Fabric Products,Fabric Information,Fabric Factories,Fabric Suppliers Fabric News The epidemic has disrupted the flow of orders. How are these major textile and apparel exporting countries doing?

The epidemic has disrupted the flow of orders. How are these major textile and apparel exporting countries doing?

Affected by the epidemic, the production rhythm of many major textile exporting countries has been disrupted. Coupled with the market opportunities brought by the holiday consumption season, the flow of clothin…

Affected by the epidemic, the production rhythm of many major textile exporting countries has been disrupted. Coupled with the market opportunities brought by the holiday consumption season, the flow of clothing orders has become the focus of attention at home and abroad. What is the situation in major garment exporting countries such as India, Vietnam, and Bangladesh? How much influence does the flow of orders have on my country’s spinning and weaving industries?

India: “Not joining the group” may accelerate the outflow of textile and clothing orders‍

This joint Among the 15 countries that signed the RCEP agreement, India, as one of the founding countries, did not choose to join. Even under the call of other agreement countries, the relevant spokesperson of India still said that “there are important issues that have not been resolved”, so it will not consider joining for the time being.

Previously, due to the impact of the epidemic, textile orders from Indian factories returned to China, which instantly solved the urgent needs of some domestic garment and textile foreign trade factories. With the signing of the RCEP agreement and the reduction of tariff barriers, trade exchanges between the 15 countries that signed the contract will be closer than before. This move will also further promote intra-regional trade, among which textiles and clothing will benefit the most.

Industry insiders said that on the basis of mutual benefit, it is not ruled out that some textile order factories in India will lose orders from agreement countries. With this agreement, more overseas textile orders may flow to factories in China in the future.

Vietnam: Constrained by imported fabrics, there is no hope of achieving the annual export target‍

Vietnam’s “Investment News” recently reported that Vietnam’s industrial The latest report submitted by the Ministry of Trade to Congress shows that the annual export volume of the textile and apparel industry is nearly 40 billion U.S. dollars and requires 10 billion meters of fabrics. However, domestic fabric production capacity is only 2.3 billion meters, and the self-sufficiency rate is about 25%. Most fabrics rely on supplies from China, Imported from Taiwan and South Korea, the domestic garment processing industry only stays in the sewing link of the industrial chain, with low added value and difficult to meet the origin standards stipulated in the Vietnam-EU Free Trade Agreement, so it cannot fully enjoy the benefits brought by the Vietnam-EU Free Trade Agreement.

Since South Korea has signed a free trade agreement with the EU, if clothing companies want to benefit from the Vietnam-EU Free Trade Agreement, they can only import fabrics from South Korea. However, currently only 15.2% of fabrics are imported from South Korea, 54.9% are imported from China, and 12.1% are imported from Taiwan.

The main reason affecting domestic fabric production capacity is that cotton, yarn, dyeing and finishing and other supporting industries cannot keep up with the demand for garment processing, especially the restrictions imposed by the environmental protection department on the development of the dyeing and finishing industry. Seriously restricting fabric production. At the same time, developing fabric production from the source requires huge investment. To solve the 8 billion meter fabric production gap, an investment of US$30 billion is required, which is a bottleneck restricting fabric production.

According to Vietnam’s “Industry and Trade Electronic News” report on November 2, Vietnam’s textile and clothing exports in the first 10 months are expected to be 24.76 billion US dollars, a year-on-year decrease of 9.3%. Exports for the whole year are expected to be US$33 billion to US$35 billion, a year-on-year decrease of 10%. Even though the textile and apparel export market is recovering, it is still difficult to achieve the goals set at the beginning of the year.

The textile and garment industry is the industry in Vietnam that has been most directly affected by the COVID-19 epidemic. The Vietnam Textile and Apparel Association stated that the new crown pneumonia epidemic has caused a double blow to Vietnam’s textile industry, causing export difficulties and interrupting the import of raw and auxiliary materials from China.

