Textile Technology section
ITMF: 6th survey shows improved turnover expectations
How is the impact of the Corona-pandemic on the global textile value chain? Between November 20th and December 14th, 2020, the International Textile Manufacturers Federation (ITMF), Zurich/Switzerland, has conducted its 6th ITMF Corona-Survey with in total, 159 companies, ITMF members and affiliated companies and associations, from around the world participated.
In comparison to the 5th ITMF Corona-Survey (September 5th – 25th, 2020), the turnover expectations for 2020 have improved in the 6th survey by 4 percentage points from -16% to now -12% compared to 2019.
For 2021 and the following years, turnover expectations have overall improved slightly. On average, the companies are expecting a small improvement from -1% (5th survey) to +3% (6th survey) compared to 2019. Also, for 2022 and 2023 the outlook has improved slightly from +9% (5th survey) to +11% (6th survey) and from +14% (5th survey) to +15% (6th survey), respectively. The turnover expectations for 2024 – compared to the 2019 levels – have not changed (+18% in the 5th and 6th survey).
Due to the reduced turnover drop of -10% in 2020, the industry is expecting to recover the losses incurred in 2020 by the end of 2022.
ITMF: Ruizhe Sun elected as new president
On October 22, 2020 during the Hybrid ITMF Annual Conference 2020 of the International Textile Manufacturers Federation (ITMF), Zurich/Switzerland, the Committee of Management of the Federation elected the members of the Board for the term 2020-2022.
Mr. Ruizhe Sun (photo), President of the China National Textile and Apparel Council (CNTAC), Beijing/China, was unanimously elected as the new President, succeeding Mr. Kihak Sung.
Mr. K.V. Srinivasan and Juan Parès were elected as Vice Presidents of the Federation. Ernesto Maurer was elected as the new Treasurer.
Loek de Vries, Michelle Tjokrosaputro and Mohammad Kassem were re-elected as Board Members.
As new Board Members, the Committee of Management elected Mustafa Denizer, Uday Gill, Salman Ispahani, Mrs. Suchita Jain Oswal, Mr. Taejin Kang and Mr. Yingxin Xu. Rafael Cervone, John Cheh, Andrew Macdonald and Muharrem Kayhan were co-opted as Board Members.
Kihak Sung was elected Honorary Life Member of the Federation in recognition of his outstanding contribution to the Federation as Vice President (2016-2018) and President of ITMF (2018-2020).
ITMF: 5th Corona Survey shows reduced production capacity
Between September 5 and 25, 2020, the International Textile Manufacturers Federation (ITMF), Zurich/Switzerland, conducted its 5th ITMF Corona Survey among ITMF members and affiliated companies and associations about the impact the Corona pandemic has on the global textile value chain.
In total, 216 companies from around the world participated. They report that the corona pandemic led to a significant reduction of production capacities. 23% of the respondents reduced production by more than -30% and another 19% by -20% to -30%. On the other side of the spectrum - and unsurprisingly - only 9% of companies have increased their production capacity during the pandemic. 21% did not make any change.
Furthermore, 21% of all surveyed companies are expecting turnover to be back to pre-crisis level in 2020. 11% of companies think it is more likely to happen in the 1st quarter (Q1) of 2021, 15% in the Q2/2021, and 17% in Q3/2021. It is important to note that 25% of all companies are expecting turnover to reach pre-crisis levels in 2022 and 2023 (see graph).
When asked about the expected turnover in 2020 compared to 2019 since the beginning of the corona pandemic, the companies’ expectations have significantly improved since 4th survey. While in the beginning of June companies were expecting a drop in turnover of around -32%, the expected reduction fell to -16% by the middle of September 2020.
ITMF: orders down by 40% due to corona pandemic
Between May 20 and June 8, 2020, the International Textile Manufacturers Federation (ITMF), Zurich/Switzerland, conducted its 4th ITMF Corona Survey among ITMF members and affiliated companies and associations about the impact the corona pandemic had on the global textile value chain. In total around 600 companies from around the world participated.
On a global scale, current orders continue to be down on average by more than 40%. On average, companies are expecting their turnover to plummet by 32%. The range between regions differs with from -22% in South East Asia to -36% in East Asia.
All segments in the textile value chain recorded significant decreases in orders. Also, integrated producers seem to have fared slightly better with -26%, while the other segments expect turnover in 2020 to be falling in the range of -31% to -34%.
Asked when pre-crisis levels are reached again, the majority (23%) is expecting this to be in the 1st quarter (Q1) of 2021, followed by 21% that are expecting this to be the case in the 2nd quarter of 2021. Nevertheless, 20% of companies are expecting a faster recovery in Q4/2020.
ITMF: shipments of new textile machinery decreased in 2019
In 2019, global shipments of spinning, texturing, weaving, knitting, and finishing machines decreased on average compared to 2018.
Deliveries of new short-staple spindles and open-end rotors fell by 20% each, and long-staple spindles dropped by 66%. The number of shipped draw-texturing spindles declined by 4.5% and deliveries of shuttle-less looms shrunk by 0.5%. Shipments of large circular machines contracted by 1.2%, while shipped flat knitting machines fell by 40%. The sum of deliveries in the finishing segment also decreased by 2% on average.
These are the main results of the 42nd annual International Textile Machinery Shipment Statistics released by the International Textile Manufacturers Federation (ITMF), Zurich/Switzerland. The report covers 6 segments of textile machinery, namely spinning, draw-texturing, weaving, large circular knitting, flat knitting and finishing.
The 2019 survey has been compiled in cooperation with more than 200 textile machinery manufacturers representing a comprehensive measure of world production.
ITMF: responsible sourcing practices for socially compliant production
In a statement made by the International Textile Manufacturers Federation (ITMF), Zurich/Switzerland, on the corona crisis, the federation has appealed to brands and retailers to act responsibly and sustainably.
