Since 2018, the macro-environment has generally supported the domestic textile industry's domestic sales and export markets to achieve good growth.

The textile industry insisted on deepening the structural reform of the supply side. The structural adjustment characteristics of production indicators were obvious. The operational quality and efficiency indicators were improved compared with the first quarter. The operation of the industry basically continued to be stable, and the characteristics of high-quality development became increasingly apparent.

At the same time, however, the current development of the textile industry still faces many uncertainties. It still needs to overcome difficult problems such as comprehensive cost increase and environmental protection pressure. It will bear the pains of reforms such as capacity structure and corporate restructuring, and resolve the tightening of the monetary environment and trade. External risks such as protectionism warming up.

Industry data analysis:

1. The internal and external market growth is generally good.

According to the National Bureau of Statistics, from January to May 2018, the retail sales of clothing, shoes, hats and needle textiles above designated size increased by 9.1% year-on-year. Although the growth rate was slightly slower by 0.7 percentage points from the first quarter of this year, it was 1.9 times higher than the same period of last year. percentage point. Online retail sales continued to maintain rapid growth. From January to May, the online retail sales of wearing goods increased by 24.9% year-on-year. The growth rate fluctuated from the first quarter of this year, down 9 percentage points, but increased by 4.3 percentage points over the same period of last year.

The export competitiveness of textile yarns, fabrics and finished products increased, and the export value increased by 10.7%.

2. In-depth adjustment of production and supply structure

The growth rate of production in the textile industry has generally slowed down. From January to May 2018, the industrial added value of textile enterprises above designated size increased by 3.1% year-on-year, and the growth rate slowed by 2 and 0.5 percentage points respectively compared with the same period of the previous year and the first quarter of this year.

From the perspective of production in all aspects of the industrial chain, the characteristics of the textile industry's production capacity and supply structure are adjusted in depth.

The industrial added value of the chemical fiber industry increased by 5.4% year-on-year, 1.7 percentage points higher than the same period of the previous year. The industrial added value of the textile machinery industry increased by 15.5% year-on-year, and the growth rate was higher than the growth rate of 12.4 and 1.2 percentage points in the whole industry and the textile machinery industry in the same period of last year, reflecting the steady improvement of the domestic equipment market competitiveness.

3. The operational quality has improved compared with the first quarter.

The economic benefits of the textile industry have shown a trend of improvement. From January to May 2018, the country's 36,000 textile enterprises above designated size achieved a total revenue of 238.91 billion yuan, a year-on-year increase of 3.7%. The growth rate was 5.7 percentage points lower than the same period of the previous year, but it was 0.6 percentage points higher than the first quarter of this year. The total profit reached 110.72 billion yuan, a year-on-year increase of 1.5%. The growth rate was 9.1 percentage points lower than the same period of the previous year and 5.3 percentage points higher than the first quarter of this year.

The quality of the textile industry has improved. From January to May, the sales profit rate of textile enterprises above designated size was 4.6%, down 0.1 percentage points from the same period of last year, 0.1 percentage points higher than the first quarter of this year; the turnover rate of finished products was 18.5 times/year, up 3.4% year-on-year; The asset turnover rate was 1.4 times per year, which was basically the same as that of the same period of last year; the ratio of three fees was 6.9%, which was 0.2 percentage points lower than the first quarter of this year.

The trend of textile industry in the second half of the year

The overall macroeconomic fundamentals remain stable:

Looking forward to the whole year of 2018, the overall economic situation is stable, and the fundamentals of the textile industry to maintain a smooth operation are normal.

In terms of domestic demand, the national economy continued to be stable and the situation was good. The supply and demand structure continued to improve, the employment situation was better, and market confidence was improved. There was a condition to support the steady growth of domestic demand for textiles and clothing.

In terms of external demand, although there is more turmoil, it is expected that the overall situation of the global real economy will not change fundamentally in the short term. The demand for textile and apparel international market is expected to continue to grow at a low rate.

The policy environment facing the textile industry is further optimized. The Ministry of Finance and the State Administration of Taxation issued the "Notice on the Tax Policies for the Return of Value-Added Taxes for Some Industries in 2018". The chemical fiber and textile machinery industries are included in the industry catalogue for the refund of the value-added tax at the end of the value-added tax. Some R&D investment is large and in progress. Long-term high-tech enterprises will be eligible for tax rebate support.

Uncertainty still needs attention:

From the demand side, the global economic recovery mainly depends on active investment, and the private income growth momentum may tend to weaken; the US dollar officially enters the interest rate hike cycle, which will gradually have an inhibitory effect on the global consumer market. In the second quarter, China's GDP growth rate is expected to slow down slightly compared with the first quarter. The growth rate of per capita disposable income of China's residents has slowed down in the first quarter and the previous quarter, and the support for textile and apparel domestic demand has also weakened.

Judging from the external environment, the trade conflict between China and the United States has been deteriorating, and there has been a tendency to increase in the near future, increasing the uncertainty of the textile industry's export environment.