In two months, the price of meltblown cloth has been like a roller coaster: from 18,000/ton before the epidemic, to 520,000/ton in stock, plummeting to 150,000/ton, rebounding to a maximum of 700,000, and finally declining again. ——Some manufacturers have reduced prices to 300,000/ton.
This is the result of the control of economic laws in the huge meltblown fabric market. It also reflects that it is difficult for all things to escape from following the trend and expanding capacity. The overheated market will always return to calm!
This reminds the editor of the 210 polyester taffeta that has been very popular in the market recently!
As the “super big order” hype intensifies in the market, the stocks of 210 polyester taffeta in many weaving companies on the market have been emptied. “Recently, hundreds of thousands of meters of 210 polyester taffeta have been sold in the factory, and the factory no longer has this product in stock!” said a textile boss with hundreds of looms. “I recently went to a dyeing factory and found that polyester taffeta is really popular. It’s either whitening or making blue polyester taffeta.” said a salesperson in the market.
Such a hot market really makes others envious! However, many people are also doubting how much water has been poured into this market.
Continue or pause? The “revitalized” polyester taffeta manufacturers are also in chaos!
A single spark can start a prairie fire! Many textile people also understand that the current market cannot be driven by a few specifications of varieties alone, but the long-term low pressure has made everyone have urgent expectations for the market. Therefore, when the supply of non-woven films on the market exceeds demand, they began to Considering alternative products, the specifications of polyester taffeta and pongee have also become popular.
As the inventory on hand of manufacturers is slowly being emptied, the mentality of these manufacturers is divergent. A few manufacturers with orders in hand are operating at full capacity. In addition to concentrating their own products on producing these specifications, they also outsource manufacturers to increase production capacity.
Of course, there is also a manufacturer that chose to wait and see after selling out its inventory. “All the 210 polyester taffeta in our factory has been sold out, but we don’t dare to produce it anymore. We have too many other products in stock. We have been holding them back for 2 months and we don’t dare to produce more.” A company has more than 500 units in northern Jiangsu. Said the person in charge of the textile company of the loom.
An epidemic in 2020 is destined to make the textile industry extraordinary. In the first quarter of this year, most textile companies faced the dilemma of missing orders. Many manufacturers now have no orders on hand, and their inventories have skyrocketed, ranging from half a month to 2-3 months. In a recent market survey, less than 20% of companies said that inventory has declined, and about 80% of companies still have difficulty destocking.
It can be seen that the inventory burden on weaving manufacturers has not been reduced, which has also led to the operation of most companies Be more cautious. “Downstream orders have not improved much now, and domestic trade orders can come and go quickly. Therefore, we mainly want to clear inventory and withdraw funds.” A market source said.
Profits are very small. Boss Bu said directly: Taking orders can only feed the workers!
The boom in the market has not reversed the fact that the overall market demand is weak, so the price of the product has been falling along with the raw materials. Most cloth owners are selling at reduced prices in order to compete for the remaining resources.
Although some polyester taffeta and pongee specifications are currently selling well, according to manufacturers, although there are many people speculating on prices in the market, most of them are actually selling well in the market now. The transaction was done in cash, so the price was kept relatively low and did not rise much.
The person in charge of a textile company with an annual output of 12 million meters said that due to lower raw material prices and the market There is a lack of orders, and the recent market transaction price is lower than before. Now the price of 190T polyester taffeta is as low as 0.70-0.80 yuan/meter.
Mr. Qian, the owner of another fabric company with 300 looms and specializing in four-way stretch, pongee and polyester taffeta, said: “There has been no big change in fabric prices recently. Because the current price is already very low, customers may give in more if they get more goods, and the profit is already very small!”
Samples monitored from China Silk City Network The company found that the prices of most gray fabrics are still weakly consolidating recently. “Raw materials have been falling recently, by almost 10-20%. There is no way, the market production capacity is still excess. Everyone wants to get rid of some inventory, but how is that possible?” What about price increases?” said Ji Zong, who specializes in the domestic trade market.
The long-term low-price selling has devoured the company’s remaining profits. During the visit, almost no textile boss said: “Raw materials have fallen, and inventory has depreciated sharply. Currently, there is no profit at all in making conventional products. It is just to maintain normal operations and retain workers.”
According to statistics, the current daily profit margin of conventional product polyester taffeta is very small. “A normal loom costs more than 100 yuan per day, but now the profit is less than 10 yuan, which is just enough to support the workers. “Mr. Qian said with emotion.
Over 80% of companies still choose the May Day holiday!
Market The overall situation is “uneven hot and cold”. Although the inventory pressure of some polyester taffeta and pongee manufacturers has been reduced, which has also caused their early May Day holiday plans to be canceled, most textile factories will still implement holiday plans on May Day, even more than during the Qingming period. The holidays are coming even longer!
In the latest questionnaire survey of China Silk City Network, only 15% of the nearly 400 textile people participating in the market chose not to take a holiday, and the rest 85% of manufacturers choose to take a holiday during the May Day holiday. Most of them arrange a holiday of more than 3 days, and a certain proportion of manufacturers choose to take a holiday of more than half a month, far exceeding expectations.
During the research process, everyone’s overall expectations for the upcoming May are also weak. Many textile people have already expressed their doubts about the market situation in the first half of the year. Give up” and place hope on the market in the second half of the year.
Nowadays demand is king and funds are ammunition , so for most companies, it is very important to proceed steadily. Since everyone is moving forward with a heavy burden, don’t be blinded by the short-term popularity…
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