Haining, Changxin And Morizawa Ri Market Situation: Overcapacity, High Inventory

The dry textile industry all understands "how to make fabrics, and has the final say in clothes". Therefore, in most cases, fabrics are developed to meet the needs of terminal clothing customers. That is to say, the changing trend of clothing is related to the future development of textile fabrics.

The characteristics of clothing include all kinds of fashion, modern and avant-garde. Besides, it has the most primitive function of keeping warm, and we have also formed a fashion development mode, which is responsible for "beauty" in spring and summer clothing, while in autumn and winter clothing is responsible for "warming". As a result, all kinds of printing, color and design elements in the spring and summer clothing "100 flowers", but autumn and winter clothing is naturally insulated from the United States generally, it can be said that its only function is to keep warm.

Because the role of clothing in autumn and winter is limited, the factors that affect it are also very simple, that is, weather changes and temperatures. Therefore, the sales volume of autumn and winter clothing can be seen as a full day meal, and the autumn and winter fabrics associated with it can not escape the weather.

"This autumn is very long!" Said an old wizard who engaged in textile for more than 10 years.

Recently, most textile people are looking forward to the coming of winter. After all, only the temperature drop, the down jacket and cotton clothes that have been piled up for a year can be popular in the market. It also drives the clothing factories and brands to place orders for fabrics. But today's market is just like the weather today. Recently, from the major weaving clusters in Jiangsu and Zhejiang, we know that the whole fabric market has not improved all the time, and the market is "hot and cold".

Haining Market: the start-up rate has obviously recovered, and the low cost of raw materials has stimulated the enthusiasm of downstream purchasing.

This year, the Haining market has not slowed down from last year's "productivity leap forward". Since 2017 and 2018, over 1000 KS warp knitting machines have been introduced by enterprises. The market production capacity has increased by more than 20% at a time, thus breaking the good life of KS warp knitting for 3 years.

Many small and medium-sized enterprises began to worry about the increasing inventory and shrinking demand. The contradiction between supply and demand of the market was obvious. This also led to the low rate of start-up in Haining market this year. Many of the cloth owners who were originally engaged in the fur industry to be warp knitting industry have been disappointed and ready to leave.

But in late October, market winds seemed to be changing. At the end of September, there were not many fabrics in the market. Only some of the ammonia exceeded the specifications. But in the near future, besides conventional ammonia, other fabrics such as mesh cloth, Jin Guangrong, corduroy and corduroy were all improved in varying degrees. The warp knitting manufacturers had better production enthusiasm, and the opening rate increased from 7 in the end of September to 8-9 percent.

Liu Chang, whose main product is mesh, velvet and swimwear, said: "at present, the 9 KS warp knitting machines in the factory are full, and the orders in our factory are all right from October to now, although the profit margins are not as high as last year, but the basic profit is guaranteed." According to the insiders, the price of raw materials is at a low level and the price of finished products in the market is low, which has aroused the enthusiasm of the downstream merchants to purchase fabrics, and the market has been showing a short "hot".

Changxin Market: grey cloth "pile up", manufacturers can not reduce production!

"This year's market is not busy season, customers do not order, we dare not go to the gray cloth factory to get goods, in case it hit in the hands of it?" Traders General Sun said. Changxin, as the third largest textile production county in Zhejiang province after Shaoxing and Xiaoshan, is highly concentrated in production capacity. It is one of the main suppliers of domestic textile fabrics, garment accessories and curtain fabrics. Many textile enterprises are doing the grinding cloth business, so the degree of homogenization is very high.

"The market is not good this year, but after September, it has been very mild. National Day holiday, our factory has been closed for nearly a week, which is relatively rare. At the moment, we dare not fully open the machine in the factory and stop some parts to alleviate the pressure of inventory. Zhang Zhang, who owns more than 100 jet looms, said. It is reported that at present, Changxin water jet looms are maintained at around 7, which is down by 15%-20% compared with the end of September. "In the past, cloth can be taken about one hundred thousand meters a week, and now it is ready. It is estimated that we will have a holiday early this year." Another trader, ye general, said.

