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    A Large Number Of Orders For Grey Fabrics Are Cancelled, And Manufacturers Will Cut Prices To Keep Old Customers.

    2020/3/24 18:59:00 20

    Grey Fabric Order

    Recently, bad news continues in textile circles. 3 in the middle ten days of the month, more and more foreign orders were cancelled, and weaving factories had already been embarrassed.

    First, the market is ushering in the withdrawal and abandonment tide. In March 23rd, a boss specializing in home textile fabrics in Jiangsu said that the recent cancellation of orders has become a common phenomenon. Many enterprises have already been on board, and suddenly they will receive mail from overseas customers to cancel their orders. In March, the epidemic was widespread in the world, and the demand for textiles and clothing was decreasing. Overcapacity and order reduction were far ahead of last year. Cancellation of orders is a double-edged sword, which is a huge loss to both buyers and sellers. A trader disclosed that domestic enterprises generally charge only 30% of the deposit, which is far from offset the cost. Therefore, the financial pressure of enterprises in recent years is very large, and many of them are unable to make ends meet.

    Two, weaving factories show their own abilities, and their effects are not good. Self rescue methods are as follows: 1, adjust the ratio of internal and external single. When the epidemic became more and more intense, the domestic level was calm. So many textile companies and traders turned their attention to China. On the 23 day, a person in charge of a single enterprise in Italy said that although they had not yet received the notice of cancelling the order, the epidemic situation in Italy has swept across the whole country and has basically become an isolated island. Therefore, while preparing for the cancellation or sharp reduction of orders, they increased the proportion of domestic trade, and planned to increase to 80% in 4 and May, while the external order reduced to 20%. Up to now, the adjustment of internal and external single ratio has become popular. It is expected that the domestic market will become more competitive in the first half of this year. 2, reduce costs and reduce pressure. Many enterprises say that the cost of enterprises is increasing under the market background of the cancellation of the internal contract. For example, enterprises need to pay more for epidemic prevention, increase of workers' wages and freight charges this year, resulting in an increase in production costs. How to reduce costs? First, two shifts of workers shift to three shifts, so that workers' working hours are shortened and expenditures are reduced. The two is to study the tax reduction and reduction policy of the state, and to draw a good result in policy provisions. 3, falling prices increase liquidity. The weaker the market is, the more important the cash flow is. In order to return the funds as soon as possible, enterprises have to sell their profits. According to market feedback, since mid March, the price of grey fabric has dropped by 0.1-0.2 yuan / m, and the number of individual fabrics has dropped by 0.4 yuan / meter, which has not only lost the increase in February, but has already fallen over 0.05-0.1 yuan / meter. Factories that are in a losing position are already in the minority, but in order to cash in, enterprises can only "eat yellow lotus dumb". A business owner even pessimistic said that the signs of the global financial crisis in 2020 have been very obvious, as long as enterprises can move to win. Therefore, the recent gray cloth is ushering in a price cut tide.

    Three, "gold three" has passed away, and enterprises hope for "gold nine silver ten". Most enterprises have no hope for this year's spring and summer fabrics and clothing. However, there is great expectation for the autumn and winter in 2020. A market source said that the global epidemic rate is unlikely to end before June, but until 9 and October, it is estimated that the world will be calm and depressed. Will the textile and clothing consumption demand for nearly a year be retaliatory rebound? Therefore, the market is not hopeless. Instead, it will be in the spring and summer, and will rush out in the trench to create another brilliance.

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