Since March this year, demand in European and American markets has dropped sharply, causing Vietnam’s textile and apparel exports to be bleak. Exports fell by 2% in the first quarter, and dropped sharply by 27% in the second quarter. They improved slightly in the third quarter, but still face difficulties. Vietnam’s textile and apparel exports are expected to reach up to US$35 billion this year, a sharp drop of 10% year-on-year.

Vietnam’s Ministry of Industry and Trade stated that due to the shrinking consumer market, textile and garment companies have adjusted their product structure, shifting from the production of traditional products to rapidly adaptable products, such as high-end suits, high-end shirts, and For work clothes, knitted clothing and traditional shirts, etc., to maintain production and business activities.

Bangladesh: The second wave of epidemics in Europe and the United States exacerbates the order crisis‍

According to Bangladesh’s “Daily Star” report, Due to the decline in demand at home and abroad during the COVID-19 epidemic, the profits of most listed clothing companies in Bangladesh fell from July to September. Of the 56 textile and apparel companies listed on the Dhaka Stock Exchange, 39 companies have released their first-quarter financial reports. Among them, 15 companies reported lower profits than the same period last year. According to data from the Bangladesh Export Promotion Bureau, from July to September, the export revenue of Bangladesh’s textile industry fell by 5.78% year-on-year to US$3.88 billion.

Sri Lanka: Exports dropped by 20% year-on-year‍

Sri Lanka’s “Daily Financial Times” reported that Sri Lanka’s garment industry has become Victims of the COVID-19 epidemic, in the first nine months of this year, Sri Lanka’s clothing and textile exports fell by 21.97% year-on-year to US$3.1 billion, which is the lowest level in five years. The highest record was US$3.9 billion in 2019.

According to the Sri Lankan Joint Apparel Association Forum (JAAF), in the first nine months of this year, Sri Lanka’s clothing and textile exports to the United States fell by 22.15% year-on-year to US$1.4 billion; exports to the EU It dropped 21.36% year-on-year to US$1.3 billion; exports to other countries/regions dropped 23.25% year-on-year to US$400 million.

Myanmar: Insufficient supply of raw materials‍

Myanmar Global Star reported that according to statistics from the Myanmar Ministry of Commerce, in the 2019/20 fiscal year Annual garment industry exports reached US$4.28 billion, a decrease of 6.95% from US$4.6 billion in the same period last year.

Myanmar’s garment industry enjoys preferential tariffs when exported to EU countries, so it is the main traditional export item, accounting for about 30% of the total export value.In 2019, due to the impact of the COVID-19 epidemic, the import of garment raw materials was blocked, the international market demand slowed down, and orders were canceled. Negative factors such as this led to the closure of some garment factories and the loss of thousands of employees.

In order to avoid insufficient supply of raw materials caused by the impact of the epidemic on international transportation, experts suggest that the government cooperate with private units to establish a complete supply of spinning, weaving, dyeing, sewing and manufacturing for the garment industry. Chain to deal with.

Jordan: Partial production has been converted‍

Petra News Agency recently reported that the Jordanian Industrial Association said that in the first nine months of this year Jordanian clothing and leather exports amounted to JD 899 million (approximately US$1.27 billion), a year-on-year decrease of 15%. The industry’s exports are expected to worsen in the fourth quarter of this year, with a decline that may reach 25%, and are expected to gradually return to normal in early 2021. Currently, some garment and leather companies in Jordan have turned to producing masks, protective clothing, and protective shoes to meet local demand and create jobs. The industry’s export volume reaches US$550 million and has the potential to create 33,000 jobs.

The “Jordan Times” reported that weekend sales account for 50% of Jordan’s total clothing sales. Preparations for winter sales have begun in September, but currently 90% of goods are piled up in In the warehouse. The clothing retail industry has come to a standstill and merchants have suffered serious losses. Immediate action should be taken to change this uncertain situation.

In order to increase cash flow and cover employee wages, water and electricity expenses and costs, merchants are expected to offer discounted prices this sales season, resulting in fierce market competition. At present, there are about 11,000 stores in Jordan’s clothing retail industry, accounting for 60% of the stores in major commercial centers. The main clothing importing countries are China (accounting for more than 50%), Turkey, India, Bangladesh, Egypt and European countries. </p

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