In the year 2009, China textile industry reversed the downward trend and maintained rapid growth, thanks to industrial upgrading, rising export tax rebates and other favorable policies.
Textile industry signaled recovery
"Revitalization Plans for the Textile Industry" was passed in early 2009. One year after China launched the stimulus package and regained economic growth momentum, the textile industry has overcome serious difficulties and has made new developments.
Domestic markets returned to the spotlight
In 2009, many Chinese textile and garment enterprises have felt the chill and turned their eyes away from European and American markets and focused back on the domestic market. From Jan. to Nov., domestic sales of statistics-worthy Chinese textile enterprises edged up 14.05 percent y/y to CNY2674.033 billion, accounting for 79.89 percent of the total.
It is important to note that garment sales in the domestic markets have jumped by more than 21.77% y/y. Besides, construction and auto fields are new growth points for nonwovens. Data shows that sales of textile belt and curtain fabric in the domestic markets were up 25.16 percent y/y.
Manufacturing and sales rebounded
Manufacturing and sales of China textile industry rebounded in 2009. Looking further, the total industrial production value of 52963 statistics-worthy Chinese textile enterprises increased 9.71 percent y/y to CNY3426.804 billion in Jan-Nov. 2009, 4.62% higher than the growth rate of the Jan.-Feb. 2009 period; The sales value were CNY 3347.067 billion in Jan-Nov. 2009, 9.82% year on year, 6.69% higher than the growth rate of the Jan.-Feb. 2009 period.
The decline in exports narrowed
Fresh data shows that, in Dec. 2009, China's textile and garment exports registered first positive growth since Apr. 2009. According to China Customs, exports value of textile and garment amounted to $16.787 billion in Dec. 2009, up 4.49 per cent y/y. Accumulated exports value of textile and garment (not including No.94 category) in the Jan.-Dec. 2009 period amounted to $167.024 billion, down 10.07 per cent y/y. The decline in accumulated textile and apparel exports was being constantly reduced and the tendency of rebound is increasingly obvious.
Continuity in the demand for the Chinese textile covering in the world market was keeping the hopes of exporters alive that after the recession. From Jan. to Nov. 2009, China's accumulated textile and garment export value to the United States, EU and Japan amounted to $78.818 billion, which accounted for 51.14 percent of China??s total textile and apparel export value. According to CNTAC, in Jan.-Nov. China's textile and garment exports value to the United States edged up 1.53% year-on-year to $25.34 billion, accounting for 40.22 percent of the United States'total textile and garment imports; China's textile and garment exports value to Japan edged up 0.26% year-on-year to $20.1 billion, accounting for 78.45 percent of Japan?? total textile and garment imports
Leading index turned upward
As you can see from the table, most industrial index in 2009 have sent clear signals that the growth of industry is accelerating. From Jan. to Nov. 2009, total profit for statistics-worthy textile enterprises was CNY133.149 billion, up 25.39%, 36.40 percentage points higher than the growth rate of the Jan.-Feb. period.
