Estimates for yarn and fabric production in the 3rd quarter of 2011 in most countries is either negative or unchanged. In the 4th quarter the outlook for yarn and fabric production improves with most countries seeing higher or unchanged output levels.

In comparison with the previous quarter, world yarn production increased in the 2nd quarter of 2011 by +12.1%. While Asia recorded an increase of +13.9%, all other regions recorded decreases (South America -7.3%, Europe -6.5% and North America -3.1%). Year-on-year global yarn production rose slightly by+1.0% due to higher output in Asia and North America by +1.8% and +0.4%, respectively, and despite lower levels in Europe (-8.3%) and in South America (-16.3%).

Compared with the previous quarter global fabric production increased in the 2nd quarter of 2011 by +4.4%. Fabric production rose by +5.1% in Asia and by +3.6% in South America, but fell in Europe and North America (-1.3% and -0.4%, respectively). In comparison to last year’s 2nd quarter global fabric production was down by -6.0%. Looking at the various regions only South America recorded an increase (+7.7%), while North America, Asia and Europe fabric production was reduced by -8.8%, -7.3% and -3.4%, respectively.

Yarn inventories soared worldwide by +16.4% in the 2nd quarter of 2011 compared to the previous one. In South America and Asia they jumped by +39.9% and +21.8%, but remained almost unchanged in Europe and North America. On an annual basis global yarn stocks were up by +21.2%. Especially in South America and Asia yarn inventories soared by +82.8% and +26.1%, respectively, while in Europe and North America they were unchanged.

Global fabric inventories rose in the 2nd quarter of 2011 by +8.1% as compared to the previous one. In South America and North America they jumped by +56.8% and +9.2%, respectively, but fell in Asia (-3.5%) and Europe (-0.6%). In comparison to last year’s 2nd quarter global fabric inventories increased by +8.1%. In South America they were up by +44.6% and in North America by +12.9%, whereas they fell in Asia by -1.6% and in Europe by
-0.4%.

Yarn and fabric orders in Europe were slightly down by -0.4% and -1.2%, respectively in the 2nd quarter of 2011 compared to the previous one; in Brazil they plummeted by -30.4% and -10.5%, respectively. On an annual basis yarn and fabric orders were unchanged in Europe but dropped in Brazil by -40.0% and -18.7%, respectively.