In order to better understand the direct impact of the new coronavirus pneumonia epidemic on the production and operation of the textile industry, China Textile Federation launched a weekly survey on the resumption of work and production of textile enterprises on March 3. As of 12:00 on April 8, there were 522 households. The company gave online feedback on the company’s start-up status. China Textile Federation summarized and analyzed the weekly report information, reported the latest progress of the industry’s resumption of work and production to the relevant departments and bureaus of the National Development and Reform Commission and the Ministry of Industry and Information Technology, fed back the difficulties and policy demands encountered by the enterprises, and put forward policy and measure suggestions. The resumption of work and production of textile enterprises within the week from April 1st to April 8th is reported as follows for industry reference.
The resumption of work and production of textile enterprises is generally stable, but it is increasingly difficult to maintain a stable start-up situation.
According to the resumption of work weekly report survey data, from 12:00 on April 1 to 12:00 on April 8, a total of 166 companies submitted valid resumption data through an online questionnaire, and the proportion of companies that have resumed work reached 98.8%, which was higher than the previous week The survey results slightly increased by 0.4 percentage points. The proportion of workers returning to work fluctuated slightly this week. The number of workers returning to work in 164 companies that have resumed work reached 278,000, accounting for 90.9% of the total number of employees under normal circumstances, a decrease of 3.7 percentage points from the previous week’s survey results.
The China Textile Federation Office and the Park Office conducted a survey on 28 key textile industry clusters in 13 provinces across the country. As of 12:00 on April 3, a total of 68,000 textile enterprises in the above clusters had resumed production, accounting for 10% of the total. 89% of the total number of enterprises, an increase of 2.6 percentage points from the survey data a week ago; the number of people who have resumed work reached 2.184 million, accounting for 86% of the normal number of workers, an increase of 10 percentage points from the survey data a week ago. Among them, among the 3,939 enterprises above designated size in the cluster, the proportion of enterprises that have resumed work is 98.8%, and the proportion of people who have resumed work is 90.2%.
The situation of resumption of work and production of the small and micro enterprises under investigation remains stable. A total of 64,000 enterprises below designated size in 28 key industrial clusters have resumed work, accounting for 88.1% of the total number of enterprises under the cluster regulations, an increase of 2.4 percentage points from the survey data a week ago; the number of enterprises under the designated scale has resumed work to 1.179 million, accounting for 1.179 million of the normal number of enterprises under the cluster regulations. The number of employed workers was 82.5%, an increase of 11.3 percentage points from the survey data a week ago.
Although survey data shows that the overall situation of textile enterprises resuming work and production this week continues to remain stable, it is affected by the global spread of the new coronavirus pneumonia epidemic. , there has been a serious decline in export orders recently, which has had a great impact on the production and operation of the textile industry. The proportion of companies that have started production still remains high. This is mainly because a large number of textile companies still manage to maintain production despite insufficient orders for the sake of stabilizing employees and fulfilling social responsibilities. It is understood that small and micro enterprises have begun to suspend operations in some areas. In the next two weeks, it will be significantly more difficult for the textile industry to maintain the current stable operation situation, and the proportion of operating enterprises may decline.
The shortage of orders has intensified, and the operating load has begun to decline.
As the global epidemic situation becomes increasingly severe and business shutdowns in developed countries are extended, the downward pressure on orders from Chinese textile companies, especially export orders, continues to intensify. According to weekly reports and cluster survey data, 85.7% of companies and 89.3% of industrial clusters reported insufficient orders this week. Weekly report data shows that 57.1% of the companies surveyed this week reported customer cancellations of orders, an increase of 6.3 percentage points from the survey a week ago.
Among the 166 companies that have started operations this week, the proportion of companies with order volume reaching 80% of the normal situation was 31.3%, a decrease of 2.4 percentage points from the proportion surveyed a week ago; the order volume is less than the normal situation The proportion of 50% companies was 27.7%, an increase of 4.5 percentage points from a week ago. The shortage of export orders is more prominent, with the proportion of companies whose export orders are less than 50% of normal levels reaching 70.2%, an increase of 9 percentage points from a week ago.
The pressure from insufficient end market demand and declining export orders has now been transmitted to the entire industry chain, and textile companies generally face greater operating costs Due to the pressure, the capacity utilization rate that has been steadily increasing since the resumption of work and production began to gradually decline. According to the weekly survey data, among 166 companies that have effectively filled in their production capacity and resumed work, 55.4% of the companies have a capacity utilization rate of 80%, a decrease of 2 percentage points from the proportion surveyed a week ago; the proportion of surveyed companies with a capacity utilization rate of less than 50% It was 9%, basically the same as the survey results a week ago. According to industrial cluster survey data, 42.8% of cluster capacity utilization rates this week were below 80% of the pre-epidemic level.
It is understood that due to the sharp decline in market demand caused by the epidemic, many companies currently have orders in hand and can only maintain short-term operations. It is expected that the textile industry’s capacity utilization level will face further downward pressure in the next two months.
The impact of the epidemic will last for a long time, and insufficient demand is the main contradiction. It is recommended that companies while actively exploring market opportunities should prudently maintain low-speed operations and smoothly survive the difficult period.
Affected by insufficient demand and declining production and sales, many companies have recently experienced inventory backlogs and heightened capital turnover pressure. for recyclingThe demand for funds or the lack of confidence in the market prospects, many companies are shipping at low prices, and the market prices of textile raw materials and products continue to fall, further squeezing profits. Insufficient orders and shortage of funds are the practical problems most frequently reported by enterprises.
China Textile Federation submitted information on the production and operation dynamics of textile enterprises to relevant government departments, feedback on the outstanding difficulties faced by enterprises, and once again emphasized the need to strengthen financial support, reduce the burden on enterprises, start domestic consumption as soon as possible, and support Policy demands for export companies to tide over difficulties.
At present, the overseas epidemic prevention and control situation is still severe, and the lack of external demand and orders caused by the epidemic will continue for a long time. Although my country’s epidemic prevention and control situation is steadily improving, the domestic demand market has not shown rebound growth. The main reason is that due to the need for epidemic prevention, domestic business activities have not yet fully returned to normal, and the reduction in social activities has also affected consumer demand for textile and clothing products. On the other hand, the demand elasticity of clothing products is higher than that of food and daily necessities. Under the current pressure of the economic and employment situation, textile and clothing products have become the target of consumers to reduce spending. The scale of my country’s export industry chain is large, and the domestic and foreign sales industry chains themselves are also significantly different. The growth momentum of the domestic demand market is insufficient, which further increases the difficulty for export enterprises to resell to the domestic demand market. It is recommended that enterprises, while actively exploring market opportunities, should aim to tide over difficult times smoothly, make business decisions prudently, strengthen internal management and control, and prevent and control capital chain risks. At the same time, it is recommended to pay full attention to the support measures introduced by local governments and financial institutions at all levels and actively strive for policy support. </p
