2019 Textile Market Downturn, A Textile Factory Spring Festival Holiday As Long As 3 Months!

The textile market in 2019 has become more and more obvious in the two stage of differentiation. Well done enterprises have made a lot of money, but there are few such enterprises. Most enterprises have encountered orders reduction and profit decline this year. Many people want to cool down. The cold proof fabric can move. Now the temperature has dropped, but the fabric of cold proof clothing is still not improving.

Even some enterprises are unable to maintain the normal production of the factory because of the sharp reduction in orders. They have already had their holidays ahead of schedule. The vacation time is 3 months from December 1, 2019 to March 1, 2020. It can be said that the longest vacation!

Since the beginning of this year, the number of enterprises that have been cut off due to the sharp reduction of orders and the number of enterprises that have been shut down are few. What causes the situation?

Excess capacity, nowhere to put grey cloth!

The rapid growth of loom productivity in the outlying areas is a commonplace topic. In addition to the increasing capacity in the outlying areas, there are many weaving factories in Jiangsu and Zhejiang provinces: "burst the warehouse! There's nowhere to store nearly a million meters of storage."

The textile enterprise said: "our factory has 60 looms, generally speaking, sales are around 2 million, and this year there are only about 1000000. At present, the inventory has reached more than 130 million meters! Usually do not dare to arbitrarily drop started, once the work is down, the trouble is big, now just take advantage of the Spring Festival, early holiday, ease inventory. "

This year, the market's regular products are everywhere. There is only one cake.

Terminal clothing market demand is weak: people do not like to buy clothes!

The demand of garment market affects the textile market. This year, some enterprises have reflected: "our down house (clothing factory) has not sold any down garments and cotton clothes that have been hoarding several warehouses, so how can we come to our order?

The demand for terminal clothing market is weak this year, and some international fast fashion frequently encounter "Waterloo" in the Chinese market. The old American brand Forever 21 withdrew from the Chinese market and then declared bankruptcy. The famous British brands New Look, Topshop and so on have been withdrawing from the Greater China region. La Natsu Bell is seeking to protect herself on a large scale. This series of clothing enterprises' closing down and closing down phenomenon really sobs up: "do people not like to buy clothes?" but the answer is indeed so!

In recent years, people's interest in clothing has not been as strong as it was a few years ago. Judging from the proportion of transaction volume in major industries, the proportion of clothing and shoes and accessories in the past five years of Tmall double 11 has been rising and falling.

From the National Bureau of statistics data, clothing sales in 2018 are Five hundred and forty point six Billion, compared to 2017. Seven hundred and nineteen point one Million pieces fell. 24.8% 。 This figure means that in 2018, the average person in China bought 12 clothes on average.

Coupled with the high market boom in the previous two years, clothing companies have hoarding a lot of stocks. However, since the second half of last year, the textile and garment industry has started to go downhill, resulting in backlog of inventory, goods can not be sold out, and there is no surplus capital to buy new orders. This is also the reason why many traders have received orders this year.

Sino US trade is divided and combined, and the uncertainty is too strong.

In the process of visiting the market, many people said that the biggest reduction in orders this year is due to the Sino US trade war.

A business in Oxford, Shengze, said: "in the 3 and April of this year, our customers gave us a big 150 thousand meter list, but in May this year it was cancelled because of tariff reasons." and a number of enterprises said that although they did not export to the United States, the terminal customers were American. First, we sell fabrics to clothing factories in Southeast Asia, then make them into garments and then export them to the United States. Therefore, Sino US trade has also indirectly affected us. "

It is said that the Sino US trade war is the biggest negative interest this year, and it is uncertain and long-term. Now, any news of Sino US trade is also very dull. It may be that the wind and waves have been seen. Then we can see the strange thing. "What we can do now is to develop new products and new customers, and try to weaken the influence of Sino US trade." A trader in Wujiang said.

afterword

The time has come to the beginning of the December, and the textile market is still full of low price dumping. The reason is nothing more than a wave of inventory and withdrawal of funds. But to a deeper level, it is not optimistic about the market of next year. Overcapacity, Sino US trade relations and insufficient demand are difficult to reverse, and the market atmosphere is not high. Next year, how will the textile market go? Maybe the market test will be more intense. Are you ready for spinning?