With the spread of the epidemic around the world, my country’s textile industry The industry has been greatly affected. Will foreign trade, which was already affected by the Sino-US trade war last year, collapse? What are the thoughts of those companies that want to switch domestic trade to foreign trade when the country is affected by the epidemic? Should the textile industry this year focus on domestic trade or foreign trade?
1. Is the domestic clothing leader on the verge of bankruptcy? Business in the upstream textile industry is bleak, and domestic trade is difficult to do…
A Mr. Wang who mainly engages in domestic trade said: “There are so many people raising fish, and eating fish There are fewer people. Due to the impact of the epidemic, the current situation of the clothing industry is not optimistic. The demand in the downstream clothing industry has become low, which has led to the bleak business of our textile industry. March was originally the spring of imitation silk, but now it is hard to say, even if it is Work has resumed, and business is not as good as before.”
It is true that domestic trade requires a lot of varieties, and the quantity is small, not to mention that the market situation in 2019 is obvious to all, although the areas around Wujiang have been eliminated There are a large number of water-jet looms, but the number in peripheral areas has increased significantly and even far exceeded the original number. In addition, the machines are fully operated and there is overcapacity. The low demand for clothing has caused a backlog of gray fabrics. The supply far exceeds the demand and the price of raw materials is unstable, which makes the market It’s even more of a mess.
This year’s domestic trade market has been “stagnant” for a month due to the impact of the epidemic. Being too optimistic about domestic trade is a double blow. Last year, many well-known domestic brands turned on the “red light.” For example, La Chapelle, which can be seen everywhere in major shopping malls, suffered serious losses. The number of domestic operating outlets has dropped from 9,269 at the beginning of the year. At the end of the year, there were more than 4,800 stores, with an average of thirteen stores closing every day. Even Metersbonwe, which was popular for its “unconventional approach”, suffered heavy losses. It can be seen how difficult it is for the domestic textile industry to take this road now, and it has also given a blow to the upstream textile industry. Now that domestic trade is so difficult to do, many textile bosses have turned their attention to foreign export trade, which has less demanding product requirements.
2. As the global epidemic spreads, one after another, will foreign trade plummet this year?
Since my country’s accession to the WTO, textile exports reached US$165.14 billion in 2006, pushing my country’s textile export trade to its peak. More textile companies are actively developing foreign trade. However, in recent years, this trend of foreign trade has The boom is developing more and more slowly, which is in sharp contrast to the previous surge…
1. Review of the foreign trade situation in 2018 and 2019
Although the international trade pattern was complicated in 2018, the trend was relatively stable and stable, maintaining the growth trend of previous years. In 2019, the Sino-US trade friction had a great impact on the development of foreign trade. At the beginning of the year, foreign trade ushered in a small wave of “spring”, but it did not last long and the total volume was not large. After the Spring Festival, the number of orders received is still lower than that of the same period in 2018. September ushered in the peak textile season, and with Christmas approaching, foreign trade gradually began to pick up. November is back to square one. After December, foreign customers once again placed concentrated orders in order to complete orders before the Spring Festival. The Sino-US trade war has made foreign trade less optimistic in 2019.
2. Back to the current foreign trade situation in 2020
At the beginning of 2020, China and the United States signed the ” The Economic and Trade Agreement between the Government of the People’s Republic of China and the Government of the United States of America” The Sino-US trade war has come to an end, and foreign trade has indeed improved. When everyone predicts whether foreign trade will usher in new hope in 2020, Japan, South Korea, Italy, etc. The epidemic began to break out in China, which brought foreign trade back to the bottom. In 2019, my country’s textile exports to Japan reached 19.9 billion U.S. dollars, making it the fourth largest textile exporter after the EU, ASEAN, and the United States. Although South Korea’s exports were not as large as Japan’s last year, they still had an export volume of US$2.74 billion. Now South Korea and Japan are affected by the severe epidemic, which has had a greater impact on textile exports. The impact of this year’s epidemic on textile foreign trade is no less than the impact of last year’s Sino-US trade war.
A Mr. Wang who is mainly engaged in foreign trade said: “The domestic epidemic was severe before, and the factory exported Goods may be delayed. Although the epidemic has spread abroad, there has been no customer cancellation of orders. The focus will still be on foreign trade. The main problem now is that factory shipments are slow, but there is no guarantee that customers will not Cancel the order, after all, how long will this epidemic last?The time is still unknown. ”
In the face of the epidemic, both foreign trade and domestic trade have been affected to some extent. Zhong Nanshan predicts that the epidemic will last until May. Although companies have resumed work, in fact, now It has not reached what everyone expected. Now that the epidemic is raging abroad, this year’s textile export trade may not even have a slow growth trend. The entire textile industry may not return to normal levels until May or even mid-May.
Now that the epidemic is spreading across the country, it will be more difficult for textile companies to do both domestic and foreign trade this year. The editor feels that in this situation, everything is still unknown. In fact, what we should be most concerned about is not switching from domestic trade to foreign trade or from foreign trade to domestic trade, but working hard to make our own products better and develop new markets. Only in this way, whether it is domestic trade or foreign trade, will not be a problem.</p
