Global yarn production increased by +17 percent between Q4/18 and Q1/19. Higher output levels where observed in Asia (+18 percent), Brazil (+18 percent), the USA (+3.2 percent) and Europe (+1.6 percent). The overall Asian result is due to a +27 percent increase in Chinese yarn production which outperformed the contraction registered in Japan (-1.7 percent), India (-3.1 percent) and Korea, Rep. (-9.2 percent). A decreasing trend has further been observed in South Africa (-5.3 percent) and Egypt (-7.9 percent).
Forecasts for Q2/19 are optimistic in Japan, Chinese Taipei, and Turkey. Global yarn stocks increased by +6.3 percent worldwide. This results from a +27 percent improvement in Egypt, +7.7 percent raise in Brazil, and +3.8 percent increase in Asia. The latter is the consequence of stock growth in Japan and India, stability in Pakistan and decrease in Korea, Rep. and Chinese Taipei. Altogether, yarn stocks reached 97 percent of their previous year’s level for the same quarter. Global yarn orders increased by +12, led by Brazil (+18 percent), Egypt (+11 percent), and Asia (+9 percent).
Global fabric production increased between Q4/18 to Q1/19 by +3.8 percent. This reflects an output raise of +19 percent in Brazil and an overall +3.6 percent improvement in Asian countries. Europe saw its production shrink by -0.85 percent with the biggest drop registered in Spain (-10.1 percent). A strong decrease of -42 percent was also witnessed in Egyptian fabric production. The world output level now reaches 88 percent of its Q1/18 level. Output levels are expected to further decrease in Q2/19 in Asia, Africa, and Brazil, stay constant in the USA and increase in Europe. Production should stagnate in Q3/19 in all regions but Asia, which should register an improvement. The global fabric stock level has stagnated between Q4/18 and Q1/19. This resulted from raises registered in Egypt (+16 percent) and Brazil (+3.3 percent) and decreases of -1 percent to -2 percent observed in Asia, Europe and the USA In Q1/19, global fabrics stocks were 1 percent above their Q1/18 level. Global fabric orders have dropped by -19 percent in Q1/19, led by a decrease of -32 percent in Egypt and -25 percent in Brazil. Global fabric orders were 8 percent above their Q1/18 level.
