Weak demand remains the main concern since September 2022, though its importance has decreased in the last six months. Other concerns include high raw material prices, geopolitics, high energy prices, and a lack of workers and talents. Globally, 58% of respondents did not experience any order cancellations in May 2024, slightly down from 59% in March. Africa and Europe had relatively low order cancellations, while the Americas experienced more, with spinners and finishers/dyers/printers reporting the highest levels.
In May 2024, 59% of companies reported average inventory levels. North America registered the highest levels among regions, and spinners among segments. Inventories at brands and retailers remain high but are slowly decreasing. The prolonged negative business cycle often forces companies to produce at a loss or lower capacity utilization, with no significant change expected in 2024.
In May 2024, 59% of companies reported average inventory levels. North America registered the highest levels among regions, and spinners among segments. Inventories at brands and retailers remain high but are slowly decreasing. The prolonged negative business cycle often forces companies to produce at a loss or lower capacity utilization, with no significant change expected in 2024.
