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[Is the textile market restarting after plummeting sales? Spring and summer orders to millions, raw material production and sales back to 200%+!]
Release date:[2020/11/16] Read a total of [272] time

Last year, many textile workers realized that the textile market was weakening gradually, and predicted that the market in 2020 would be worse than that in 2019. However, the outbreak of the epidemic that started raging around the world at the beginning of this year pushed the whole textile market directly to the bottom, and all textile workers really felt the off-season market this year.


Now approaching the end of the year, the "answer papers" of various textile enterprises have been able to present the overall situation of this year. According to the survey, the vast majority of textile enterprises overall operating state is far less than in previous years. ‍


Textile enterprise 1: sales can not be compared with previous years, has not calculated the proportion of decline, profit reduced by about 20%.


Textile enterprises 2: this year's sales are down a lot, the foreign trade sector has not yet moved, are supported by domestic trade orders. Profits are also poor.


Textile business 3: Orders are down almost 50% this year. Profits have shrunk even more, and now they can only earn a few cents per square metre, or even lose money before they can sell.


Textile enterprises four: sales have decreased 30%-40%, basically no profit.


Textile enterprise 5: The order volume has decreased by 30%, so has the profit.


... ‍


Sales are down more than 30%, and profits are hovering near the break-even line, which is basically the production state of most textile enterprises this year. And a characteristic that market turns bad apparently is lack of busy season. Due to different types of production fabrics, various textile enterprises in the past peak season distribution in the first half of the year in March and April, the second half of the year in July, August, September, October. However, these months of this year have passed, but many textile enterprises have not felt a significant increase in orders, factory opening probability is still not as good as in previous years, grey fabric inventory overstock.


Recently, there have been many macro events, such as the US election, the second outbreak of the epidemic in Europe, and significant progress in vaccines. All of these events have more or less affected the textile market. In a variety of positive negative news, the textile market is quietly improving.


Spring and summer fabrics into production season

Each FangQi ‍ more orders started


November and December are always the preparation season for the production of spring and summer fabrics for the coming year, and this year is the same. Recently, all kinds of spring and summer fabric orders began to appear in the textile market.


According to a person in charge of textile enterprise introduction, they have a printing of 70 thousand meters to turn over sheet to be doing now, follow-up still can send down, it is continuable, the chiffon of recent routine this kind of imitate real silk product does more. Another textile enterprise also has the same situation. At present, there are about 1 million meters of four-side shells being made, which may be used for spring and summer clothing and autumn and winter clothing.


Spring and summer fabric orders began to increase is not only reasonable, but also unexpected. Although now is the spring and summer fabric season, but the foreign trade market because of the epidemic has not fully recovered. However, with the experience of overseas countries in combating the epidemic and various vaccines being put into use in the future, the market has become much less fearful of the epidemic than before.


Especially after March next year, when the vaccine will be in use and the global economy is bound to recover fully, the sales outlook for spring/summer clothing will be far better than the various clothing sales seasons this year, so it makes sense to start stocking spring/summer fabrics before the New Year.


Crude oil and raw material prices rose

‍ started to stock market phenomenon


It has long been a common practice for the market to stock up on textile materials as the price of crude oil rises, but this year it has been rare. The main reason is that the crude oil market has repeatedly risen and fallen, and the raw material price is like a roller coaster, constantly renewing the historical low value. The textile workers who have been stocking up have to face the constantly depreciating stock of raw materials and grey cloth. Therefore, it has become the operating principle of most weaving enterprises to stop stocking goods and use them as needed. But recently this phenomenon has been gradually broken, the purchase of raw materials began to yearn for the annual close.


The production and sales of polyester raw materials in recent days can also be seen, especially on October 10, the day of the mainstream large factory production and sales in 200%-300%, and even some factories reached a staggering 600%. Some other interviewed enterprises also have the idea of stocking up, but limited by the working capital can only a small amount of stocking up, but generally speaking, the price of raw materials has risen this time, weaving market no longer wait and start buying raw materials decisively. This change, of course, is partly due to the weaving companies' habit of stocking raw materials before the New Year, but more importantly, the weaving companies' confidence in the future is gradually recovering.


In the near future, some samples, development samples, quotations and so on began to increase in the market, although it is difficult to see a significant change in the short term, but the spring and summer after the market, especially after the outbreak into use is bound to recover to a large extent.


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