China’s chemical fiber industry has entered an “cyclical trough”

By the global financial crisis, since the second half of last year, one after another over large-scale textile fiber production or closure of enterprises, such as Zhejiang jianglong Holdings, Zhejiang Hualian Sanxin, Shaoxing Wuhuan spandex, Zhejiang Fengming synthetic fiber, Zhejiang China Group, etc., it is clear that China’s chemical fiber industry has entered “a cyclical low,” businesses are experiencing tough “bitterness.”

But this is not all bad news, chemical fiber industry economic downturn to some extent can effectively curb blind expansion, to adjust and optimize industrial structure, and the upgrade process must be built on the brutal reshuffle on, “Only the closure of enterprises, The industry did not collapse “, the current chemical fiber industry development strategy has been ushered in a period of adjustment, only after repeated pains to find more appropriate development.

Since the reform and opening up, China’s chemical fiber industry through the success of 30 years, total production capacity in 2007 reached 25.72 million tons, production of 23.9 million tons, more than the world total production capacity and half of the world’s largest chemical fiber production status to further consolidate, but still irrational industrial structure, conventional varieties of overproduction, product differentiation, functionality and low level of potential problems.

According to the China Chemical Fiber Industry Association, introduced in recent years, China’s chemical fiber industry structural adjustment achieved significant results, capacity to focus on large enterprises, capacity to the market concentration, the output of private enterprises to focus on the “three focus” effect is increasingly clear; product differentiation rate increased in 2007 industry-wide differentiation rate has reached 38 percent, but still much lower than developed countries, more than 50% level.

Fiber from the international market development trend, in recent years, the United States, Western Europe and Japan have shown a downward trend output, the most important because they give up a high yield, low value-added production processes in serious environmental pollutionproducts, then turn to high-level, high-tech and high value-added product development and production, while low-technology production techniquespass the Chinese mainland, China Taiwan region, Korea and Southeast Asian countries. American and European textile industry adjustment is through restructuring, mergers —- acquired, reducing investment in inventory and selling out to foreign investment realized; Japan to reduce the country’s manufacturers, while in mainland China and other countries in the establishment of the factory; China Taiwan area a new bill to encourage companies to carry out mergers and acquisitions and restructuring, and mainland China is also seeking co-operation. Now we take a look at the specific practices of these countries:

Japan

Japan’s chemical fiber industry has a long history of development, long-term investment in science and technology has accumulated a solid basis for product development. In recent years, with China, India and other countries to improve the quality of chemical fiber products, in the face of new competition, the Japanese fiber enterprises of “selection and concentration” of the development strategy. The so-called “choice” is devoted to the selection of Chinese textile enterprises not to produce, production of small or can not produce varieties as the focus of R & D and production, development and production departments in the fiber with Chinese enterprises to start, “misplaced” competition.

For instance, Japan’s leading textile companies Kuradei, Deigin chemical companies, such as the following slogan: “all produced in China, we do not produce” and “China does not produce, we have to carry out development and production.” As such the establishment of a competitive strategy, so that Japan’s domestic production of Chinese enterprises with the same fiber products companies have very few.

Therefore, Japan’s chemical fiber industry in recent years, structural adjustment has been made practical results. At present, Japan has very few species of chemical fiber production of ordinary products, they are in China and Indonesia, Thailand and other developing countries to establish wholly-owned or joint venture productionproducts, and in local development and production of high-tech, high value-added differentiation, Functional fiber products. High-quality, high-value products, research and development for the Japanese chemical fiber industry has injected vigor and has become South Korea and China Taiwan region follow the example of chemical fiber industry competing model, which closely to catch up.

South Korea

In the past ten years, the South Korean chemical fiber industry is developing rapidly, but it is also faced with the current global overproduction, the new technology development is much too slow and so on.

However, in order to remain competitive, South Korea-governmental organizations, academia and industry to develop a plan to improve the chemical structure, according to this plan, advanced production facilities of automation and labor-saving, an increase of investment in technology development, the pursuit of high grade products and diverse of. In recent years South Korean chemical fiber enterprises in their efforts to develop new products, new technologies, at the same time to carry out a thorough restructuring, weeding out the old equipment and loss-making enterprises, and increase R & D investment. To encourage technological development in the Government’s policy support, the Korean chemical fiber industry will be dedicated to high-performance fibers, intelligent fiber, multi-functional clothing materials and a new generation of fiber development.

Vigorously develop industries through the use of fiber, the development of new multi-functional fashion, application integration technology development 6T fiber, intelligent fiber to ensure high value-added products and core technologies such as the determination of development, in 2015 to become the world’s major fiber textile supply base in South Korea industry’s future development vision. 2015 is expected to clothing, textile industries and products in 2007 increased from 60 ︰ 25 ︰ 15 changed to 40 ︰ 25 ︰ 35 goals.

At the same time, the Korean textile industry will be committed to ensuring that more than 90% of the fiber technology to achieve the level of developed countries; non-apparel textile fiber production will increase to 60% of the total; developed more than 50 world-class products to achieve specific objectives .

China Taiwan region

Taiwan to raise the competitiveness of chemical fibers have been from the past to win volume and low-cost strategy for the development of new fibers and a small amount of a variety of textile-based rapid-response, and the quality and not quantity for the production strategy, and gradually-oriented non – textile production fields. All chemical companies are using high-tech means to develop new chemical fiber, and their policy is “new materials, new yarns, new fabrics.” Displayed a series of new production of a new type of chemical fiber yarn and fabric.

Stones from other hills, we can learn. For China’s chemical fiber industry, product structure adjustment in the industry decline in the economy seems more important to expedite the growth pattern from quantity-oriented to quality and efficiency of the development of the development of fundamental changes and improve the fiber differentiation rate of chemical fiber products to enhance the additional value, is to improve industry profitability and competitiveness of an important means, but also the future of the main directions of development of the industry. Aramid 1313, as at present, carbon fiber, UHMWPE fiber and other specialty fibers in industrial production, as well as the industrial development of industrial yarn has emerged a good momentum of development. And 21 international chemical fiber industry is moving in two directions toward the development of, first, conventional chemical fiber to the large, high-speed, automated, high-quality, multi-species development; second is functional, high-tech upgrade to higher value-added products profits to meet, including national defense industry, aerospace, aviation and other high-tech areas of development needs. As a chemical fiber production and export of large countries, China’s chemical fiber industry should clearly understand that the current domestic chemical fiber industry problems, and actively adjust the industrial structure, research and development needs in line with the international chemical fiber products, Only by this way can the global financial crisis in the context of tight encirclement, Fromand usher in a brighter tomorrow.