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    European Debt Crisis Affects Small And Medium Sized Textile And Garment Enterprises

    2011/12/12 13:18:00 17

    European Debt Crisis Textile And Garment Enterprises

    Europe is an important export destination for China's foreign trade enterprises.

    As one of the important export industries, the export growth rate of textile and clothing products in Europe decreased significantly in 2011 1~9 months.

    middle-sized and small

    Spin

    Clothing companies have already felt the impact of the European debt crisis.


    The data show that the export growth of China's textile and garment products in 2010 was 28.95% in China and 5.38% in 2011 in 1~9 months.

    In this regard, Zhu Qinghua, a light industry researcher at CIC, said that this shows that some of our textile enterprises have contracted orders, and the capital chain will be in trouble.


    In the shadow of the European debt crisis, the official statistics of the Canton Fair, which ended in November 4th, showed that the turnover in the two quarter of spring and autumn was 74 billion 760 million US dollars, and the export volume of textile and clothing reached 3 billion 420 million US dollars, basically returning to 2007 level. The difference was that short-term orders accounted for 88%, showing a trend of rising.


    On the one hand, because of the poor international economic environment, it has slowed down.

    international

    The pace of economic development, the lack of stimulating demand for foreign trade in clothing, has a direct impact on China's foreign trade sales volume. At the same time, the appreciation of the RMB exchange rate is strong, and the major garment enterprises are afraid to make a long list to avoid losses caused by exchange rate fluctuations.


    Many small garment enterprises make foreign trade orders just to maintain the operation of factories, "do not seek money", but the current market situation makes these foreign trade enterprises at a loss.

    However, the beginning of the pformation of domestic sales of foreign trade enterprises is extremely difficult for small and medium-sized enterprises.


    As domestic sales need to be distributed to distributors, dealers will be dragging money in various ways in the face of bad sales.

    Therefore, capital chain tension has become the biggest predicament of small and medium-sized textile and garment enterprises in the pformation of foreign trade.

    And clothing enterprises require higher capital turnover rate. Shortening the recovery cycle as much as possible will revitalize the operation speed of enterprises and raise the level of enterprise revenue so as to ensure the good operation of enterprises.


    From a financial perspective, developing new markets requires textiles.

    clothing

    A large number of capital operations are carried out by enterprises.

    From the enterprise level, due to the credit crunch, the credit support of light industry continues to decline, resulting in some enterprises' capital chain more intense.

    From all levels of analysis, small and medium-sized foreign trade garment enterprises will face challenges.

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    China'S Textile And Garment Industry Is The Most Competitive &Nbsp, Producing 14 Times The US Power.

    December 12, the Chinese Academy of Social Sciences officially released the report on China's industrial competitiveness (2012) NO.2 today. Guo Zhaoxian, deputy director of the industrial organization Institute of the Institute of industrial economics of the Chinese Academy of Social Sciences, said that the textile and garment industry is the most competitive industry in China. The market share of the product is second, and the productivity is 14 times that of the United States.

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