How Cotton Textile Enterprises Destock And Withdraw Funds

"The main task is to destock", "We should seize the funds", "Enterprises may have a long Spring Festival holiday in advance"... This is what the reporter of China Textile News recently heard from spinning enterprises.

Recently, the weather continues to be cold, but for cotton textile enterprises, the current market situation is even colder. At present, the characteristics of the industry's off-season are obvious. The downstream market continues to weaken, and the spinning profit has not improved. On the one hand, many enterprises continue to reduce prices and sell goods, on the other hand, reduce production capacity and reduce output, but the transaction situation is still not improving, and the inventory pressure continues to increase.

The colder the market is, the more enterprises need to seek change. Before the arrival of spring, what new ideas do cotton textile enterprises have?

　　 Integrating innovative design

"Yarn is a process product, which provides basic raw materials for downstream fabrics, clothing, household textiles, and industrial textiles. It can be called the chip of end products, and has congenital advantages in the implantation of fashion genes." Dong Kuiyong, president of China Cotton Textile Industry Association, said that at present, the iteration of personalized and diversified consumption demand is accelerating, The construction of an integrated ecosystem from raw materials to terminal commodities has become the mainstream business model. Cotton textile products need to be integrated into a fashion innovation ecosystem with creative design as the core, scientific and technological innovation as the support, fashion trend as the guide, brand building as the starting point, and sustainable development as the guide.

Technological support product innovation has become the core driving force of the cotton textile industry. Shi Pingping, a distinguished expert on Chinese yarn fashion trends, believes that although the market is cold, this does not mean that the product is downgraded. The reduction of consumption frequency has increased the degree of consumers' pickiness. Consumers have higher requirements for the quality and function of products. Therefore, cotton textile enterprises need to pay more attention to the details and quality of products, and integrate technology into every link of yarn product R&D and innovation to meet the diversified needs of consumers.

Shandong Hongcheng Group Co., Ltd. (hereinafter referred to as "Hongcheng Group") has a deep feeling of the recent market coolness, and has seized the market opportunity through product design innovation.

"Since November 2023, the company has closely followed the pace of the market and adjusted its production policy. On the basis of stable operation, it has accelerated product transformation, expanded new growth points and improved product competitiveness." Zhang Qian, an employee of the weaving business department of Hongcheng Group, said that recently, the company has rapidly adjusted its product structure, constantly adjusted the signing direction, closed its inventory varieties and increased its product development efforts, Work hard on high performance, new performance and functional products, increase orders for small jacquard, non cotton varieties and yarn dyed fabrics, and ensure the maximum profit of products.

Since November, Hongcheng Group has developed 50 new varieties and 28 small jacquard varieties, of which the most prominent varieties are weft ripple and various honeycomb and satin jacquard fabrics. "Honeycomb jacquard fabric, because it is composed of plain weave and warp and weft floating lines, has a large difference in tissue shrinkage and is difficult to start. With the joint efforts of everyone, the enterprise has successfully completed the development and production of this variety through a series of measures such as changing the piercing process, adjusting the machine bench and loom parameters, and finally met the customer's requirements." Zhang Qian said.

　　 Explore the Digital Universe

Under the wave of intelligence, many small and medium-sized enterprises have "one foot" into the door of industry transformation and upgrading, while for leading enterprises, their eyes have already touched the digital field.

"In the future, numbers may be cotton, computing power is spinning machine, and algorithms are process routes and process parameters. That is to say, the yarn spun with good cotton is' real ', and big data is' virtual' to produce better products through computing power and algorithms, which will eventually return to the track of mathematical statistics." Huafu Fashion Co., Ltd. (hereinafter referred to as "Huafu Fashion") Sun Weiting, chairman of "Huafu Fashion", believes that digital based AI technology will definitely affect all industries and enterprises. Textile enterprises should embrace AI and digitalization. Conditional enterprises can actively try in the digital field, and they will gain a leading edge in the future competition.

