Do you still remember the crazy Memory T400 half a month ago?
The cloth bosses from Keqiao, Shengze and Zhongda rushed out to grab this piece of cloth. It was hard to find and it became very popular!
For such a popular product, half a month has passed. How is the situation now?
It has only been half a month, but the Memory T400 has already been left out…According to the editor After understanding it, not only this memory T400, but also conventional products such as pongee, gallbladder, and imitation silk are now unsaleable! What are the reasons for this?
There is excess water spray production capacity and the market cannot sell goods
As the end of the year approaches, most of the orders have been taken, and there is little improvement in market goods. Most cloth owners said that this year’s market situation will be like this, and there should be no more “hard-to-find” rushes. “Our current orders can basically reach this point before the Chinese New Year,” said Manager Xu of Wujiang Chenlong Xinsheng Textile Co., Ltd.
At this time in previous years, there would be more orders for the imitation silk series, but this year, unexpectedly, the orders for the imitation silk series are much less than in previous years. , this year’s market is really cold, profits are low and there are not many orders, and there is no sales volume. A manufacturer specializing in imitation silk in the Shengze area said this.
In addition, Boss Li of Shuosen Textile Co., Ltd. also said that the current fabrics cannot be sold. Coupled with the sharp drop in raw materials, the 300T-400T anti-velvet gall fabric dropped by 0.3 in the second half of the year. -0.4 yuan. Recently, pongee, nylon and other series of products have also dropped by about 0.2 yuan. But still can’t sell it.
The reason, I think, is because of the transfer of water-jet looms in recent years. In the past three years, 100,000 water-jet looms have been eliminated, but the peripheral production capacity has exploded by 200,000! And this part of peripheral production capacity actually increased in the second half of the year. One can imagine how much impact this has on the gray fabrics in the local market!
It is understood that labor costs in other places are about 70% of those in Shengze. In terms of rent, some areas have discounts on site rent for some large factories. The local water and electricity prices are similar to those here. Although the transportation costs are higher, the production cost difference per unit of gray fabric is 0.2-0.7 yuan. Due to the low cost, the price of peripheral fabrics will also be higher than that of local weaving enterprises in Shengze. Similar products are cheaper.
There were not many orders in the second half of this year, and with the increased capacity transferred out, it immediately had an impact on Shengze’s local market!
Weaving enterprises have entered a tired inventory cycle
In the past month, polyester yarn has dropped by nearly 2,000 yuan/ton. At this time, customers will Asking for price reduction, but we know that each weaving factory now has a certain purchase cycle, usually 1-3 months. In other words, many of the polyester yarns used in weaving fabrics are high-priced raw materials in the early stage, so the price will drop again. , which is a loss. Therefore, when the two parties failed to reach an agreement, the order was lost. As a result, the trading atmosphere in the market is average, production and sales are unbalanced, and weaving companies enter the market.��Inventory stage.
There are also some factories that see increasing inventory and choose to sell at reduced prices. “You will lose money if you sell, and you will lose even more if you don’t sell.” This is the sentiment of most bosses.
Conclusion
From this point of view, most of the products currently on the market are The poor sales are also affected by the market environment. Many orders are completed in the first half of the year, and can only be “cool” in the second half of the year. It has entered December, and there are still 1 or 2 months to prepare for the New Year. The market situation this year is just like this. The goal now is to get rid of more inventory, so that the money floating outside can be recovered smoothly… </p
