The Downturn In Garment Industry Is Also Affected By Other Links.

Behind the seemingly bustling business, China's textile industry is experiencing a torment.

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The first street "Hangzhou Sijiqing clothing wholesale market" is full of cars on both sides of the street, and many vans have even stopped in the middle of the road.

Before the entrance of the boutique women's clothing market, the big bags of goods were piled up, waiting for the stevedores to pull them away.

In the market, the flow of people is bustling, and the cry is rising one after another, even the temperature is higher than the outside.

However, behind the seemingly bustling scene is the fact that the clothing industry is in recession.

Chen Ping, the store's 4 Tier "Ya Na" brand store manager, told reporters that during the sales season this summer, their sales plummeted from 20 thousand in the past year to 20 thousand.

In October, it should be a season changing season. It is also the peak season for clothing sales, and this year it is "busy season".

Chen Ping's case is not a case. The market in Hangzhou also represents a common phenomenon throughout the country.

According to the National Bureau of statistics, in 1-7 months, the total profit of textile enterprises above designated size was 135 billion 800 million yuan, down 1.1% from the same period last year, the growth rate was 48 percentage points lower than that of the same period last year. The loss of enterprises was 17.7%, and the deficit of loss making enterprises increased 110% over the same period last year.

Recently, China

The Federation released the list of China's textile and garment enterprises' competitiveness top 500 from 2011 to 2012. The vice president of the Federation, Xia Ling min, said that China's textile industry suffered the most difficult situation in the past three years because of the global economic weakness.

Production and downtime in garment factories

The great tide of Qian Tang river has long been known. Until now, Jianggan District, Hangzhou still has two place, three Fort until nine fort, such place names, these "fort" is used to communicate when the ancient tide came.

Now, from five fort to seven fort, it has become the focus of the workshop.

Bian Jianyong runs a small garment factory in the seven castle.

In October this year, their factory had been shut down for 5 days, and the number of workers in the factory was reduced from 15 to 7. The situation of overtime work in the past 24 hours was gone.

The reason for the downtime is that the wholesalers are no longer stocking up. In the past, clothing sold well, wholesalers should keep a certain stock in order to avoid the loss of goods, and their orders also came in.

The clothes are not ready now, and the wholesalers stock up much less.

When the old clothes were sold well, even the rags left in the processing clothes were collected. 3 cents a kilogram, and now piles of crushed materials are stacked in the factory, occupying many places.

Bian Jianyong said, compared to the clothing factory, the business of the Luo Kou factory is even more bleak, because the style of Luo Kou is divided, and if the style is out of breath, it will be even more immovable.

Reporters came to the next Jin Xin Luo Kou factory, manager Mr. Wu told reporters that the so-called Luo Kou, refers to necklines, cuffs, hem and other garment accessories.

Their business this year dropped by half compared with last year, and barely started in the first half.

Spring clothes had been started in previous years, and this year, winter clothes have not been started yet.

Big enterprises are also facing similar problems.

In October 22nd, at the nineteenth China Yiwu International Commodities Fair (hereinafter referred to as the fair), the textile area on the two floor was obviously deserted.

The staff said that last year's fair, the exhibition hall of the sangsha socks industry was full of customers, and the staff were busy.

According to the National Bureau of statistics, in 1-8 months, the total industrial output value of 37 thousand Textile Enterprises above Designated Size reached 3 trillion and 639 billion 430 million yuan, an increase of 10.8% over the same period last year, and the growth rate dropped by 18.6 percentage points over the same period last year.

In terms of foreign trade, according to customs monthly data, 1-7 months ago, China exported 141 billion 580 million US dollars of textiles and clothing, an increase of 0.3% over the same period last year, a sharp decrease of 25 percentage points over the same period last year.

