Dye industry development trend analysis 2018 supply and demand pattern is relatively stable


Release Date:

2018/10/12

Dyes are colored organic compounds that can dye fibers or other substrates into a certain color. Generally speaking, they are coloring substances used in textile dyeing.
Basic Situation Analysis of Dye Industry
Dyes are colored organic compounds that can dye fibers or other substrates into a certain color. Generally speaking, they are coloring substances used in textile dyeing. The dyes mentioned here are synthetic dyes (distinguished from natural dyes) produced by industrialization. Their main uses are dyeing and printing of yarns and fabrics, leather dyeing, paper dyeing, food addition and plastic color filling. According to the nature and application methods, dyes can be divided into disperse dyes, reactive dyes, sulfur dyes, vat dyes, acid dyes, direct dyes and other categories.
Driven by downstream demand, the apparent consumption of dyes has increased significantly.
Dyes belong to fine chemical products, downstream demand is extensive, mainly used in a variety of textile fiber coloring. Therefore, its terminal consumption field is the textile and garment industry. In 2017, the year-on-year growth rate of retail sales in China's apparel industry bottomed out and was positive since 2012. Affected by this, the apparent demand for dyes in China has increased significantly, to 772000 tons for the whole year, an increase of 10.2 percent over the same period last year, and the growth rate has climbed to double digits again after many years, indicating a marked recovery in the industry.
Analysis and Forecast of Sales Revenue and Output of China Dye Industry in 2018
According to the statistical data of "forecast and analysis report on production and marketing demand and investment of dye industry" released by prospective industry research institute, during the 12th Five Year Plan period, the total industrial output value of China's dye industry was 250.46 billion yuan, with an average annual growth rate of 8%, the total product sales revenue was 237.06 billion yuan, with an average annual growth rate of 6%, the total profit and tax was 33.23 billion yuan, with an average annual growth rate of 22.2, and the total dye output of 4.337 million tons, with an average annual growth rate of 4.5. At the beginning of the 13th five-year Plan, the dye industry made steady progress. In 2016 and 2017, the total industrial output value was 59.85 billion yuan and 62.1 billion yuan respectively, the product sales revenue was 53.18 billion yuan and 59.1 billion yuan respectively, and the output was 928000 tons and 990000 tons respectively. It is estimated that the sales revenue of China's dye industry will exceed 60 billion yuan in 2018 and the output will exceed 1 million tons.
The main concentration of the domestic dye market is high.
In 2016, the domestic disperse dye production capacity is mainly concentrated in Zhejiang Longsheng, Leap Earth shares and Jihua Group three enterprises, CR3 about 70%. Reactive dye production capacity is higher Zhejiang Longsheng, Leap Earth shares, Hubei Chuyuan, Taixing Jinji and Annoy's five enterprises, CR3 close to 50%. Compared with disperse dyes, there are more small and medium-sized manufacturers of reactive dyes, and there is still room for improvement in market concentration in the future. The downstream printing and dyeing industry has a low industrial concentration. In addition, once the dye supplier enters the printing and dyeing enterprise supply system, the printing and dyeing enterprise will not be easily replaced. Because the replacement of suppliers will prolong the production cycle and affect the printing and dyeing effect. Therefore, dye downstream customers have relatively high user stickiness.
Rapid scale development and increased production
During the "Twelfth Five-Year Plan" period, dye enterprises to accelerate the pace of expansion and restructuring, leading enterprises gradually expand the scale. As of 2015, the number of enterprises with an annual output value of more than 0.5 billion yuan has increased from 14 in 2011 to 21, and there are nearly 30 enterprises with sales revenue of more than 0.3 billion yuan. Among them, the total output of Zhejiang Longsheng, Runtu shares and Jihua Group, which are among the top three, is close to 50% of the total output of the industry.
Dye supply capacity will be further enhanced
In 2018, China's dye supply capacity will be further improved under the expectation that some large-scale dye technological transformation and expansion projects will be put into production. However, considering that most of the projects with this part are large-scale established domestic production enterprises, as leading dye factories, their impact on the balance of market supply and demand in the long-term strategic planning is more elaborate, established dye production enterprises will not rashly release new production capacity without a significant increase in downstream demand for dyes.
Dye industry supply and demand pattern will remain relatively stable
On the demand side of dyes in 2018, the downstream printing and dyeing industry will still take smooth transition, energy saving and emission reduction and elimination of backward production capacity as the main tasks, and it is more difficult to improve the market capacity. Therefore, overall, the supply and demand pattern of the dye industry will remain relatively stable in 2018, and the release process of new capacity needs to be paid attention.
Dye market prices overall upward space is small
In terms of dye market price in 2018, it is expected that the average price of dye market in 2018 will be slightly higher than that in 2017 under the influence of favorable support and weakening of the supply and demand pattern of dye market and the diversion of discourse power brought about by the structural adjustment of industrial chain, but the overall upward space is relatively small, with an increase estimated at about 5%, and the price fluctuation range within the year is also difficult to increase significantly. Disperse dyes by large factory marketing strategy changes are expected to appear more obvious increase, the increase is estimated at about 20%, and the low-end price upward range or higher than the high-end price upward range.

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