Updated: 10/16/2009 9:58:00 AM
Global economy recession showed no positive sign of upturning in the first half year of 2009, and global market demand keeps shrinking all along the way. The importation status quo of China domestic textile machinery keeps plummeting for over a year since 2008. To ameliorate this aggravating situation, an array of favoring policies were drafted and implemented which to a certain extent improved the import and export declining situation of textile machinery industry.
Although the import and export of textile machinery keeps declining during the first seven months of 2009, the magnitude of decline continuously fell off. Part of the export indexes ceased dropping, for example, export of private companies has been growing ever since April and textile machinery export to India remains growing month by month.
Global recession caused market demand plunging down which also led to a severe decline of China textile machinery export, but this does not necessarily mean the comparative advantage loss of China domestic textile machinery, whether from price or quality. Global economy might have touched the bottom and government of PRC will continually implement effective policies, it is therefore to positively predict that the textile machinery export declining magnitude will keep narrowing down.
1.Import and export keeps falling with narrowing declining magnitude
The import and export of textile machinery have been declining ever since 2009. The first seven months have witnessed overall import and export value of up to $2.074 billion dollars, down by 43.63% and the export value was $665 million dollars, down by 32.8% which is the maximal decline since 2001. In contrast with that, the first half year of 2008 had seen an increase of 10.84% of overall export value. Overall import value of the first seven months totaled $1.409 billion dollars, down by 47.61%.
Export of the first seven months has plunged by 32.8% year-on-year but the declining magnitude has narrowed by 4.53% in contrast with January which is the seventh consecutive narrowing of export magnitude declining.
Import of the first seven months has plunged by 47.61% year-on-year but the declining magnitude has narrowed by 16.76% in contrast with January which is also the seventh consecutive narrowing of import magnitude declining.
2.General trade declining speed drooping
Textile machinery import and export are primarily formulated in general trade. The first seven months of 2009 have seen $550 million dollars worth of imported textile machinery formulated in general trade, taking up 82.73% of overall export value and down by 29.48% year-on-year.
The first seven months of 2009 have seen $786 million dollars worth of exported textile machinery formulated in general trade, taking up 55.81% of overall export value and down by 50.65% year-on-year.
3.Private companies eclipse traditional major vendors
Trade deficit for private companies continues decreasing and turns positive growth since after April 2009. Overall export value totaled $328 million dollars and increased by 4.7% year-on year, taking up close to half of overall export value.
4.Exportation to India turns positive
Major exported area of China textile machinery concentrated in Asia districts in which over 60% were exported to India, Bangladesh, Hongkong, Japan and Vietnam. From January to July, overall textile machinery exported to India accumulated to $233 million dollars, increased by 22.47%, taking up 35.01% of overall export value. Exportation to India turns positive ever since April with averaged 25.48% growth as of April to July.
The first seven months have witnessed $478 million dollars of imported textile machinery from Germany , taking up 33.9% of overall textile machinery importation which is a 38.73% decline year-on-year.
5.Highlighted exportation growth of mid-west areas.
During the first seven months of 2009, Zhejiang, Jiangsu, Guangdong, Shanghai and Beijing have jointly realized import and export value $1.745 billion dollars, down by 35.81% year-on-year but takes up 84.16% of overall national import and export value. Zhejiang province has exported $261million dollars worth of textile machinery and increased by 10.9% year-on-year while some mid-west provinces have seen substantial export growth thanks to the leverage of national favoring policies.
|
Trade |
Export |
Import |
Deficit（million dollars） |
Yearly Deficit（million dollars） | ||||
|
Value（million dollars） |
growth |
variance |
Value(dollars) |
growth |
variance | |||
|
Total |
664.7 |
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