Recently, some people suddenly appeared in the editor’s circle of friends and began to purchase 190T pongee, 210T polyester taffeta and pongee conductive fabric in large quantities. This seems to be somewhat incompatible with the current market. While everyone wants to sell goods to stockpile to raise funds, some people want to purchase gray fabrics of these specifications in large quantities. Moreover, these specifications are also regular varieties and should not be in short supply. What is going on?
Recently, I heard that there are many A large trader has received orders for a total of 130 million meters of 210T polyester taffeta. For a time, the polyester taffeta on the market was sold out, and many weaving manufacturers even sold out the raw material for polyester taffeta!
210T polyester taffeta, 190T pongee, and pongee conductive fabrics leap to new heights “Protection Concept Stocks”
Of course, at the moment when the epidemic is dragging down demand, there are still many hot-selling products. Meltblown fabrics and non-woven fabrics are at the forefront, and the circle of friends is full of them. All kinds of spot ads, the price is one price per day. Non-woven S specifications, 25 grams for example, the market price in the past few days was around 12.5 yuan/meter, but there is basically no spot.
In this case, everyone is looking forward to the emergence of affordable fabrics that can replace non-woven fabrics as protective clothing fabrics. At present, pongee and polyester taffeta fabrics have been recognized by relevant testing agencies as suitable for use as protective clothing fabrics. Some fabric bosses sensed this business opportunity in advance, so they began to stock up on 210T polyester taffeta and 190T pongee. These two specifications of polyester taffeta and pongee are then affixed with PE film to form the finished fabric of protective clothing.
The recent demand for pongee conductive fabrics is also relatively large. It is understood that the specification of this piece of pongee conductive fabric is 75D*75D, with a density of 230T. Conductive threads are added in the warp direction to make it anti-static and suitable for making medical surgical gowns. A trader said: “Two days ago, I sent a piece of pongee conductive fabric to a foreign customer for use in medical surgical gowns. If they confirm the sample, we will find a cooperative manufacturer to produce it.”
Another manufacturer with more than 500 looms also said: “Recently we have received tens of thousands of meters of pongee conductive fabric, which can be completed by the end of the month. Although it is sold to domestic buyers, But the end customers are from Europe and the United States, and the current price of this cloth is about 2.7 yuan/meter (tax included).”
As this wave of anti-epidemic fabrics became popular, market traders also began to rush to buy these types of gray fabrics in large quantities. The shipment and start-up conditions have improved. Some companies even believe that the moment for a large-scale recovery of domestic trade has arrived, but Is this really the case?
Be on guard against the slightest change, beware of copying “halfway up the mountain” again!
In fact, the current price of this type of gray fabric is not that high, but due to the substitution of anti-epidemic products, the demand for it has skyrocketed, and the price has a tendency to rebound. Although pongee and polyester taffeta are currently showing signs of becoming popular again, they are limited to a small number of specifications, and the requirements for protective clothing are relatively high. Not all specifications of polyester taffeta and polyester taffeta are applicable. It seems unlikely that the popularity of several specifications of products will lead pongee and polyester taffeta out of the oversupply situation. At the same time, as the most common type of gray fabric, it may be affected by raw materials and inventory in the later period, and there may be room for unsaleable prices and price declines. Be careful of copying “halfway up the mountain” again!
1. Raw materials: Oil prices have fallen into negative values, it is difficult to rise but easy to fall, and the price is unfathomable
This year’s raw materials are also a mystery. In previous years, there was a wave of price increases for raw materials after the beginning of the new year, but this year they only fell, and kept falling below the bottom line! Every time I think that the raw materials are at the bottom and the time for bargain hunting has arrived, many weaving companies still “buy the bargain halfway up the mountain”. Specifically, the current quotation for polyester filament FDY products is around 5,400 yuan/ton, the quotation for POY products is around 4,875 yuan/ton, and the quotation for DTY products is around 6,700 yuan/ton. Compared with the prices at the beginning of the year, both prices are higher. varying degrees of decline.
