According to feedback from several cotton trading enterprises in Jiangsu, Zhejiang, Shandong and other places, due to the continuous fluctuation of ICE cotton "three consecutive yin" and Zheng cotton CF2405 contracts at the 16000 mark, the upside-down of internal and external cotton prices under 1% tariff continues to narrow, and the competitiveness of bonded, spot, long-term shipments of US cotton, Brazilian cotton and Australian cotton gradually recovers.

Considering that the price difference between domestic and foreign cotton is relatively large from late February to mid-March, no matter cotton textile mills or cotton traders have low enthusiasm for voluntary customs clearance of bonded cotton, the quotation of RMB cotton resources in ports has a strong advantage over the cost after customs clearance of bonded cotton, and some cotton textile mills just need imported cotton after the festival (mainly traceable orders), so the inventory growth of non-bonded cotton is obviously lower than that of bonded cotton, and some traders raise the basis of RMB resources, medium and high grade, quality U.S. cotton rose slightly larger than other origin cotton. On the one hand, the signing progress of U.S. cotton in 2023/24 is relatively fast, leading the first 2 years.

It is worth paying attention to that the pressure on the storage capacity of bonded warehouses in Qingdao, Zhangjiagang and other places is becoming more and more prominent, especially since the first half of March, bonded cotton has grown rapidly, with US cotton, Brazilian cotton, Indian cotton, African cotton and Argentine cotton arriving in Hong Kong and entering the warehouse. However, due to the 1% tariff, the enthusiasm of textile enterprises and importers holding quotas to purchase and clear customs is low, therefore, although the stocks of bonded cotton and non-bonded cotton have recently shown a double increase pattern, it is obvious that the growth rate of bonded cotton is even greater and more prominent. A large part of bonded warehouses in Qingdao are now "hard to find in one cabin".

According to the survey, since late February, cotton enterprises and middlemen have insufficient supplementary power, and weak inquiry and shipment are the key to the repeated increase in the capacity of cotton depots in ports.