Textile And Apparel Trade Situation Is Serious And Risk Aversion Is More Important Now.

In the first half of this year, China's foreign trade enterprises encountered many difficulties. In the second half of the year, the situation seemed to remain unclear.

Standard Chartered Bank Chinese economist Shen Lan has said in an interview that the foreign trade situation is not optimistic in the second half of the year, and the European recession will run through the whole year.

Although it is a saying, there are various signs that this is not alarmist.

However, it is gratifying to note that, whether at the national level or at the level of local associations or enterprises themselves, they did not wait, but launched a vigorous rescue general mobilization.

Interest rate cuts policy dividends

In June, the first major event in the national macroeconomic policy was not to "cut interest rates".

"The people's Bank of China has decided to reduce the benchmark interest rate for Renminbi deposits and loans of financial institutions since June 8th.

The one-year deposit benchmark interest rate of the financial institutions is down 0.25 percentage points, the one-year loan benchmark interest rate is down by 0.25 percentage points. The other grades of the benchmark interest rate and the individual housing accumulation fund deposit and loan interest rate are adjusted accordingly, and from the same day, the upper limit of the floating range of the deposit interest rate of financial institutions is adjusted to 1.1 times the benchmark interest rate, and the lower limit of the floating range of the loan interest rate of the financial institutions is adjusted to 0.8 times the benchmark interest rate.

This is the first time in three and a half years of the central bank to reduce interest rates, which is of great significance.

The general view is that the central bank's move will play an important role in preventing the economic downturn.

At the same time, the confidence of the real economy is expected to be boosted, and the future export, fiscal policy and credit trend will be better.

No doubt, this is a great advantage for foreign trade enterprises. The difficulty of financing and the high cost of financing will be alleviated to a certain extent. Finally, they can get a little breathing at the high cost of loans. Some foreign trade enterprises welcome this policy.

Then, in mid June, six ministries and commissions such as the people's Bank of China, the Ministry of Finance and the China Banking Regulatory Commission issued the key regulatory list of RMB settlement for export trade.

The issuance of this list means that all enterprises with import and export business qualification in China can carry out RMB settlement business in export trade according to law, that is to say, enterprises can choose Renminbi for valuation, settlement and payment.

RMB settlement in cross-border trade refers to the settlement of cross border trade on the basis of RMB on a voluntary basis by the state designated and conditional enterprises. Commercial banks can directly provide cross-border trade related RMB settlement services for enterprises within the policy set by the people's Bank of China.

Its business types include import and export letters of credit, collection, remittance and other payment methods.

The full liberalization of RMB settlement in export trade can help enterprises effectively avoid exchange rate risks. Especially in the current European debt crisis continues to deepen, and the exchange rate of US dollar and euro exchange rate fluctuates greatly, the use of RMB settlement can help enterprises effectively lock costs, raise the efficiency of foreign trade enterprises' decision-making and promote the growth of import and export of enterprises and regions.

Moreover, the RMB settlement of export goods trade can effectively reduce financial costs, save hedge fees, improve capital turnover efficiency, and improve the financial level of service to the real economy.

But at the national level, salvation is still "external cause". The area of radiation is limited. It is impossible for every enterprise to take into account, and some policies are not applicable to all enterprises.

If we want to get out of danger, the key is "internal cause", and we must rely on self-help.

Domestic sales are not universal stickers.

When it comes to self-help, one of the most likely words is "turning to domestic sales". It is believed that the pformation of foreign trade enterprises is to pform from export business to domestic market.

But is this the only way out for clothing trade enterprises? Or is it a very effective choice? The answer may be No.

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According to the statistics of the China National Business Information Center, in 2012 January, hundreds of key retail enterprises nationwide.

Retail sales fell 0.18% year-on-year, although the average unit price of clothing products dropped by 6.5% over the fourth quarter of last year, while the total retail sales in 1-2 months increased by 6.1%, a record low.

So

It's not very prosperous either.

Not only that, turning the domestic market to make brand is completely different from the business before the foreign trade enterprise, and it is not difficult to make the domestic market if the brand experience and sales channels are not mentioned.

"Although the orders for garment enterprises that are doing OEM are getting fewer and fewer, they want to upgrade and want to invite designers to make their own brands, but they are worried about the cost too high."

Zhang Donghai, general manager of Ningbo Haitian Garments Co., Ltd., is very worried about the aspirations of foreign trade enterprises.

There is also one point to consider, that is, export tax rebates, while domestic sales face greater tax burden.

Put aside the idea of "turning the domestic market", sticking to the road of foreign trade and finding breakthroughs in products and tourist sources may be the most important issue for foreign trade enterprises.

At the end of the "Canton Fair" in May, Tian Yue three Yue company gained a lot.

At present, the company has launched hundreds of new fashions, such as light, wrinkle, lace and sequins, which have attracted the attention of businessmen from Europe, America and Japan.

