I heard that a foreign manufacturer sold 2 million meters of 50D high-elastic lining.
The general market price is 1.3-1.4 yuan/meter, but the price of this manufacturer is only 1.15 yuan/meter.
Isn’t this a super sale?
Since the beginning of this year, there have been very few cases of selling goods compared to the previous two years. Although it is difficult for fabric prices to rise this year, textile bosses are doing less and less loss-making transactions.
Most of the occasional sales are to clear inventory, but this time it is a little different.
It was either a sell-off or a liquidation, and I went bankrupt.
In fact, the price of 1.3-1.4 yuan/meter for 50D high-elasticity is not profitable in the current market. Now some manufacturers offer prices that are much lower than the market. Naturally, there is a story in it.
“This boss has gone bankrupt, so he is clearing out his stocks at a low price. Money is just a number. It would be great if he can clear out all his stocks.” said a market person. Due to the frequent occurrence of special circumstances in recent years, coupled with the sluggish market and fierce market competition, many small factories are under great pressure. Even though they only have one or two million meters of inventory, this seems to be only available to large factories. It was just the tip of the iceberg, but it was enough to make them unable to breathe.
Low-price orders and meager profits cannot support the high labor costs of water and electricity. Now that the market has entered the off-season again, orders are decreasing day by day. Under double pressure, for small factories, declaring bankruptcy may be their best choice.
However, no snowflake is innocent in an avalanche. The reason why this textile boss can’t continue is not just because it is the off-season and the market is sluggish. There must be other reasons besides the first time. Small and medium-sized textile bosses don’t need to overdo it. Anxiety, when the peak season comes, orders will naturally come. It is the off-season now, so the market will naturally be deserted. It is inevitable to reduce the number of startups. If it survives, it will be prosperous.
Survive adversity, and those who survive are strong!
In the development process of the textile industry, there are many short-lived products and companies, but at the same time, this industry has never lacked star products and companies with strong vitality.
Naturally, there are ways to survive the off-season. Whether it is reducing startups or R&D and innovation, these are very effective methods in the off-season. Textile bosses must not only be sensitive enough to the market and be able to discover popular varieties in time; they must also be rational enough to see through Fashion cycles of fabrics. Know how to go with the trend and see the future through the present; but also stop when enough is enough. Those who want to make every last penny will be ruthlessly trapped in the end.
In the early days, the price of products such as nylon spinning was low due to overcapacity. Although its current sales are not very good, there are fewer people producing this fabric, which means that its production capacity has become less. Even if it The current sales volume is not very good, but it is hard to say what will happen in the future. As the production capacity decreases, the price will naturally increase. Isn’t there hope in this?
Of course, it is impossible to stop production, and everyone knows the losses faced by stopping production. I believe that no textile boss will choose to stop production unless it is a last resort, but a moderate reduction is still very desirable.
So the Dragon Boat Festival holiday is here, why don’t textile bosses take this opportunity to take a break, take a break, and welcome the peak season full of hope?
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