ANALYSIS OF THE TEXTILE INDUSTRY FROM 2021

 

Due to the demand for epidemic prevention supplies, the global industrial textile industry experienced a round of rapid growth in 2020, accumulating a large base for the industry's development in 2021. However, with the changing global pandemic situation, the demand for epidemic prevention supplies has significantly decreased, leading to a substantial decline in the growth rate of the mask, protective clothing, and related raw materials industries in 2021. This decline has resulted in a decrease in the main economic indicators for the entire industry.

From January to May 2021, the industrial value-added of enterprises above a certain scale in the industrial textile industry decreased by 11.9% compared to the same period last year, with an average growth of 15.2% over the past two years. The production of non-woven fabrics by enterprises above a certain scale reached 2.449 million tons, a year-on-year increase of 9.2%. The production of curtain fabrics was 327,000 tons, a year-on-year increase of 32.3%. The operating income of enterprises above a certain scale reached 117.51 billion yuan, a year-on-year increase of 0.3%. The total profit was 7.02 billion yuan, a year-on-year decrease of 54.5%, with a profit margin of 6.0%, a decrease of 7.2 percentage points compared to the previous year.

Looking at different sectors, from January to May, the operating income and total profit of enterprises above a certain scale in the non-woven fabric sector decreased by 7.7% and 67.8% respectively compared to the same period last year, with a profit margin of 6.2%, a decrease of 11.5 percentage points compared to the previous year.

For enterprises above a certain scale in the rope, cable, and cord sector, the operating income and total profit increased by 24.6% and 43.6% respectively compared to the same period last year, with a profit margin of 4.2%, an increase of 0.6 percentage points compared to the previous year.

In the textile belt and curtain fabric sector, the operating income and total profit of enterprises above a certain scale increased by 28.2% and 198.0% respectively compared to the same period last year, with a profit margin of 5.7%, an increase of 3.3 percentage points compared to the previous year.

For enterprises above a certain scale in the tarpaulin and canvas sector, the operating income and total profit increased by 37.4% and 63.3% respectively compared to the same period last year, with a profit margin of 6.2%, an increase of 1.0 percentage point compared to the previous year.

In other industrial textile sectors such as medical, health, filtration, and geotechnical textiles, the operating income and total profit of enterprises above a certain scale decreased by 10.3% and 53.5% respectively compared to the same period last year, with a profit margin of 6.0%, a decrease of 5.6 percentage points compared to the previous year.

In terms of international trade, looking at the main export products, from January to May, the export value of non-woven fabrics, special yarns, threads, ropes, cables, and their products (Chapter 56 of the Customs Comprehensive Classification of Goods) amounted to $3.52 billion, a year-on-year increase of 46.4%. Among them, the export value of non-woven fabrics was $2.04 billion, a year-on-year increase of 54.9%, with an export volume of 627,000 tons, a year-on-year increase of 52.2%. The export value of industrial textiles (Chapter 59 of the Customs Comprehensive Classification of Goods) was $3.50 billion, a year-on-year increase of 38.0%. In terms of the export of epidemic prevention materials, the export of synthetic non-woven fabric-made protective clothing (including medical protective clothing) was $1.43 billion, a year-on-year decrease of 34.5%; the export of unnamed textile products (including masks) was $6.01 billion, a year-on-year decrease of 75.1%.

Currently, with the continuous improvement of vaccination rates and the recovery of global market demand, the epidemic prevention-related field and the non-epidemic prevention-related field in the industrial textile industry are showing two completely different development trends. The development of epidemic prevention-related fields in the industry has gradually returned to pre-pandemic levels. The profitability of these fields from January to May has continued the significant downward trend, but the total profit growth rate of enterprises in the non-woven fabric sector still reached an average of 24.6% over the past two years. The non-epidemic prevention-related field has continued its recovery trend, with most sectors having already recovered or even outperformed the pre-pandemic levels. However, the rising costs of raw materials, labor, and transportation have put considerable pressure on the recovery of these sectors. It is expected that the total profits of the industrial textile industry will continue to decline compared to the same period last year in the remaining months of this year, but the profit margin will be better than the pre-pandemic level.

In recent years, SUNTECH Textile Machinery has witnessed remarkable progress in technology and design, propelling the textile machinery industry to unprecedented heights. By incorporating state-of-the-art automation technology and intelligent solutions, SUNTECH Textile Machinery has not only amplified the production efficiency of textile enterprises but also championed sustainability through the reduction of resource wastage and environmental impact.

As a frontrunner in the industry, SUNTECH Textile Machinery remains unwavering in its commitment to allocate substantial resources and efforts towards research and development, as well as fostering a culture of innovation. Through constant exploration and inventive thinking, SUNTECH Textile Machinery strives to propel the entire industry forward, ensuring its continuous growth and advancement. By embracing technological advancements and encouraging collaboration, SUNTECH Textile Machinery envisions a future where the textile machinery industry shines even brighter, benefiting all stakeholders involved.