The editor saw the following sales message in the circle of friends. Although the sale of water-jet looms has become the norm, this message is different. The key is to sell the entire factory, not just a few water-jet looms. In short, quit!
01. The business of T400 and cool silk cotton gray fabrics is booming this year, why
Are there any manufacturers clearing the site?
The editor even noticed that the factory originally produced four-way stretch and cool silk cotton, which triggered the editor’s thinking: the overall gray fabric market is sluggish this year, but elastic fabrics dominate the market, with T400, four-way stretch, cool silk cotton and other gray fabrics It is particularly popular. The weaving manufacturers that produce these gray fabrics are in good condition. Why are they being sold just because there is no one to manage them?
Currently, the market orders are coming to an end, so the order volume has fallen sharply. Especially led by T400, the number has plummeted, with a drop of more than 50%! When the editor recently asked a familiar company for a quote for Honor of Kings, he was surprised to learn that the company no longer produces T400, T800 and other series products, but has switched to polyester yarn series. Cool Silk Cotton suffered from the same problem as T400, and shipments began to be sluggish, and the manufacturer’s inventory began to increase. The person in charge of a weaving factory specializing in the production of cool silk cotton revealed that it is difficult to sell the gray fabric of cool silk cotton at present. The gust of wind has passed and it has returned to its original dull state. It seems that the weaving manufacturers that produce T400 and cool silk cotton are also having a hard time. The days of glory are over, and the gradually increasing inventory will indeed become the “last straw that breaks the camel’s back” for small businesses selling machines like the one mentioned above.
02. Low prices, slow sales and inventory forced a small number of weaving factories in northern Jiangsu to suspend production
This year, upstream raw materials have fallen, but for Fabric buyers provide a good reason for counter-offering. When raw materials fall, fabric prices also fall. However, the decline in fabrics exceeds the decline in raw materials, which compresses traders’ profits. In addition, fabric manufacturers have to lower prices from weaving manufacturers to reduce the price of gray fabrics, thereby alleviating cost pressure. Weaving manufacturers are crying, but their costs cannot be reduced. Although the raw materials are at a low level, they cannot withstand price reductions.
The peak season is not busy, and the off-season has arrived early. The tepid market has reduced the shipment volume of gray fabrics, while the production volume has already been excessive. In particular, hundreds of new machines in peripheral areas are in normal operation, and many trucks transport gray fabrics to Jiangsu and Zhejiang areas every day. Excess production capacity has also made competition in the weaving market more and more intense, and the phenomenon of price competition still exists and is getting more intense. Mountain-high inventories have made it difficult for weaving companies to breathe, and they can only save themselves by selling goods. However, such operations have further disrupted the weaving market. Under such high pressure, the editor heard that several weaving factories in northern Jiangsu have stopped production. It is inevitable that some companies will be unable to survive and have to sell their machines.
03. Clearance is only an isolated phenomenon, and the textile market still has room for growth
Cloth bosses, there is no need to panic, although This year’s textile market is indeed average, but the reality is not as bleak as the rumors. After September, although the peak season is not busy, the market has still recovered to a certain extent. Until now, the market is still considerable.
Stretch fabrics have weakened, but some fabrics have begun to strengthen. Recently, imitation silk cut-out fabrics have become more prominent, and orders are being placed one after another. According to a weaving manufacturer that specializes in cutting flowers, it has been receiving orders every day recently, and the orders have been scheduled until January next year. This year is generally good, with orders coming in intermittently. The fabrics of the polyester yarn series are also better, and are sold every day. Some weaving manufacturers have begun to follow the trend in production. As for the market outlook, the cold air that Boss Bu has been waiting for has finally arrived. Once clothing sales increase, re-orders will come down again, and the market will usher in another wave of boom. As the end of the year approaches, end customers will also speed up ordering and complete fabric production before the Spring Festival so as not to delay the launch of new clothing next spring.
Market outlook
Taken together, the market will not be too bad in the remaining one and a half months. According to the clothing production cycle, the current production of spring and summer fabrics should be important stage. Judging from the current orders received, the demand for clothing next year is relatively considerable, but factors such as actual terminal demand, trade news, and changes in raw material prices cannot be ignored.
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