Oversupply is a big worry for many bosses. Since 2017, the Changxin region has also played a clarion call for environmental protection. As of August 2019, all the retail outlets outside the JP water jet loom had been eliminated and signed, and 226 units and 3447 devices had been completed. Many local bosses have shifted their production capacity abroad and continue to produce conventional products such as abrasive cloth. Therefore, the phenomenon of overcapacity in the market is more obvious, which has also caused the embarrassing situation of the "difficult season" in the current market.

Shengze Dan Bu Market: enterprise inventory up to tens of millions of meters, can not sell!

Generally speaking, there will always be a wave of bile cloth in the second half of the year, but this year's situation is not satisfactory. "Gold nine silver ten" has passed, the market is also exhausted, "lack of motivation". The speed of orders for many products has slowed down obviously, and the transport of Dan Bu has begun to slow down.

"The volume of orders this year has been cut by half compared with last year, and the price has dropped by 0.7-0.8 yuan / meter compared with the beginning of the year, like our 292T polyester taff 2.1 at the beginning of the year, and now only sells 1.55," said the general manager of the Shengze DBU supermarket. Coincidentally, a company in Wujiang area, such as Dan Bu, Nei spinning, Chun Ya spinning and so on, also believes that the sales of gall cloth this year is not as good as in previous years.

"This year did not feel any improvement. In the summer, the sales of Dan Bu were still good, but now it is not very good. There are not many orders such as Neis spinning, and we are also much worse. Now we can sell 312T, 290T polyester taffeta and channel cloth.

Market demand for Down garments and cotton clothes is not enough. And the natural demand of Dan Bu as the matching material for down jacket and cotton fabric is also general. Moreover, many clothes brand storehouses are still full of down coats last year. They will undoubtedly reduce the number of down jacket fabrics, which will lead to the fact that DBU cloth is not ready to sell this winter.

"This winter is not cold, the sales of down garments are certainly not good, and in addition, many stocks have not been consumed in previous years. This kind of clothing enterprises have little enthusiasm for the order, and this year's Spring Festival is in January. The sales time of autumn and winter fabrics is relatively short. It is estimated that the down garments will be cleaned in the next few years, and naturally our bravery cloth will not be good." A person in charge of the supermarket said helplessly.

Judging from the survey, at present, the stock of gall cloth has been greatly accumulated, and the phenomenon of throwing off goods in the supermarket has begun to increase, in order to reduce the pressure on inventory and capital. "We have about 10 million meters in stock now, and the stock is too high. Many supermarkets in the market have the phenomenon of dumping, especially in the field.

DBB's profit is low, and it really can't afford to throw the goods, which also confuses the market price. A bold cloth boss said. "This year, there are a lot of external capacity, many of which are in the price of inventory, return funds, are basically selling at a loss. The price of raw materials we used before is relatively high, but in order to compete, we can not raise prices, but only reduce profits. "

Dry textiles did not escape the fate of watching the sky. A warm winter is supposed to be a good thing, but it is a bolt from the blue for the textile workers who have been in the "cold winter" for a long time. They thought that the majority of stocks could be digested through the down jacket sale at the end of the year. Now it seems very difficult. If the operation is wrong, it may be to turn the grey cloth inventory into the finished product inventory, or even a pile of down jacket clothing inventory.

Meanwhile, the operation of enterprises in Haining, Changxin and Shengze also reflects the current situation of many textile enterprises in the textile market. While warp knitting market began to show "warmth", while the other side of the water market is still "cold wind", in addition to seasonal demand for products, pre market warp knitting market has been maintained at a relatively low level, to ensure that stocks do not exceed the warning line, so once the market turns well, the overall market mentality is more obvious.

And the loom loom turnaround rate has been at 8-9 of the high level, the market supply is larger, homogenization competition is obvious, also led to even if the demand is improved, it is also difficult to digest excess capacity, textile enterprise confidence is obviously missing.