Rotten Cloth Market Downturn, Spring Asian Textile Prices Fell Nearly 1 Yuan / M Over Last Year.

Last year's textile market, I think the hottest topic should be: the spring of "rotten cloth" has arrived. The conventional products such as polyester taffeta and spring Asian spinning are hard to get, and money can't be bought. If, at that time, polyester taffy and Chun Ya spinning have friends circle, I think it should be like this:

From these examples, we can feel the popularity of polyester and taffeta last year.

However, the so-called "thirty years Hedong, thirty years Hexi", for the fabric market, the product replacement speed is faster.

Now it's June. How did the sales champion last year, taffy and Chun Ya spinning?

Today is different from yesterday.

Fewer orders, lower prices, we lose money!

In summer, the traditional off-season is approaching, and the weaving Market is showing different coolness with the weather. Recently, the Chinese silk collection and editing center team visited the market. The most heard was the boss's complaint: no bill, the price fell.

Huang, who is the head of the industry and trade integrated enterprise of polyester Taft and Chun Ya spinning in Shengze, said: "the factory orders are no longer available recently. There are not many orders on the trade side. Probably at the end of this month, the price of our main product 190T polyester taff is 1 yuan / m, and the profit is very low, which is at least 0.20 yuan / meter higher in the same period last year."

Similarly, the yuan manager of Yanfeng Textile Co., Ltd., Wujiang, is not optimistic about the future of tettaff. "We are weaving factories and have 88 looms. Now the orders of polyester taffeta are generally low. For example, 210T polyester taffeta, the price is now 1.4 yuan / meter, basically only can be guaranteed. The price for the same year is 1.8-1.9 yuan / m, and the peak price is 2.0-2.1 yuan / meter."

As a coexistence and co prosperity of the spring and Asia spinning, the situation is not optimistic. A textile enterprise in Wujiang said that the price of 300T spring Asia spinning last year was 2.9 yuan / m, and the supply was in short supply. Now it is 1.95 yuan / m, and the price of spring Asian textile has dropped by nearly 1 yuan per meter.

Judging from the survey, compared with the same period last year, this year's "rotten cloth" polyester taffy and spring Asian spinning is really not good enough. But I also want to remind you that polyester taffy and Chun Ya spinning appeared last year's "hard to get cloth" situation, which is due to the elimination of water jet looms and the reduction of production capacity. That's not the norm. Back to three or four years ago, polyester taffeta and spring Asian spinning were mainly based on small profits but quick turnover. The situation is no better than now. Maybe at present, polyester taffy and Chun Ya spinning are only slowly returning to the "rotten cloth" road.

There is a low price dumping phenomenon in the market.

The stock is too high!

Recently, many cloth owners said that the most important thing at present is to go to stock and inventory is really too high.

According to the monitoring data of China silk net, the weaving inventory in Shengze is about 42 days, which is 19 days higher than that in the same period last year.

A weaving factory in Wujiang said: "our current inventory is in a month or so, which is affected by inventory pressure. Maybe some parts of the machine will be stopped in the future. There are many phenomena of low price dumping on the market now."

Mr. Huang of Yiming Textile Co., Ltd. in Jiashan also encountered a similar situation. "Our inventory pressure is relatively large. Recently, in order to reduce inventory, low price goods were sold, and the price of cash was low."

So what caused the once hot "net red" fabric to walk down the altar? The author tried to do the following analysis.

1, the impact of foreign production capacity, fierce competition at low prices

It is understood that in North Jiangsu, Jiangxi, Anhui and Hubei, the loom production capacity has increased by about 200 thousand units, and the elimination index in the whole Wujiang area is only about 100 thousand units.

The looms in the past have grown hundreds of times. Most of these looms are made of medium and low-end grey fabrics, including polyester taffeta and spring Asian spun yarn.

The current production capacity is oversupply, coupled with the surge in capacity pfer, which is not enough for the competition. Competition can be imagined more intense.

The peripheral looms have all been formally put into operation, and low price competition is on the verge of attack. I am afraid that "rotten cloth" can no longer return to the peak time of last year.

2, the end customer is not as good as in previous years, the reduction of orders.

This year, the number of terminal clothing customers is not as good as in previous years. According to the relevant data, in April, the retail sales of clothing and shoes and knitted fabrics increased by -1.1% year-on-year, and the terminal orders deteriorated.

For the present weaving Market, whether the demand of the downstream terminal can digest the new market capacity will undoubtedly become a difficult problem for the second half of the year.

Many cloth owners said they were not optimistic about the market in the second half of the year. "The terminal orders are decreasing, and the market in the second half of this year will not be much changed."

Wujiang City Wangdu Textile Co., Ltd. Ms. Lu said.

3, Sino US trade relations affect the order.

Recently, influenced by the escalation of trade friction between China and the United States, the overall sales volume of the fabric market is not as good as expected, and customers' wait-and-see mood is more serious, especially in Europe and the United States.

A trade boss in Wujiang said: "mainly because of the impact of Sino US trade, many American lists can not be done, and the latter market is hard to see improvement."

The future market is uncertain, but there are still some enterprises that can do well.

When I visited the market, I found that the pessimism in the market was very strong, but what is called "no bad market, only bad companies".

Although this year's overall environment is not good, but there are still more stable operation of enterprises, and profits can grow, this is a good phenomenon. Therefore, everyone cloth boss should not worry too much. Big waves rush to gold to see sand. Only by constantly adapting to market changes and doing well in our own products can we survive. I hope you are one of them.