Looking Back On Changle Warp Knitting Last Year

In 2008, the external environment of Changle's warp knitting industry had changed drastically along with the whole economic environment. Facing the complex and changeable economic situation such as RMB appreciation, export rebate rate adjustment, international oil and raw material price fluctuation, financial tsunami and so on, Changle warp knitting industry has been tested.

The overall development momentum slowed down. In 2008, the overall development momentum of Changle warp knitting industry slowed down compared with that of the previous year. The operating rate of most enterprises maintained at 60%~70%. According to statistics, nearly 1600 of the 7500 warp knitting equipment in Changle were reported to stop, accounting for 21.3%.

In 2008, Changle's warp knitting industry achieved a total output value of 9 billion 640 million yuan, up 5% over the same period last year.

Among them, the output value of 48 enterprises has dropped, and the output value of the enterprises has increased by more than 20% over the same period, and there are more than 20 enterprises.

Nevertheless, as of December 2008, Changle's warp knitting industry did not show signs of shutting down in large areas, and most of the enterprises were operating normally.

Most of the business operators are mainly low-quality and homogeneous products.

The most influential ones are small businesses and family workshop companies that have just started in recent years. These companies are weak in marketing capabilities and design and R & D capabilities, and are generally difficult to survive.

Because of the emphasis on science and technology and brand, large enterprises generally have different products and independent technology. In the "winter", this advantage is more obvious.

For example, the computer lace machine of Xin Kong textile machinery and the lace of lace, which are mainly made of self made lace machine, have shown strong market competitiveness in the international and domestic markets.

On the other hand, although the output value of some large enterprises has changed little, profits have declined.

Analysis of the reasons, on the one hand, Changle warp knitting products mainly exported indirectly to Guangdong and Zhejiang markets to Europe and the United States. Affected by the financial crisis, China's textile and garment products exports were reduced, and the warp knitting industry also suffered the same fate.

In addition, the prices of warp knitted raw materials in 2008 also fluctuated significantly, resulting in a sharp reduction in industry profits.

At the same time, influenced by the tight monetary policy of the state, most of the small and medium-sized warp knitting enterprises have encountered the problem of shortage of funds, and some enterprises have been shut down by this influence.

Since 2008, Changle has introduced policies to encourage listing, financing, brand building and technological innovation to promote industrial upgrading.

The tax department has also adjusted the management and early warning lines accordingly, which has created a more relaxed environment for enterprises.

At the same time, Changle intensified the construction of public service platform in 2008, focusing on the construction of Changle textile technology innovation center and science and technology service platform, building a perfect Changle textile network, and further improving the comprehensive service functions of design, R & D, inspection, financing, exhibition and training.

With the active support of a series of supportive policies and measures of the Changle municipal government, Changle enterprises are also actively facing various measures.

We firmly believe that warp knitting enterprises generally believe that the financial crisis is temporary and still optimistic about the long-term development.

I believe that under the care of the government, the warp knitting industry will soon be out of the doldrums. Especially with the support of state policies, information and funds, enterprises will have great confidence in expanding the share of domestic sales in the future, especially in 2009, and strengthening the development of emerging markets besides Europe and the United States.

We should develop differentiated and functional warp knitted products, give full play to the advantages of Changle chemical fiber industry, start from chemical fiber materials, and make differentiated and functional warp knitted products go to the market.

For example, the raw silk monofilament product of Xincheng chemical fiber has successfully landed in South Africa and South Asia market in the second half of 2008. The products of the antibacterial and far-infrared fabrics of Yuzhou knitting company of downstream company, the differential fiber products are popular in South Africa and South Asia market.

Hang Kong company, Yongfeng company, and Dong Long company have also launched their own differentiated products to open up the market.

We should strengthen cooperation in science and technology and cooperate with universities and research institutes at home and abroad to enhance technological pformation and product innovation while strengthening cooperation between enterprises and enterprises.

In the face of "cold winter", more and more Changle warp knitting industry has realized that we must take the "brand + function" textiles as a high value-added competition way, and invest limited funds in technological innovation and product innovation.

Relying on private capital financing, unique private capital financing means is the basis for Changle warp knitting enterprises to remain active.

First, warp knitting enterprises account for a small amount of capital, and their own funds are generally relatively high. Secondly, the financing means of Changle enterprises are diversified, and the mode of single family investment in a project has gradually changed. Instead, it is a mixed investment and management system with relatively clear equity ownership and multiple family members.

In the face of such a "cold winter" of 2008, enterprises generally adopted the form of alliance between upstream and downstream enterprises to reduce costs. By the end of 2008, Changle's warp knitting enterprises could basically maintain their normal operation through large amounts of cash recovery, debt reduction, inventory reduction and accounts receivable.

"When winter comes, spring will not be far away." the Changle warp knitting industry, which has accumulated its strength, is waiting for the economic recovery.

Wang Xiaonan: editor in charge