China: Cotton and Products Update

Marketing year (MY) 23/24 cotton production is lowered to 5.9 million metric tons (MMT) on reduced planted area and raised for MY 22/23 to 6.68 MMT on higher planted area and reported volumes of classified Xinjiang cotton. Imports for MY 23/24 are raised slightly to 1.9 MMT on lower yarn imports and People’s Republic of China (PRC) issuance of 750,000 metric tons (MT) of additional sliding-scale import quota. China’s textile and apparel industry continues to face significant headwinds in the form of competition from South and Southeast Asia, lackluster overseas demand, and a weakening domestic economy.