The corona pandemic has revealed how extended the textile value chain is, from producing fibers to the finished consumer products offered by brands and retailers around the world. Fibers can be produced in one country, yarns spun in another; fabrics are woven or knitted yet in another country before the final garment is sewn and shipped across continents. It is imperative that brands and retailers and their suppliers cooperate closely and look for solutions that support each other.
The ITMF’s recent corona surveys have revealed that orders have plummeted by more than 40% globally and that turnover in 2020 is expected to be 33% lower than in 2019. The most pressing issue for most companies is liquidity. Therefore, it is essential that brands and retailers find solutions with their suppliers that allow them to pay their workers and avoid massive layoffs. Responsible sourcing practices are critical preconditions for socially compliant and eco-friendly production.
ITMF: Cotton Contamination Survey 2019
The International Textile Manufacturers Federation (ITMF), Zurich/Switzerland, has published the “Cotton Contamination Survey 2019”. The survey shows that the level of contamination of raw cotton by foreign matters and the appearance of seed-coat fragments have increased compared with 2016, underscoring the importance of clean cotton to spinners. At the same time the level of stickiness has fallen slightly to the lowest level. Furthermore, the survey reveals that there are significant differences between cotton varieties when it comes to the level of contamination. This 15th edition of the Cotton Contamination Survey covers 128 spinning mills located in 25 countries which evaluated 81 different cotton growths. The level of cottons moderately or seriously contaminated as perceived by the spinning mills from around the world grew from 23% in 2016 to 26% in 2019. The presence of sticky cotton as perceived by the spinning mills is close to constant (i.e. 16% in 2016 vs. 15.7% in 2019) and remains at the lowest level since 1989. With regard to seed-coat fragments, the 2019 survey shows that their appearance in cotton growths remains an issue for spinners around the world. 34% of all cotton growths consumed contained moderate or significant amounts of seed-coat fragments, a slight increase since 2016 (32%).
ITMF/ICAC/ICA: collaborative action for cotton and textile sectors
The loss of demand resulting from the corona pandemic and the preventative measures that are being applied throughout the world affects the cotton and textile sectors from end to end. It is essential for each trading partner to be mindful of each other’s position.
The associations BCI (Better Cotton Initiative), CICCA (Committee for International Co-operation Between Cotton Associations), ICA (International Cotton Association), ICAC (International Cotton Advisory Committee) and ITMF (International Textile Manufacturers Federation) are unified in promoting a common set of values and shared commitment to safe trading and contract sanctity across the global cotton community. This joint challenge is to ensure that fair and equitable trade practices govern the commercial relationships throughout the cotton and textile supply chains.
The associations want to encourage that all those engaged in the cotton and textile value chains jointly and collaboratively commit to:
• take actions that are considered and designed to contribute to the recovery of the cotton and textile sectors in 2021 and beyond,
• communicate, collaborate and be responsive to the needs of their counterparties,
• continue to respect the trade rules that govern the sectors,
• recognize and publicize positive behaviors. Identify and call out negative, counter-productive commercial behaviors.
The strong sense of community in the cotton and textile world will continue to be a source of strength.
ITMF: deep impact of the corona-pandemic on the global textile industry
East Asia was hit first by the corona-crisis, is also recovering first from it. Orders in East Asia dropped visibly less (-28%) than in all the other regions (-40% and more). Especially China and Korea were able to contain the epidemic successfully. In the last few weeks, most Chinese textile companies have ramped up production significantly. Likewise, off-line retail stores have reopened, and consumption is picking up again in East Asian countries.
Between April 16-28, 2020, the International Textile Manufacturers Federation (ITMF), Zurich/Switzerland, has conducted a 3rd survey among ITMF Members and affiliated companies and associations about the impact the Corona-pandemic on the global textile value chain, especially on current orders and expected turnover in 2020. In total 600 companies from around the world participated.
Companies in Europe are expecting turnover in 2020 to be down by 22%, a figure significantly better than the -33% reported in the 2nd survey. Companies in East Asia are expecting turnover to be down by 26%, which is close to what was reported in the 2nd survey (-24%). Companies’ turnover expectations in South East Asia and South Asia on the other hand have deteriorated significantly. These regions were hit later by the Corona-pandemic and hence the full impact was felt with a delay. Compared to 2019, expected turnover for 2020 is down by 38% in South East Asia and by 31% in South Asia.
Turnover expectations in Africa, South America and North America have not changed much since the 2nd survey.
The most important challenges at the moment are securing enough liquidity, supply chain disruption and uncertainty.
ITMF: 2nd survey about the impact of the corona virus on the global textile industry
The first Corona-Survey of the International Textile Manufacturers Federation (ITMF), Zurich/Switzerland, in the 2nd half of March indicated already the dire consequences of the demand and supply shock. Between March 28 and April 6, 2020, ITMF has conducted a 2nd survey among ITMF members and affiliated companies and associations about the impact the corona pandemic on the global textile value chain, especially on current orders and expected turnover in 2020. In total 700 companies from around the world participated.
The results show that companies in all regions of the world suffered significant numbers of cancellations and/or postponements of orders. Globally, current orders dropped by -31 % on average. The severity of the decrease ranges from -20 % in East Asia to -41 % in South America.
The results show that companies in all regions of the world are expecting their turnovers in 2020 to be significantly lower than in 2019. On world average, the turnover in 2020 is expected to be -28 % lower than in 2019. While in South Asia the expected turnover will fall by -15 %, companies in Africa are expecting a drop of -45 %. Furthermore, the ITMF Corona-Survey revealed that the companies are struggling with many issues. The 2 most important and pressing issues are to keep the workforce safe, and to have enough liquidity to cover all the running expenses.