Data Of China Linen Association: A Brief Analysis Of The Economic Operation Of China Linen Textile Industry In The First Quarter Of 2025

In the face of the complex situation of increasing external pressure and remaining internal difficulties, plus the "sequela" (destocking of high priced raw materials) left by the drastic fluctuations in the price of flax raw materials caused by the poor harvest of European flax in 2023 and the bumper harvest in 2024, as well as the impact of the high base in 2024, the economic operation of China's flax textile industry in the first quarter of 2025 was less than expected, and the economic benefits declined significantly. The main economic efficiency indicators and import and export volume have declined to varying degrees, but the capital maintenance and appreciation rate, the "three fees" ratio and the domestic market of industrial enterprises have performed well. The details are as follows:

　　 1、 Main economic operation of hemp textile industry in the first quarter

According to the statistics of the National Bureau of Statistics, at the end of the first quarter of 2025, there will be 307 enterprises above the scale of hemp textile and dyeing and finishing, 12 more than the end of 2024 (hemp fiber and textile processing and spinning enterprises), and the loss area of enterprises will be 38.11%, 18.45 percent more than the end of 2024. Performance of main economic operation indicators: compared with 2024, operating revenue increased slightly by 0.4%, operating cost increased by 8.46%, total profit decreased significantly by 202.51%, and export delivery value increased slightly by 1.66%. Among them, hemp fiber and textile processing and spinning enterprises suffered more losses (see Figure 1). The proportion of "three fees" of industrial enterprises has declined year-on-year with 2024, and is lower than that of the textile industry, indicating that the operation quality and resilience of industrial enterprises remain good.

In addition, according to the data of the National Bureau of Statistics, in the first quarter of 2025, enterprises above the scale of flax textile and dyeing and finishing will produce 60.9 million meters of flax cloth (including flax ≥ 50%), an increase of 1.64% year on year compared with 2024; The production of ramie cloth (including ramie ≥ 50%) is 8.25 million meters, with a year-on-year growth of 3.57% compared with 2024.

　　 2、 Import and export of linen textile industry in the first quarter

　　 exit

According to the statistics of China Customs, the export volume of China's hemp textile products in the first quarter of 2025 was $444 million, a year-on-year decrease of 16.36% compared with 2024. Among them, the export value of linen fiber yarn fabric and linen products accounted for 78.06% and 14.02% respectively. The export value of ramie fiber yarn and fabric accounted for 3.79%, the export value of hemp fiber yarn and fabric accounted for 0.75%, and the export value of jute yarn and fabric accounted for 0.76%. See Figure 3 and Figure 4

See Figure 5 and Figure 6 for China's flax yarn and fabric export in recent years

In the first quarter of 2025, the export amount of hemp, jute, ramie products and ramie products will respectively be 3.33 million US dollars, 3.374 million US dollars, 16.828 million US dollars and 62.16 million US dollars, down 60.26%, 70.77%, 36.98% and 24.15% from the same period in 2024.

In the same period, China exported US $30.0822 million of hemp textile products to the United States, a year-on-year increase of 46.78% over 2024. The main export products are hemp products and linen. The high growth is estimated to be related to the rush to export before the implementation of "equivalent tariffs".

　　 Imported

In the first quarter of 2025, the import volume of China's hemp textile products will be 318 million dollars, a decrease of 14.42% over the same period of 2024. China imported 23681 tons of long fiber flax, an increase of 6.41% over the same period in 2024, and 6091 tons of second coarse flax, a decrease of 56.39% over the same period in 2024.

In the same period, the import volume of jute fiber was 2675 tons, 57.6% less than that in 2024, mainly from Bangladesh; The import of hemp fiber is 708 tons, a year-on-year decrease of 50.8% to 1440 tons compared with 2024. The main import countries are France, Russia, Ukraine, the United States, Canada, Uzbekistan and Lithuania.

　　 3、 Outlook

Since this year, under the continuous disturbance of the "equivalent tariff" in the United States, the foreign trade of the hemp textile industry has been affected, but the internal quality and development toughness of the industry enterprises remain. Faced with the increasing complexity, severity and uncertainty of the current external environment, enterprises should pay close attention to the dynamics of the international market and more flexibly adjust and diversify their layout. At the same time, actively seize the opportunities of domestic demand market, strengthen product innovation and brand cultivation, and comprehensively improve the ability to resist risks and market competitiveness.

(Source: CMA)