Last Year's Shutdown Was Vigorous, And This Year's Shutdown Was Silent.

The current textile market is really short of orders, but worse than the lack of orders, it lacks confidence.

After entering July, the market of raw materials opened the roller coaster mode, and the sharp rise and fall appeared to be "common". The weaving factory also seems to have adapted to this kind of ups and downs very quickly. From the very beginning, raw materials have been hurriedly stocked up when raw materials have risen sharply, and now sit down Diaoyutai, laughing and watching PTA go to the sky, and he rises to let him rise. He falls or falls.

Behind this calm, actually full of textile people's heartache and helplessness.

In fact, after entering the off-season in six or seven this year, most of the weaving enterprises are deeply in the predicament of weak terminal demand and high inventory. With the soaring and slumping of raw materials, the enterprises at the weaving side were hit hard. In such a difficult situation, some weaving enterprises even began to "summer vacation", and shutting down production became an option.

Last year's shutdown was vigorous, and this year's shutdown was silent.

This year, the closure of the weaving enterprises is still "quiet" compared with the previous years. There is no sense of shock in the past years when the "100 enterprises joint names" stop production strike, but in fact, quietness is sometimes more frightening than spectacular.

Last August, as the upstream raw material terminal PX was controlled by others, the rise of PTA was raging and plummeting. At the same time, weaving enterprises suffered heavy losses. Some textile associations soon moved to join in protest, and even organized their businesses to suspend production.

2018 chamber of commerce joint production notice

　　 The sharp rise and fall of textile raw materials has even attracted the attention of CCTV news.

This year, despite the news of "joint protest" and "stop production", there are actually many textile companies choosing to stop production during the off-season.

　　 Starting rate of weaving cluster looms

From the above statistics of textile cluster looms, we can clearly see that there is a marked decline in the start-up rate of the weaving Market. Citing data from China's silk capital network: weaving factories in Anhui, Subei and other outlying areas are already in a semi operational state. The start-up rate has dropped to 7, while Haining warp knitting is not optimistic, and the rate of start-up has dropped to 5-6.

In addition, the traditional Jiangsu and Zhejiang textile clusters, some of which are producing conventional products and machines which are relatively old, are also in a state of shutting down production or planning to stop production.

This year's "quiet" shutdown is somewhat more unusual than the previous vigorous shutdown, and the silence is often more terrible than hoarse.

Worse than lack of orders is lack of confidence and hope.

In the past, "protest" or "stop production" also made such a big move. In fact, the essential reason was to compete for profits. The profit of the industrial chain is dried up by upstream, which naturally leads to a rebellion in the downstream.

The reason for such a calming production and shutdown this year is that the manufacturers have discovered a very cruel reality and no profits can be contended. Terminal demand continues to languish, where does the profit of textile enterprises without orders come from? Previously, the owner of the weaving business joked, "two pieces of cloth are woven every day, and one is placed in the market department and one store is stored." Although this is a joke, it has become part of the current situation of weaving enterprises.

Lack of orders is a fact, but market confidence and hope can not be lost. Thanks to the Sino US trade war, the textile foreign trade has been hit hard, but the recent improvement in Sino US relations has made good progress. The US has lifted some of the companies that supply HUAWEI, while exempting 110 tariffs on China's US products. These signs indicate that the situation is heading for a better direction.