Textile Orders May Return To China Due To Out Of Control Epidemic Situation In India

Since April, the number of new crown confirmed cases in India has reached a record high. According to the latest data released by India's Ministry of health on the 26th, the number of confirmed cases of new crown pneumonia in India rose to 17313163. In the past 24 hours, 352991 new confirmed cases have been reported in India, a record increase. Textile income has always been one of the main pillars of India's economy and one of the largest sources of foreign exchange income in India. The textile industry accounts for about 15% of India's total export revenue. In October last year, affected by the epidemic situation, many large-scale export-oriented textile enterprises in India were unable to guarantee normal delivery due to the epidemic situation. Many orders originally produced in India had been transferred to China for production, and many foreign trade enterprises had burst orders.

Comments: with the orderly return to work of domestic textile manufacturers, domestic and foreign demand side is gradually digested by the impact of the epidemic situation, as well as the structural return of orders from the textile industry to China due to the foreign epidemic situation, the orders began to improve significantly in the fourth quarter of 2020 and continue to this day.

Jujie microfiber (300819) is one of the earliest enterprises engaged in the processing and application of superfine composite fiber materials in China. Its partners include decathlon, Zara, C & A and other international famous brands.

Xinye textile (002087) has a relatively complete industrial chain of cotton, spinning, weaving, dyeing and finishing.