Weak Demand In Europe &Nbsp; Clothing Exporters Encounter Volume And Price Down

The news of the biggest snowfall in European countries such as Italy in 30 years has not aroused much in the heart of exporter Yang Ming. What Luo Weiming is more concerned about is the cold weather. European economy When to go out of the trough.

China's first textile network analyst Wang Qian said: "at present, the extreme cold weather in Europe can only be said to be phased. If the duration is not long, Chinese clothing will not have a significant impact on European exports."

The amount of clothing exported by Yang Ming is around 100 million yuan a year, of which clothing exports to European countries account for 70%~80% of the total amount. Yang Ming said that European customers have not received orders to cancel orders due to severe cold. Another large clothing company concerned that the sudden change of weather is a situation often encountered by garment enterprises. It will not produce large quantities of clothing that can keep out the cold because of the sudden cold weather. This may lead to inventory problems, unless the new orders are added, enterprises will not adjust the production plan.

As a result of staff strikes, since February 6th, 80% of medium and short haul flights and more than 85% long haul flights of Air France will be grounded. This news has attracted the attention of Yang Ming. He believes that the suspension of airlines will cause many economic and trade activities to be blocked, and the popularity of European market will be further weakened.

Yang Ming said that in the past years, there should be about $8 million in funds in the hands of the company, but now only 4 million dollars, mainly because the order is not satisfactory. The average price of the latest orders is down by 5%~8% compared with the same period last year. The number of orders is 30% less than that of last year. The company's goal this year is to get income equal to 2011. This is the best result.

　　 Youngor Chairman Li Rucheng said earlier that from the fourth quarter of 2011, orders for domestic clothing exports were significantly reduced, which would affect the export of clothing in the first quarter of 2012, and the low level of clothing exports will appear in the first and second quarters of 2012, and may pick up slightly in the second half of the year. Yang Ming said that after the Spring Festival to the beginning of the eighth lunar new year, most garment processing plants began to start, but many garment factories in the Yangtze River Delta have not yet opened this year, some of which may have been closed down.

Wang Qianjin believes that relatively speaking, the U.S. economy has bottomed out, the recovery is better, and Europe has yet to see signs of the end of the crisis. China's low export of clothing to Europe may appear in the first quarter of this year. The export volume of clothing is expected to decrease by 10%~20% over the same period in a certain period of time.

The head of a textile enterprise said that in 2010~2011, China's cotton prices rose and the labor costs increased year by year and the appreciation of the renminbi led to a large number of orders for textile materials, such as cotton yarn, which flowed to Southeast Asia where the cost was lower. The outflow was particularly evident in the general cotton yarn products with low technical content. The outflow of these orders was irreversible. Once transferred overseas, it would not be possible to return to the Chinese market. Although some cotton yarn products with high technological content were returned to China due to the limited level of Southeast Asian countries or inadequate matching, the weight was not large.

Yang Ming said that as a response, his company is considering increasing the number of partners. American market From the original OEM form to hiring American people to set up sales outlets in the American local market and sell their clothing directly, he said: "the gross profit margin of clothing OEM exports is only 5%~10%, and the sales point is set up to remove labor and rentals, gross margins can reach 30% ~40%, and the outlook is more optimistic."