2023 China chemical fiber industry in-depth research

2. Output

China is a major producer of chemical fiber. In recent years, the output of chemical fiber in China has shown a rapid growth trend. At present, the agglomeration effect of China's chemical fiber textile industry has become prominent, and Zhejiang, Jiangsu and Fujian are the main chemical fiber textile industry agglomeration areas. In 2021, China's chemical fiber production reached 67.085 million tons, an increase of 5.406 million tons from 2020, an increase of 8.8%. In 2022, the national output of chemical fiber was 66.978 million tons, down 1% year-on-year.

3. Business income

From 2018 to 2022, the operating income of enterprises above designated size in China's chemical fiber industry showed an overall growth trend. The data show that in 2021, the operating income of enterprises above designated size in China's chemical fiber industry was 766.28 billion yuan, an increase of 24.1%. In 2022, the operating income of enterprises above designated size in China's chemical fiber industry was 1,011.66 billion yuan, an increase of 10.7%.

In the first half of 2023, although the economic benefits of the chemical fiber industry are still in a declining state, they have begun to gradually repair. The year-on-year decline in revenue and profit has gradually narrowed, and the growth rate of loss of loss-making enterprises has also shown a downward trend. Overall, the profitability of the industry in the second quarter increased compared with the first quarter, mainly due to the impact of the Spring Festival in the first quarter, and the impact of factors such as the high base of the same period last year and the high oscillation of the price of crude oil and chemical fiber main raw materials.

4. Total profit

Affected by the fluctuation of crude oil prices and the overall market demand, the total profit of China's chemical fiber industry has fluctuated in the past two years. Data show that the total profit of China's chemical fiber industry in 2021 is 62.89 billion yuan, an increase of 149.2%; In 2022, the total profit of China's chemical fiber industry was 24.1 billion yuan, down 62.2% year-on-year. From this overall point of view, the overall pressure operation of China's chemical fiber industry in 2022.

5. Import and export volume

According to the statistics of China Customs, the total import volume of chemical fiber main products from January to June 2023 decreased by 14.5% year-on-year; Exports increased by 17.4% year-on-year, 8.68 percentage points higher than the growth rate for the whole of last year. Among them, the export of polyester filament increased by 25.9%. First, chemical fiber enterprises actively expand overseas markets; Second, under the influence of India's BIS certification, manufacturers raced ahead of schedule, and exports of polyester filament to India increased by 165% year-on-year, and India became China's largest market for polyester filament exports, accounting for 14.9% of total exports. Exports of nylon, acrylic fiber, viscose fiber and spandex all decreased year-on-year. In addition, polyester bottle flake exports are still growing, but the growth rate slowed down, up 2.9% from January to June.

2. Characteristics of market competition

At present, China's chemical fiber industry market competition is relatively full, and there are a large number of enterprises in the industry. According to national statistics, by the end of 2022, the number of enterprises above designated size in China's chemical fiber industry has reached 2,167. However, most of the production scale of enterprises is small, except for a few enterprises such as Rongsheng Petrochemical to reach the world-class level, most of the chemical fiber production enterprises in the annual production scale of about 10,000 to 20,000 tons, many chemical fiber production enterprises in the annual production scale of less than 10,000 tons.

However, in recent years, thanks to more and more chemical fiber enterprises have extended their development tentacles to the capital market, and have become bigger and stronger with the power of the capital market, making the industry concentration gradually improve. Relevant data show that by 2022, there are more than 30 listed companies in China's chemical fiber enterprises, such as Rongsheng Petrochemical, Hengyi Petrochemical, Hengli Petrochemical, Tongkun Shares and other enterprises. The total capacity of 10 leading enterprises in the industry accounts for more than 60% of the total scale. However, the current market concentration is still small, it is expected that with the tightening of environmental protection policies, the intensification of market competition, and China's large-scale industrial restructuring, the future chemical fiber industry will enter the era of large-scale corporate mergers and acquisitions, and the market concentration of chemical fiber industry will also be improved.

Future development trend

Since the beginning of this year, the national economy has continued to recover, and the overall recovery has turned positive, with GDP growing by 5.5% year-on-year from January to June. The Political Bureau of the CPC Central Committee pointed out at a meeting on July 24 that the current economic operation is facing new difficulties and challenges, mainly due to insufficient domestic demand, the operation of some enterprises is difficult, there are many risks and hidden dangers in key areas, and the external environment is complex and severe. The meeting proposed that "we should accurately and effectively implement macro-control, strengthen counter-cyclical adjustment and policy reserve", which will provide impetus for the recovery of internal economic momentum.