Different equipment and product positioning

2. Different equipment and product positioning

Compared with Zhejiang and Jiangsu NFY plants, Fujian NFY factories are more newly established, and they have a generally higher proportion of high-end spinning equipment.

The production scale and product coverage of Fujian NFY plants are also relatively larger. When the market demand (hot-sold product) changes, Fujian NFY plants are able to adapt to the emerged demand more precisely and thus they are easier to catch the market wind. For example, feather yarn produced in Jiangsu was hot in 2021, but the consumption has shrunk significantly in 2022, with a narrower consumption more focusing on the high-end product. But since the related producers in Jiangsu are restricted by their lower-end production equipment, it is more difficult for them to switch to the high-end market