"A year ago, a good single 1 million 200 thousand minis spinning began in February, but now we know that the order is even less than 100 thousand meters." A trader said with regret and disappointment.
To say that the impact of pneumonia on the textile market is most directly related to the delayed construction and resumption of the market in the past few days, but this effect is short and visible. Eventually, textile enterprises in all areas will usher in a resumption of production, but the impact on textile orders is starting to be weak.
At the beginning of the resumption of work, the entire textile market showed a gratifying peak season because of the backlog of orders released before the year. But with the follow up orders obviously follow up efforts, as well as the continuous reduction and cancellation of orders, this wave of market persistence began to be greatly reduced. Now the market is already a pessimistic and conservative voice.
Orders are reduced or cancelled, and the market is worrying.
Orders from million to less than one hundred thousand, this is not simply a discount, but basically equivalent to the cancellation of orders. In fact, this kind of situation is common in the current textile market, and even more and more intense. In particular, the global crude oil market has fluctuated sharply in recent years, and the global economic situation is not optimistic. The demand for textile fabrics is limited, and the entire textile and garment market generally lacks confidence in the latter market.
According to a garment foreign trade enterprise salesperson, they buy Fabrics from home and export them to Vietnam's garment processing factories, and finally export their garments to the European market. That is to say, their terminal customers are actually garment enterprises from Europe and the United States, and many of their major customers are Italy's clothing brands. But with the European epidemic continuing to ferment, many of their orders have been canceled, especially in the Italy area, which has been locked in a locked state.
And some fashion shows and fashion shows have to be postponed, and clothing brands that are guided by fashion trends will slow down or reduce orders.
Conventional varieties reduce orders or exacerbate overcapacity.
"Our factory is making varieties such as satin, polyester taffeta and spring Asian spinning. The current situation is not as good as last year. The orders on hand are better than those of old customers. The number is tens of thousands of meters, with a maximum of more than ten thousand meters per month. You know, last year they were two times the volume, and the market is really not right now, "said a head of a weaving company.
Conventional varieties have always been the easiest products to go in the market, but now they are the biggest ones. Sales volume has gone down, but the weaving factory that has already resumed production capacity is very difficult to reduce production and stop production at will.
But the growing inventory has encountered a sharp decline in raw material prices, and those high inventories are depreciating with the price of raw materials. And soon after that, the market will be flooded with grey cloth mixed with high price raw materials and low cost raw materials. Whether they are priced at cost or according to market orders may be plagued by many enterprises, especially those who have only a few cents in profits.
At present, the textile market is in a low season, which is the consensus of the overwhelming majority of people. Of course, this situation is inseparable from the impact of the epidemic of pneumonia and the weakening of the global economic situation. Although there is no clear answer to how long this effect can last, we do not need to be overly pessimistic. Now the market is light and not busy. We can take the opportunity to develop cloth samples and visit customers.
In fact, many enterprises in the market have acted. They carefully studied the needs of customers, paired them accurately, sent the samples of appropriate customers, or took seriously the customers who had not yet ordered the orders. Although there were several or dozens of cloth samples to offer samples and quotations each time, they were still positive in dealing with them. When the epidemic is over, customers will eventually give more or less orders.