Turmoil! turmoil! turmoil! The market continues to be turbulent, and companies are suffering terribly from this! Companies that were supposed to stock up on goods no longer stock up on goods! Scared! The company we were supposed to cooperate with has stopped! This year, due to environmental protection and power rationing, the epidemic hit so violently that people were caught off guard and had no time to adjust, let alone have time to slow down. The ever-changing situation has brought about not only outrageous situations where the cost side has surged and plummeted, but also the demand terminal has been flat. Everyone has tightened their belts and dared not take action.
I’m so scared! Who is still stocking up?
Mr. Lu, who mainly sells T400, said: “Currently, all the machines in the factory are running and there are no orders. We sell raw materials in stock, but the business is not good. Moreover, the raw materials in the early stage have not been used up, so we will not stock up on polyester yarn.”
Mr. Qiu, who specializes in polyester products and rayon, said: “Currently, all the machines in the factory are running, and the order volume is average. We have almost used the raw materials in the early stage, but we will not stockpile them. We can use them as we buy them.”
Mr. Wu, who is mainly engaged in clothing fabrics, including pongee, Nylon, Taslan, etc., said: “We don’t have a factory, but we will cooperate with other factories. The order volume has dropped, and now they are all small orders of several kilometers. At present, It’s the end of the year, and I don’t plan to stock up. I’ll wait until there are orders during the New Year to buy raw materials and provide them to manufacturers for production.”
Although all the machines of the companies under investigation are fully operational, the boss also said that there is nothing he can do if they do not operate. It does not mean how good the business is. It is more difficult not to operate. Moreover, due to the epidemic this year, many factory workers have chosen to go home early, and future employment will also be a problem. Nowadays, companies have no orders and are not stocking up. In addition to the end of autumn and winter fabrics, the slow start of spring orders is more affected by environmental factors, early overdraft of orders, and excessive changes in costs.
At present, because PTA follows the increase in oil prices, the price of polyester yarn is on the rise again. Although the fluctuation is not large, for companies that have experienced the ups and downs of polyester yarn in the early stage, they can only frown. After all, it was not expected to happen this year in the past. These situations are rare, so it’s wise to buy as you go. Moreover, the market is too bleak, and there is obvious serious inequality in the inventory and volume of enterprises.
Mr. Lu, who mainly sells T400, said: “The company’s inventory is currently about 35 days; an increase of 60-70% compared with the previous period. The delivery situation is not very good, and only 20-30% of the output is delivered every day.”
Mr. Wu, who specializes in clothing fabrics such as pongee, nylon, and Taslon, said: “The company has no inventory, but we know that other factories have increased their inventories, and the overall market is not selling well.”
Mr. Qiu, who specializes in polyester products and rayon, said: “The company’s inventory is currently around 2 million meters; the delivery situation is not very good.”
Gray cloth prices have dropped significantly
In the early days, the cost of gray fabrics rose sharply, but now it has fallen miserably. It can be said that it has hit rock bottom. Due to the sluggish market, many manufacturers are selling goods, and competition is fierce. Some gray fabrics cannot even keep their capital, leaving the boss We want to cry but don’t have tears. After all, if we don’t throw it away, it won’t turn into money if we put it in our hands at the end of the year. This also strengthens the bosses’ idea of not hoarding goods.
Mr. Qiu, who specializes in polyester products and rayon, said: “The price of gray fabrics has changed and the overall market is not good. There are no new orders.”
Mr. Lu, who mainly sells T400, said: “Recently, the price of gray fabrics has dropped to 0.3-0.4 yuan/meter for regular products and 1 yuan/meter for special products. The current shipments are mainly replenishment orders from old customers, and the quantities are not large. ”
The epidemic troubles trading companies
As the epidemic situation in Zhejiang escalates, many companies in Zhejiang have been notified and have suspended production. Zhejiang is a major printing and dyeing province, which has greatly impacted the textile industry. Although we visited companies, they said that orders from Zhejiang have not returned and have little impact on Shengze companies. , but there are also trading companies that have complained.
Mr. Lu, who mainly sells T400, said: “There is no backflow of orders. The gray fabric itself is sent from the Shengze market to the Shaoxing market. There is no backflow. It can still be shipped. There is no impact, but it is also because the entire market is relatively weak now. , the closing stage, so there is basically no impact.”
Mr. Wu, who specializes in clothing fabrics such as pongee, nylon, and Taslon, said: “There is no return of orders; there may be some when the market gets better later, but they will mainly look for manufacturers with similar prices; logistics can be Those who leave the province cannot do it.”
Mr. Qiu, who specializes in polyester products and rayon, said: “Yes, mainly because the delivery date has been affected, especially the shutdown in Shangyu District, and arrangements have been made to withdraw the warehouse.”
For trading companies, some factories in Shangyu District have stopped working, resulting in some companies being unable to deliver goods on time. They can only arrange returns and find new manufacturers.But for weaving companies, there is almost no impact. In terms of market outlook, most textile companies are not optimistic. The overseas epidemic situation is still severe, which may undermine market confidence, so the market outlook is slightly pessimistic.
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