Seasonal downstream demand improves slightly in recent period. The operating rate of fabric mills and printing and dyeing plants slightly ascends. Orders for autumn and winter products grow. Some dyeing plants also reflect slightly busier business. Price of grey fabrics is largely stable and that of tight varieties rises slightly. Stocks of grey fabrics are unlikely to accumulate in short run, and some plants may even see falling inventory.

Low profit is the biggest pain spot on downstream market and some plants even suffer losses. Orders are good in Haining but most plants are near the break-even line. Even when orders are growing, price and processing spread of grey fabrics are hard to increase as fabric mills worry the orders will run away. The price and profit on downstream market have been squeezed to be very low.