Decline In Consumption Willingness, Declining Overseas Orders, Zhejiang Textile Industry Seeking Opportunities In The Chain

"I didn't buy a spring dress this year." "I am also, alas, saving money." Spring is the season of publicity, and is also the harvest season for clothing and other related enterprises. But this spring, affected by the new crown pneumonia epidemic, the chat scenes have become a norm among many female consumers.

The consumer side is "cold", so the relevant textile and garment industry at the supplier side is naturally cold. Such a message, let people care about one thing: as a traditional advantage industry in Zhejiang, the textile industry has tens of thousands of enterprises, even next large consumer groups of large industrial chain, how is the survival state? What are the bosses of Zhejiang textile enterprises busy? With these questions, recent journalists have entered field research in Shaoxing, Jiaxing, Huzhou and Hangzhou, where textile industry is concentrated in the province.

Cataclysm

Industry encountered "cold spring"

This spring, Zhejiang's textile industry can be said to be "caught in the cold winter", and the upstream and downstream industrial chains are all damaged.

Zhejiang has a complete textile industry chain. In the upper reaches of chemical fiber industry, Tongxiang, Shaoxing and Xiaoshan are the most famous chemical fiber production base in China. The output of polyester fiber is more than 16 million tons, accounting for 1/2 of the total national volume. In the middle reaches of printing and dyeing field, the blue print fashion town of Shaoxing Keqiao has gathered 108 printing and dyeing enterprises, and the printing and dyeing volume is close to 1/3 nationwide. In the field of clothing and clothing in the lower reaches, 18 garment industries have been formed in the whole province. Cluster.

"Even if there are large downstream customers, our recent sales have also dropped sharply." In the town of Changxing County, the Zhejiang Textile Co., Ltd. (hereinafter referred to as "Ke Yi textile") is one of the few upstream chemical fiber enterprises in the country, and about 80% of the textile enterprises are located downstream. Shen Jianming, deputy general manager of the company, told reporters that most of the customers were making foreign trade orders, producing grey fabrics with their raw silk and then exporting them through printing and dyeing. Since late March, the number of new orders of downstream enterprises has decreased significantly. The inventory of the company has been as high as five hundred or six hundred tons, which is more than two times normal.

Just a few kilometres away from "Ke Yi textile", orders for downstream businesses "Chengxin textile" have shrunk by nearly half. "Our products are exported directly or indirectly overseas, and the volatility of the international market has a great impact on us." Tong Yihong, deputy general manager of the company, said that since April, foreign businessmen have been calling to cancel or postpone orders. Affected by this, the inventory of grey cloth in their warehouses has been more than 600 million meters, worth more than 10 million yuan.

"Now, what worries me most is not the cancellation of orders, but the fact that foreign channels and partners will fall in this epidemic." Turning to the risks of overseas markets, Zhang Jian, deputy general manager of Xinchang textile, said that during this period, foreign customers were required to postpone payment, which amounts to more than 2 million yuan, and about 6000000 yuan "goods floating on the sea" may also face the problem of "difficulty in collecting money". Not only that, Zhang Jian said, but the company has only $5. 6 million orders at hand, only enough to maintain the company's more than 20 day production, and since April almost no additional overseas orders have been made.

Not only in Changxin, but also in Shaoxing long Ju Textile Co., Ltd., too, because of the reduction of orders. "This spring, we sent only two containers to the US market, and European orders were" completely annihilated ". So far, a container has not been sent out. Song Zhanfeng, general manager of the company, told reporters that at present it can only carry on to August this year. Zhao Haifeng, chairman of Zhejiang Weiyi industrial Limited by Share Ltd, told reporters that the utilization rate of the company's equipment is only six or seven now. The processing unit price has also been twenty percent off, which is only half the actual utilization rate, while the textile enterprises only have 85% of the utilization rate of the equipment.

strain

Try every means to live

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In the Huzhou Mongolia Textile Technology Co., Ltd., the production line is still in hand.

Faced with unprecedented crisis, many textile enterprises in Zhejiang showed strong desire for survival, which fully demonstrated the vitality and toughness of Zhejiang's private economy.

Dynamic adjustment of production capacity has become the first rule of survival under the epidemic situation. Entering the Zhejiang Huagang dyeing and weaving Group Co., Ltd., reporters found the scene of ice and fire: 5 workshops, all the workshops for foreign trade orders were suspended, while the printing and dyeing workshop of "milk silk" products was extremely busy. Gu Hongyu, general manager, told reporters that the order of the workshop had been discharged to the end of the month, and customers were still placing additional orders. He told reporters that because they used the top environmental dyes and environmental additives in the industry, the quality was better than that of similar products, so even orders under the impact of the epidemic did not decrease.