This is all because they are targeting the high-end clothing products. They have always been inspecting the clothing market in Europe and the United States, and combined with the needs of high-end clothing in the European and American markets, organized their own R & D centers to start from the latest fabrics, fashion styles and other aspects, greatly reducing the low value-added products, concentrating on the brand, products with high fashion value, environmental protection, high added value and independent intellectual property rights, which are developed and produced by the developed countries independently, greatly improving the brand reputation and the profit margin of the unit products, and striving to gain a firm foothold in the international high-end garment market.

Tian Yu three Yue company has gradually adjusted its customer base, aiming at world-renowned distributors to carry out long-term and close cooperation, and has established trade relations with many famous overseas clothing companies.

Hedging is more important now.

In every aspect, it is safe to find Xu Guang in the uncertain environment and illuminate the future of the enterprise.

Under the current difficult situation of foreign trade, the risk of international trade is also on the rise.

As of March this year, China's textile industry suffered from "two counter two guarantees" and other trade surveys and others.

Increasing.

In fact, the two are interactive, because the foreign trade situation is not good, so the risk increases; because of the increase of risk, foreign trade is even worse.

Evading international trade risk is particularly important at this time.

Recently, special training on "dealing with international trade frictions, using rules and safeguarding rights and interests" jointly sponsored by China Federation of textile industry, China Council for the promotion of international trade and China Eastern Silk Market Management Committee was held in Shengze, Jiangsu, in order to remind foreign trade enterprises to attach importance to coping with international trade frictions.

Relevant experts have analyzed the current foreign trade situation and attention points for more than 150 foreign trade textile enterprises in Shengze and surrounding areas, including enterprises in dealing with trade frictions, timely understanding of effective information, enhancing professional ability, familiarity with various trade regulations, guarding against risks with internal and external forces, and timely adjusting market strategies to enhance market competitiveness so as to effectively avoid trade disputes.

There is another point which is worth highly concerned by foreign trade enterprises.

Because the European debt crisis has not turned better, more and more foreign frauds have emerged, and the fraud and losses encountered by Chinese foreign trade enterprises in international trade are also on the rise.

"The most direct impact of the European debt crisis is the shrinking of foreign consumer markets.

For example, foreigners used to change clothes one day, and now they change clothes for three days, and clothing sales are sharply reduced overseas, so the order volume will drop.

According to a clothing company in Deqing County, Zhejiang, "another reason for the decline in orders is that" Lao Lai "customers are starting to grow.

"For example, our goods have been sent out, even though they have been sailing on the sea, they can also be informed that the goods of the ship will not catch up.

It takes a lot of energy to claim compensation for compensation, and it costs a lot to go to law in accordance with other countries' laws. "

Such a situation does not just happen in one enterprise.

"Now some developed countries' customers also have" old Lai ", causing many foreign trade companies to dare to expand their foreign trade business.

This situation is not only in Deqing, but also in other industrial clusters.

In order to alleviate this situation, local governments and enterprises are also taking action.

Take Deqing County as an example, local governments also encourage enterprises in foreign trade to organize free business training, popularize risk prevention knowledge and provide risk prevention services.

In addition, most of the local foreign trade enterprises have adopted credit insurance to avoid risks. Enterprises with above 10 million dollars have basically adopted credit insurance for every item of goods, so as to minimize risks.

These new products bring impetus to the development of enterprises.

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Case

Relying on "technology upgrading" to take orders

Yunlong Garment Co., Ltd., located in Longxiang Industrial Park, Tongxiang, Jiaxing, Zhejiang, is not large, with only 120 employees.

However, such a small company has become an international competition apparel supplier many times.

In addition to providing some costumes for some teams in the F1 China Grand Prix held in Shanghai, Yunlong has also received orders for the 2010 World Cup in South Africa and the Winter Olympics in 2010.

But these are not worth mentioning compared with the total number of 2012 Olympic Games in London, which are 127 thousand Olympic Games and 17 Olympic fans.

"The total amount of this order is about 1000000 dollars, the total volume is still relatively large. We have been preparing this order since last year."

Ren Long, general manager of Yunlong Clothing Co., Ltd.

Why are these orders so favored by Yunlong, a small company? In the words of Ren long, it is "the light of technology upgrading".

The fabric of the London Olympic Games fans' clothing is developed by Yunlong company, and its color fastness from hand to air permeability is high.

Some indicators are even higher than the Taiwan products they had previously OEM, and the prices were also cheaper, because the cost of production was greatly reduced.

This is also an important reason why Yunlong can finally beat many international competitors to get orders.

"Our own fabrics have been patented, and foreign customers are highly valued for intellectual property rights. They think this is their own research and development. Even if you add a few dollars, you can understand it."

The dragon, who has tasted the sweetness, does not hide the enthusiasm for technological innovation.

However, this enthusiasm is due to persecution.

In the early years, Yunlong company mainly made cotton jersey and started to do well in the initial stage. But with the rise of southern Zhejiang's economy, the pressure on the company is increasing.

Competition between peers, "you drop 5 cents, I drop 10 cents," Ren long said, "we are like enemies, and are unable to earn money, so I feel that we have to find a breakthrough to avoid this kind of white hot competition."

So, Ren long put the treasure on fabric research and development because this is what they are good at.

Now, Ren Long's annual R & D investment is about 3 million yuan, and at least 10 new fabrics are developed each year.