As the Spring Festival approaches, the textile market has also begun to wrap up. However, because the products produced by companies have different strengths, polarization still exists, and the market also has different feelings for them.
Turn-on rate drops
At present, the operating rate in Jiangsu and Zhejiang has dropped to about 68%. According to interviews and surveys, it was found that manufacturers that produce spot goods are running at a high level and are still producing normally, while some companies have shut down for holidays due to factors such as rising raw material costs and low orders, as well as the impact of the Spring Festival holiday that has caused workers to return home.
Mr. Shen, who specializes in workwear fabrics, said: “The factory’s operating rate is very high, 90-100%; if orders are not good, the market will be bad.”
Mr. Zhang, who specializes in polyester products, said: “Due to various factors, it has been shut down.”
The polarization of taking orders and delivering goods
Mr. Zhang, who specializes in polyester products, said: “The inventory is normal, lower than the previous period, and goods are generally sold, mainly polyester products. The market is quite weak, and there are no orders.”
Mr. Shen, who specializes in workwear fabrics, said: “There are hundreds of thousands of meters of inventory, and it is difficult to sell the goods in stock. There are no new orders, and the quantity has decreased compared with last month.”
Mr. Jing, who specializes in clothing fabrics, said: “There is no inventory. It’s all orders. You can buy as much as you want. I heard the market is pretty good. Our company has received a new order of 400,000 meters, which is quite big. It’s the same as last month. It’s a lot more than that.”
Domestic sales orders have picked up slightly recently, and orders from the export market have also begun to be released. Compared with last week, the overall number of shipments has increased slightly. As the operating rate declined, the increase in gray cloth inventory decreased, with gray cloth inventory rising to about 33.8 days.
The market is obviously divided. Under the influence of the Spring Festival, domestic sales orders have increased slightly, and the foreign trade market has improved a bit. Not long ago, the editor saw foreign customers negotiating business in foreign trade companies. However, there are also some companies that have few orders due to reasons such as uncertain delivery dates. Nowadays, imitation silk is in hot demand. The boss who produces imitation silk whom I surveyed not long ago said that domestic sales of imitation silk have been good recently, and some raw materials of certain specifications need to be queued up to buy. Now some foreign trade companies say that in terms of foreign trade, imitation silk is also improving.
Mr. Jing, who specializes in clothing fabrics, said: “There seems to be more orders in the market because the dyeing factories are very busy. The orders must have also increased, and the dyeing factories are rushing to order. Spring and summer fabrics have been launched, and there is more imitation silk.”
The dyeing factory is busy, following the holidays
Mr. Jing, who specializes in clothing fabrics, said: “There seems to be more orders in the market because the dyeing factories are very busy. The orders must have also increased, and the dyeing factories are rushing to get orders.”
Mr. Shen, who specializes in workwear fabrics, said: “The factory has a holiday and the dyeing factory is on holiday. The sales department will be postponed for a few days, around the 22nd. I heard that the printing and dyeing side is very crowded.”
Some companies also say that the dyeing factories they cooperate with are not too busy and the shipments are faster. Mr. Zhang, who specializes in polyester products, said: “The factory has been on holiday and the dyeing factory is shipping quickly.”
According to Silkdu.com, as the Spring Festival approaches, factories have begun to stop collecting blanks and take holidays. It is precisely because of this that the terminal is forced to release some orders, which makes the current market pick up. The operating rate of printing and dyeing factories increased slightly to 73% this week. Many dyeing factories have experienced warehouse outages, the number of gray fabrics entering the warehouse has increased, production has become crowded again, and the delivery time is about 8-10 days.
All in all, as many companies are finishing their business, order continuity has weakened. Most of them are uncertain about the market outlook, but they all have a positive attitude. Overseas epidemics will remain an important factor in determining next year’s market conditions.
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