In terms of exploring the digital field, Huafu Fashion has taken some actions. Aksu Huafu Technology Co., Ltd. (hereinafter referred to as "Huafu Technology"), a wholly-owned subsidiary of Huafu Fashion, recently signed the Partnership Agreement of Gongqingcheng Longxin Venture Capital Fund Partnership (Limited Partnership) with Longxin (Shenzhen) Private Equity Venture Capital Fund Management Co., Ltd. Huafu Technology contributed 10 million yuan with its own capital, Jointly invest in Gongqingcheng Longxin Chuang Zero Venture Capital Fund Partnership (Limited Partnership), which will invest in Taichu (Wuxi) Electronic Technology Co., Ltd. through equity investment. The invested enterprise is mainly engaged in the research and development of domestic high-performance AI computing chips, the integration service of computing power system and the construction of the whole stack software ecosystem. It is one of the domestic manufacturers that can provide highly efficient system level, software and hardware ecological pure autonomous controllable HPC (traditional numerical supercomputing system)+AI (artificial intelligence computing system) solutions.

It is reported that Taichu (Wuxi) Electronic Technology Co., Ltd. is a scientific research industrialization company incubated by the National Supercomputing Wuxi Center, which is committed to the design and development of domestic high-performance AI chips and the construction of domestic software ecology. The company's current main business focuses on the design, research, development, production and sales of high-performance computing chips in the artificial intelligence training market, providing customers with complete and rich chip products and system software solutions. The company has a research and development team with strong technical strength, and has profound technical accumulation in the fields of high-performance chips and computer architecture.

Sun Weiting said that the digital economy has become the core engine of the world economy. The company cooperated with professional institutions to participate in the investment of Taichu (Wuxi) Electronic Technology Co., Ltd. because the company is optimistic about the independent ecosystem of domestic computing power. The active exploration in the investment practice will take a solid step in the company's digital transformation and further cultivate the company's innovation momentum.

　 Application of non cotton fibers

The rapid scientific and technological progress of chemical fiber not only supplements cotton fiber in quantity, but also complements cotton fiber in function and fashion, giving cotton textile products more vitality and innovation. In the context of global warming and increased carbon emission requirements, non cotton fibers with green environmental advantages have gained the favor of many spinning enterprises and become a major weapon of their innovative products.

The picture shows the 100% LSE vegetable fiber yarn newly launched by Zhejiang Dongqi Group. (Data picture)

Zhejiang Dongqi Group recently launched 100% LSE plant fiber yarn, which is made of Lyocell, soft and skin friendly, and has excellent air permeability. In addition, the yarn is rich in color, which can provide customers with a variety of choices, more fashionable.

Polylactic acid fiber with degradable properties has also attracted more attention from cotton textile enterprises. Recently, the commencement of the 100000 ton PLA fiber project of Anhui Huamao Group Co., Ltd. (hereinafter referred to as "Huamao Group") has received great attention from the industry. The total investment of the project is expected to be 3.19 billion yuan, and it is planned to officially put into production in 2025. When the project is completed and put into production, it is estimated that the annual output value can reach 2 billion yuan.

Ni Junlong, Chairman of Huamao Group, said that in order to achieve higher quality development, Huamao Group and Fengyuan Group have reached a strategic cooperation. By giving full play to the technical advantages of Fengyuan Group in the field of polylactic acid and Huamao Group in the textile field, Huamao Group will introduce polylactic acid materials into the textile industry, jointly build a bio based new material industrial park, and commit to the development Research polylactic acid fiber and its related derivatives, and strive to achieve high-quality development on the new track of industrial integration.

Through technical research, the pure yarn produced with polylactic acid as raw material and the blended yarn of polylactic acid with cotton, modal and other fibers have the characteristics of natural skin affinity, bacteriostasis, mildew resistance, UV resistance, flame retardant, and degradability, and have obvious advantages of differential performance with other fiber materials. Ni Junlong said: "The implementation of 100000 tons of PLA fiber production line can provide raw material support for downstream production, and promote the trial production of PLA clothing from sample to real industrial application stage."

(Source: Wei Shiwen, China Textile News)