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Textile Foreign Trade Orders Cancelled And Transferred To Domestic Market? The Market Is Also Not Optimistic.

2020/3/25 13:14:00 0

Textile Foreign Trade OrderTextile Domestic Market Quotation

"2 large orders from Europe and the United States have been cancelled", "4500 tons of knitted fabric orders have been cancelled", "a dyeing factory's 900 million meters order has been cancelled"... "Order cancellation" has become the key word in the textile market today, especially for all kinds of foreign trade orders.

Although the new crown pneumonia has been basically under control, the situation abroad is clearly out of control. In Europe and America, the cities, roads and travel bans, which were originally ignored by others, were quietly picked up. They began to be implemented step by step.

The inconvenience of office logistics, the unclear trend of fashion, and the lack of confidence in the future clothing sales are playing an important role in our textile foreign trade orders. The whole foreign trade orders in spring and summer will be affected by this. It is not difficult to understand that a lot of reduction and cancellation will be made.

Foreign trade market prospect is so unknown, can we return to our familiar with the domestic market?

The domestic market was once abandoned by some textile people.

As an important part of the textile market, domestic trade has always been the beginning of the growth of the vast majority of textile people. But not every textile person will stick to this market. Once the time is ripe, the battle for foreign trade seems to be the path for many textile workers.

01
Orders reduced:

The threshold of textile trade is not high, especially in the domestic market. At the beginning stage, one or two people can take orders. Because of the low threshold, the number of people entering the bank is increasing year by year, but the number of orders is limited. Many new and old enterprises seize the fixed market, and the number of orders to individual enterprises is limited, and it is difficult to avoid the trap of "low price competition".

02
Payment is difficult.

Business can not keep away from asking for money, especially in textile domestic market. "Credit sale" prevails, and there is a lack of contract situation to determine the time of repayment. Even if there is, it is difficult to put it into practice. Most of them are also oral communication conventions. Orders monthly, March, half a year, or even years are common. Of course, if it is only time to extend the money back, it will always be a lot of "old Lai" enterprises in the market.

In order to avoid low price competition after the reduction of orders, as well as the problem of payment, many textile people have the idea of transferring to foreign trade when conditions are ripe. After all, the overseas textile market is more extensive, and there will be strict contractual constraints on the payment of delivery. But now that the overseas market is already on the verge of stagnation, is the domestic market able to digest the capacity of textile production?

Current domestic market orders are not optimistic.

Although our current domestic pneumonia has been basically controlled, the impact of the epidemic has not ended immediately. Our spring and summer clothing sales market has been deeply affected, upstream fabric end is also difficult to escape.

"We are still proofing, and we haven't received a decent order." "In the past year, we shipped at least three or four trucks to the garment factory. This year only a fabric of a car has been issued." the order of about one million meters of nylon spinning has been reduced to tens of thousands of meters by the customer. Several traders who only made the domestic market have encountered the same situation, and the orders have been greatly reduced compared with previous years.
Not only are these "order" fabrics traders feeling that orders are shrinking, but some of the large spot market customers in China are also lack of confidence in the market because of their lack of confidence in the market. The whole domestic market has been in a state of "market order".

Nowadays, the textile domestic market is not much more advantageous than the foreign trade market. The situation of order reduction and profit margins is still in existence. Because some traders are planning to fight domestic trade from the foreign trade market, which will exacerbate the competition in this market. The buyer market of "supply exceeding demand" is about to take shape. All textile enterprises may be faced with a situation that orders are "not enough to eat", and all kinds of prices and prices are difficult to meet.
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