Regardless of crude oil, PTA, or terminal demand, there is currently no favorable support, and the probability of polyester prices continuing to decline Still very big. Mr. Hu, who specializes in pongee and cool silk cotton, said: “We suffered a huge loss in raw materials this year. We stocked up a wave of raw materials before the year, thinking that they would increase a bit after the start of the new year. However, due to the epidemic, raw materials alone are now in short supply.” The loss is nearly 3 million, and the order is not good. No matter how low the price of raw materials is now, we will not touch it.”
2 , Weaving: high inventory! There are conflicts between production and discontinuation every day
In the textile industry chain, the weaving market is now the party with the greatest pressure, directly changing from a seller’s market to a buyer’s market. Although raw materials have always been purchased as needed, most of them are purchased in cash. At the same time, workers’ wages, rents, water and electricity are also under great pressure. The most serious thing is the high inventory.��problem.
At present, the weaving market is basically in a state of difficulty in production and sales. During the Qingming Festival, some weaving companies have taken the opportunity to stop some machines, but some companies are still under high load. It’s a dilemma whether to turn off the machine or not. If you turn off the machine, you will face problems such as the loss of workers and bank debt collection. If you don’t turn off the machine, all the products produced will be inventory. If you cannot sell it, it is equivalent to piling money in the warehouse. Although polyester taffeta and pongee of certain specifications are currently in high demand, it is precisely because this conventional gray fabric production process is relatively simple that most of the gray fabric production capacity that has increased in the central and western regions in the past two years is of these types. These products, which are currently in a state of overcapacity in the market, will fill the market again within a few days. As long as customers want it, they can get it.
“The market is still deserted recently. We make four-way elastic and imitation silk fabrics. We have not had many orders recently, and there are very few proofings. The inventory in the factory has been rising. Now we only run half of the machines and let the workers take turns, hoping to survive this month!” said Mr. Shen, the textile boss.
Mr. Xu, another person who specializes in Oxford cloth and specializes in the domestic trade market, said: “Currently, only 2/3 of the machines are in operation, and the inventory is about 1.5 million meters. There is no market. It is very difficult for the market to pick up after signs of recovery. In particular, most of our country’s textiles still rely on exports, but foreign countries are all consuming them in advance. The epidemic has left them with no income and no money to buy. I am not optimistic about the future market, and even I I think this market will continue until the second half of next year. Orders have not improved in May, and we are preparing to suspend production and take holidays.”
It is not only the lack of orders from companies like Mr. Shen who make orders, but also the lack of orders. Weaving manufacturers that rarely produce market products cannot feel the improvement in orders. “In previous years, gray fabrics at this price would have attracted many middlemen to stock up on goods, but now there is still no movement. 300 pongee has dropped to 2 yuan, and there is still no one to buy it.”
No one cares about the drop from 2.30-2.40 yuan/meter in the early stage to 2 yuan. The entire industry chain is bearish on the market outlook. In addition, a large amount of advance capital is required for stocking up, which increases operating risks, leading to the current situation. These “historically low” market goods are also facing a lack of orders.
The market operating rate in Jiangsu and Zhejiang regions dropped to a rare low in April: the market operating rate in Shengze region remained at 60-70%, that in Changxing region was around 70%, and that in Xiao Shao area is 40% to 50%, Haining area is also below 60%, and Changshu area is around 70%. In previous years, March and April were full-scale production, and the average operating rate dropped by about 10% compared with the end of March. Compared with the same period last year, it fell by about 30%.
Some products that are “hot” cannot cover up the general market trend “miserable”!
Every success is a blessing, a loss is a loss! In today’s textile industry, “some people are happy and some are sad” because of the epidemic. Although protective equipment is currently very popular, whether people in the industry or outside the industry see business opportunities, they swarm in, but the quality problems that come with it are also worrying.
Although supply and demand are currently tight, textile bosses have made quick money, but it cannot be ruled out that when the epidemic passes in the future, the bosses who entered the market in the early stage will leave, leaving those who have just entered or are about to enter. Market owners may face product price cuts and overcapacity, and the drama of “hot potato” becoming a “hot potato” is heartbreaking! In the future, the situation of “bad cloth” polyester taffeta and pongee may still not be very optimistic, and the problem of overcapacity is still very prominent. Fabric bosses who produce “bad cloth” need to make relevant plans in advance. Never allow yourself to be passive. </p