"This innovation, thanks to the Longsheng and the spread of the key enterprises in the upstream industry chain, their latest technology and products will soon be applied to us." Gu Hongyu said that at the moment, he was upgrading the workshop of another ordinary product into a workshop for producing milk yarn. At present, only about 2000000 yuan has been invested in steaming machines and new printing machines.

Textile enterprises that are rapidly changing according to market demand are quite numerous in Keqiao. "Companies are having difficulties at the moment, but every business is trying to figure it out." Wang Hao, member of the Party committee of the Keqiao Bureau of letters, told reporters that some export-oriented enterprises have increased the proportion of textile products that are more versatile by adjusting their product structure, because such products are not sold well after the outbreak.

In addition to the transformation of the market, more companies choose to shrink their production capacity and reduce their expenditure while stabilizing their workforce. "At present, we have voluntarily reduced production capacity to seven or eight of our original orders, and at the same time, we have implemented the wrong time duty system for our employees." Tong Yihong, deputy general manager of the company, said that although the wages of workers were also reduced, the company explained the reasons for the reduction and explained the market situation. Most of the workers could understand the difficulties of the enterprises. Tong Yihong said frankly, with the further reduction of orders, they may also further reduce their production capacity, but in any case, they will strive to maintain the factory's low load operation, so as to maintain the stability of the core staff.

In Hangzhou, Chen Shirong, who has been engaged in home textile production and sales for more than 20 years, has done traditional foreign trade and domestic electric business. He moved to "Amazon" four or five years ago and quickly "conquests" in the European and American terminal consumption market, such as sales volume has exceeded 500 million yuan this year. Even so, he noticed the chill in the foreign market: his online shop volume and daily turnover were "cliff shaped" slipped, nearly half of the peak.

Faced with the sudden decline of the market, Chen Shirong was not panic. "The market will recover quickly after the outbreak. What we need to do now is to improve our internal strength so as to grasp the opportunities of market rebound in the future." He said that the epidemic just provided him with an opportunity to practice internal strength. In recent years, cross-border electricity export business has been growing rapidly, but there is a serious shortage of professionals. Chen Shirong is ready to strengthen training for employees during the epidemic situation. In the first two days, he recruited two masters to prepare for training.

In addition to retaining people and training, many enterprises are beginning to reserve low price raw materials while the international crude oil prices fluctuate drastically. Shen Jianming told reporters that international oil prices have been declining since March, and the price of "polyester TY" has been falling continuously, which has reached the lowest price in more than ten years. "Recently it has slipped again, and it seems to us that we are getting closer to the bottom of the price." He said that they have bought a batch of raw materials for $5 million, and if the prices of raw materials continue to decline, they will further "copy the bottom". Shen Jianming believes that after the epidemic is over, these low-priced raw materials will bring huge profits to the enterprises to counter the impact of the epidemic.

strive for changes

Live as fast as a fish.

Step fish, a common freshwater fish in Jiangsu and Zhejiang provinces, is characterized by its color as earth and fleshy texture. It has the characteristics of being peaceful, calm and social, responsive and explosive.

In April 21st, it was just a month since the "step fish program" was released from Keqiao, a textile town in Shaoxing. The "step fish program" implies that Keqiao's manufacturing industry should concentrate on industry and develop synergy along the upstream and downstream of the industrial chain. Especially in the current crisis, we must take the opportunity to improve our internal strength. Once the market is restored, we can quickly seize opportunities and rise again.

"Zhejiang's textile industry is strong in the integrity of the industrial chain, which is the biggest advantage of seeking opportunities in danger." Lan Jianping, director of Zhejiang Institute of industry and information technology, said that the global spread of the outbreak has resulted in the "disappearance" of the terminal consumer market in many places, which led to the crisis leading to the entire industrial chain. In other words, it is not the industry itself that has gone wrong, but the sudden contraction of the market.

The statement of the person in charge of BELLE Heng printing and dyeing Co., Ltd. in Shaoxing can just confirm this view. "We have two blocks of foreign trade, and one piece of fabric is exported to Southeast Asia to make garments. The order is almost gone. There is another direct sale to the WAL-MART supermarket in the United States, and orders are still being added." Xia Zhong, general manager of the company, found that the demand for cloth did not drop or rise in the US supermarkets that had not been closed under the epidemic. Recently, the other side has added an additional order of more than 100 million meters.