It is a difficult year for China textile market in 2022

It is a difficult year for China textile market in 2022. Most spinners are struggling with losses, including cotton yarn, polyester yarn and rayon yarn. Cotton yarn continue to suffer deep losses, which are just reversed for about two months after cotton price slumped in the third quarter. Later, as the epidemic control in Xinjiang affected the arrival of new cotton and transportation, cotton spot price started to recover and cotton yarn suffered losses again. Polyester yarn profit started turning from positive to negative since May and the losses kept widening. Till now, polyester yarn has become the product that suffered the deepest losses among the three major spun yarns. Rayon yarn started to lose money since the second quarter, and there were bigger divergences among different varieties, with losses around 1,000yuan/mt in average. It was not until the fourth quarter when the losses started to decrease with notable price decline of raw materials.