According to feedback from cotton yarn traders in Jiangsu, Zhejiang, Guangdong, Qingdao and other places, since the beginning of December, the expectation of the first phase of the trade agreement between China and the United States by the end of December has become stronger and stronger, coupled with factors such as the strengthening of the RMB against the US dollar. As a result, the inquiries and purchases of imported yarn by weaving factories, middlemen, and clothing companies in coastal areas have continued to pick up. In addition to OE20S and OE21S, the low count air-spun bonded yarn and 'future yarn' sales bottomed out and rebounded, especially in the Guangdong market 8S-16S Pakistan Siro spinning due to low inventory and rising demand. ; However, the downstream purchases of 21S and C32S imported bleached knitting yarns and C32 and C40S bleached air-jet yarns have not shown much improvement. Traders generally report that the transactions of 32S and above carded yarns and combed yarns are 'not satisfactory.' According to the survey, in the past half month, compared with the 'turnaround' of low-count cotton yarns from India, Pakistan and Indonesia, the inquiries and transactions of Vietnam's OE8S-OE16S and C21 yarns have not been satisfactory. On the one hand, due to the increase in ICE, the increase in labor costs, and the frequent release of Sino-US trade negotiations, the increase in export FOB and CNF quotations has led to a decline in competitiveness of Vietnamese yarn; on the other hand, since December 1, 2019, Pakistan yarn will have 'zero tariffs'. 'Entering the Chinese market, so some buyers negotiate with Pakistani yarn mills, exporters, and traders, hoping to get a share of the reduction in tariffs in order to reduce the cost of raw materials. Recently, although ICE Futures and Zheng Cotton have broken through upwards, due to the overall weak operation of the domestic cotton yarn market, and some spinning mills in Henan, Shandong, Hebei, Jiangzhe and other places dumped goods in advance and recovered the payment, the port cleared customs and bonded cotton yarn RMB Not only did the quotations not follow the rise of futures, but they fell continuously. Regarding the reasons for the rebound in imported yarn transactions, industry analysts believe that: First, the Sino-US trade negotiations have made great progress, the export of textiles and apparel has ushered in a positive trend, and weaving factories and traders have plans to stockpile moderately; second, due to Shandong, Henan, etc. The small and medium-sized yarn mills in the locality stopped production or had a holiday relatively early, and it is expected that they will resume work later in the year, because some weaving enterprises with orders in some coastal areas prepared enough raw materials in advance. Of course, the appreciation of the renminbi leads to a decline in the cost of cotton yarn imports. Article keywords: Vietnamese yarn