After deducting the price rising factor, the actual export volume of the textile industry increased negatively. In terms of domestic sales, 1-8 months, the domestic sales value of textile enterprises above designated size was 2 trillion and 980 billion 710 million yuan, an increase of 12.4% over the same period last year, a decrease of 20.1 percentage points compared with the same period last year.

Spread to surrounding industries

The downturn in garment industry is also affected by other links.

Yiwu Mingrong wire Co., Ltd. manages all kinds of sewing thread. Li Longhao, manager, told reporters that their sales fell by 1/3 this year.

Since the beginning of the year, the purchasing volume of downstream garment enterprises has been hovering at the bottom, and signs of rebound have not yet been seen.

Lu Xiaoyan, the business manager of Zhejiang Vincellar zipper limited, said that their zippers were also not selling well this year.

The cost has gone up a lot, but the products are afraid to raise the price because they are afraid of losing the poor customers.

In previous years, orders can not be arranged, and delivery is generally required after 2 months.

Tao Yang sewing equipment acts as a proxy for many brands of sewing machines. The manager, Zhong Shui Shui, said that their peak season is in June and December each year, that is, when clothing factories are at the weakest stage, because the clothing factories only have time to update their purchases.

This year, the peak season has not been good in the off-season, and has not sold a machine for the longest time or even 3 months.

Jia Hui, sales manager of Zhejiang Eagle Eagle sewing equipment Co., Ltd. also said that their sales volume dropped by 4 this year.

Zhejiang province green alliance is an environmental protection organization, paying attention to the pollution situation of textile industry for a long time.

Zheng Yuanying is the director general of the organization. He told reporters that because of the large number of textile enterprises in Zhejiang Province, the pollution of dyeing and finishing fabrics in past years is very serious.

This year, it is much better to see "blue sky and white clouds".

The reason is that the textile industry is sluggish, factories are shut down extensively, and pollution is gone.

Internal and external troubles

Chinese textile enterprises are under unprecedented pressure.

Bian Jianyong told reporters that clothing needs the most during the season.

In October, when the weather turned cold, people began to buy autumn clothes.

This year, the temperature in Hangzhou has always been higher, and clothes have not been sold.

However, Zhang Yanjie, an analyst with information cotton yarn, does not fully agree with the "weather theory". He believes that the biggest economic downturn is the root cause of the downturn in the textile industry.

Zhang Hongxia of Wei Qiao textile company reflects that the cotton price difference is relatively large this year, and the domestic cotton price is higher than the international market price of about 5000 yuan / ton, resulting in the increase of domestic product cost and the decline of export competitiveness.

In this regard, the NDRC has taken some measures to recover the cotton in the hands of farmers, increase the national reserves and liberate part of the imports, which will help lighten the burden on the textile industry.

On the other hand, the textile industry is a labor-intensive industry. In recent years, domestic labor costs have been rising again and again, and the textile industry has been greatly affected.

Bian Jianyong said that the monthly salary of their miscellaneous workers was 600 yuan three years ago. Now it has risen to 3000 yuan. Even so, it still can not attract people.

The rise in costs is on the one hand, and the downturn in demand is a bigger reason.

Since the financial crisis in 2008, the recovery of the US economy has been slow and the European debt crisis has not been solved. This year, China and Japan are fighting the trade war because of the island issue. The United States, the European Union and Japan are the three mainstream markets of China's textile exports. Their demand is limited, and the impact of exports is very great.

In terms of domestic demand, the economic situation is not good, many industries have stopped work and holidays, people's income level has been reduced, and purchasing power has not been so strong.

Clothing is not a necessity, such as food, and the income is reduced. The frequency of changing clothes can also be reduced.

Bian Jianyong said, according to the Convention, every January is the time when the clothing factory begins to have a holiday.

But he didn't work this year. He plans to leave the workers in November.

Chen Ping said that every year after the Spring Festival, the wholesale market of Hangzhou Sijiqing clothing wholesale market will continue to be booed. If business is not improving, there may be a wave of shopping in the market after the Spring Festival next year.