China’s Cotton Textile Prosperity Index Above Critical Point

China’s Cotton Textile Prosperity Index has rebounded to above the critical point of 50 in March from that recorded in February 2024.

China’s cotton textile prosperity index in March was 52.9%, higher than the critical point and up 6.5 percentage points from February.

Cotton textile factories have successfully resumed work and production after the spring holidays and business operations have returned to normal, due to which prosperity of cotton textile industry has improved.

Among the seven sub-indexes that make up the China Cotton Textile Prosperity Index, the raw material procurement index, production index, product sales index, and operating index are higher than the critical point.

While the raw material inventory index, product inventory index, and corporate confidence index are below the critical point. However, all seven sub-indexes increased compared with February.

When the index is higher than 50, it means that the cotton textile industry prosperity is good and if it is below 50, it means that the current month’s prosperity is not good.