018 Cotton Textile Conference say

On October 14, the '2018 China Cotton Textile Conference and the Fifth Fourth Council Enlarged Meeting' hosted by China Cotton Textile Industry Association was held in Shanghai. The theme of the conference is 'quality change, efficiency improvement, and kinetic energy conversion'.　　In his speech, Cao Xuejun, deputy director of the Consumer Goods Industry Department of the Ministry of Industry and Information Technology, analyzed the status quo of the cotton textile industry and the challenges it faces. She said that the cotton spinning industry is in a period of transformation and upgrading, the industrial structure is constantly adjusted, the equipment is developing in the direction of intelligence and automation, the labor environment has been greatly improved, and the yarn varieties are becoming more abundant, but at the same time, we should also face the challenges faced, such as The product market is squeezed. In the first quarter of this year, the main business income of my country's cotton textile enterprises above designated size fell by 2.9% year-on-year, and their profits fell by 1.7% year-on-year; the level of equipment development differed greatly, and the cost of automation was high; the impact of Sino-US trade friction on the business confidence of textile enterprises, etc.　　 For a long time, cotton and chemical fiber have a close relationship, and there is a relationship of substitution and competition between the two. Duan Xiaoping, vice chairman of China Textile Industry Federation and chairman of China Chemical Fiber Industry Association, made a specific analysis in the keynote report. He said that in the past, purchasing and storage led to the expansion of the cotton price gap between China and abroad, while viscose staple fiber maintained a relatively stable and reasonable price trend, which played a very positive role in digesting the price gap between domestic and foreign cotton and maintained the balance of the raw material market in China's cotton spinning industry. In 2017, my country's total non-cotton fiber consumption reached 12.7 million tons. Duan Xiaoping believes that from the perspective of the competition between chemical fiber and cotton in the past 10 years, although chemical fiber occupies a certain advantage, it is basically benign, and competition has promoted the technological progress of their respective industries. In the future, chemical fiber and cotton will coexist peacefully and occupy their respective markets, but the increase mainly depends on chemical fiber. my country will further liberalize the import of cotton and increase the number of quotas. The national round-in and round-out system will be launched at an appropriate time (the national reserve of cotton reserves is about 2.5 million tons), and the specific operation will be more market-oriented.　　 Regarding the impact of tariffs on U.S. cotton, Duan Xiaoping said that my country’s imports of U.S. cotton accounted for the largest proportion, accounting for more than 40% in 2017. An additional 25% tariff will greatly increase the cost of cotton. On the one hand, cotton spinning companies will look for other sources of imports to replace U.S. cotton. Non-polluting Australian cotton and Brazilian cotton are more likely to replace U.S. cotton. Indian cotton is the second choice. Adjusting the product structure and increasing the application and development of non-cotton fibers is an unexpected opportunity for non-cotton fibers.　　 Xu Yingxin, vice chairman of the China National Textile and Apparel Council, and chairman of the Textile Industry Branch of the China Council for the Promotion of International Trade, shared the impact of the Sino-US trade war on the textile industry and countermeasures. He said that Sino-US trade is not just a trade war, but a deeper reform war and strategic stand. Suggested policies include: suggestions to improve the industrial development environment. Properly handle Sino-US trade frictions. Stabilize the RMB exchange rate. Develop diversified sales markets. Reduce the burden of corporate taxes and fees. Enterprises must actively carry out resource integration and global resource allocation, and work hard on product research and development. Regarding the issue of cotton quotas that enterprises are concerned about, Yin Jian, Director of the Second Commodity Balance Division of the Economic and Trade Department of the National Development and Reform Commission, emphasized at the meeting that to do a good job in cotton quota work, the enterprise’s honest declaration is the basis. In the initial declaration, many small and medium-sized enterprises falsely reported production capacity, The problem of cotton consumption is prominent. Yin Jian also said that cotton import management should be based on the principle of serving the high-quality development of the industry, and the relationship between upstream and downstream should be considered. It can not only meet the cotton demand of enterprises, reduce cotton costs, enhance the competitiveness of textile enterprises, but also protect cotton farmers in Xinjiang. Interests. In the future, the cotton import management plan will reduce government intervention and give autonomy to enterprises. The Development and Reform Commission will formulate a reasonable plan as soon as possible and issue a plan earlier.　　 Zhao Mingxia, deputy dean of the Textile Industry Economic Research Institute, conducted an analysis from the perspective of the economic trend of the textile and garment industry. The data shows that the economic growth rate of my country's textile industry is steadily slowing down, the economic benefits of enterprises above designated size continue to grow at a low-to-medium rate, the quality and efficiency of the textile industry is stable, the industrial chain structure is optimized, the domestic sales of textiles and clothing continue to grow, and the consumption upgrade of the domestic demand market is characteristic. Generally speaking, the external environmental variables have increased, the operating pressure has increased, and the competitiveness of enterprises has played a decisive role. Jiao Lunjin, general manager of Tianmen Textile Machinery Co., Ltd., introduced the equipment of Tianmen Textile Machinery at the meeting. He emphasized that the research and development of equipment is not simply about reducing people and increasing efficiency, but is people-oriented, which is impossible and easy to make mistakes. Should be handed over to intelligent equipment. Cotton spinning enterprises require the equipment of textile machinery manufacturers to achieve: high reliability, continuous production, low failure rate; high stability, stable operation, consistent quality; high speed and efficiency, increased output, energy saving and consumption reduction. Through advanced equipment and full-process automated production lines, labor intensity is reduced and production efficiency is improved. Article Keywords: 　Cotton Spinning Conference Transformation and Upgrade Smart Manufacturing Cotton Quota Sino-US Trade