Recently, a copy of the minutes of a meeting of the Guangdong Provincial Transportation Group circulated online went viral on WeChat Moments. The minutes of the meeting stated that on the afternoon of March 18, 2020, the Guangdong Provincial Transportation Group’s station removal work leading group held a meeting to promote the key work of the tenth campaign to cancel the provincial boundary toll stations on expressways.
The meeting mainly emphasized that “superiors have made it clear that the time node for resuming high-speed charging will be before April 30.”
Another “Notice on Recent Toll Management Situation” document shows that according to the spirit of the latest meeting of the Ministry of Transport, highways The highway is expected to resume normal toll collection in early April 2020.
It is understood that the Ministry of Transportation has previously issued a document stating that starting from 00:00 on February 17, 2020, to the State Council The approved end time of epidemic prevention and control work is the end time (tentative time is 24:00 on June 30), and national highway tolls are exempted. However, this time setting is only temporary. Depending on the progress of the epidemic, the deadline may be advanced or delayed.
The resumption rate is rising, and highways are returning to normal day by day
At present, the domestic epidemic has been effectively alleviated, and it is basically in line with the previous prediction of Academician Zhong Nanshan. The domestic epidemic is expected to be basically controlled by the end of April. Therefore, it is reasonable and has certain basis for the relevant provinces to notify the resumption of highway toll collection in advance.
The improvement of the epidemic also means that more companies are gradually resuming work and getting on the track of normal operations. According to public data, the resumption rate of industrial enterprises above designated size across the country has increased rapidly, and the resumption rate in many provinces is already above 99%. Among them, Guizhou has achieved 100% resumption of work on February 25, Chongqing is close to fully resuming work with a resumption rate of 99.9%, and Shanghai’s resumption rate has also reached 99.5%. Of the 1,894 industrial enterprises listed on Dalian’s designated scale, 1,838 have resumed work, with a resumption rate of 97%.
As a major province in chemical fiber and textile trade, Guangdong Province has a resumption rate of 86.7% and a resumption rate of 81.8%. , the resumption rate of industrial enterprises above designated size is 98.8%; a total of 26,088 industrial enterprises above designated size in Shandong Province have resumed work and production, with a resumption rate of 99.7%, and the number of resumption of work is 4.8471 million, accounting for 92.1% of the total number of employees. The resumption rate of the chemical industry in Jiangsu, Zhejiang and other places is also rising day by day.
More provinces, cities and regions are gradually getting back on track, and the logistics and transportation industry has also recovered. It is reported that more than 3,800 key logistics companies in Shandong Province have a resumption rate of about 90%. , According to this situation, the number of high-speed vehicles will double and become normalized day by day.
On March 21, news from the Municipal Transportation Comprehensive Administrative Law Enforcement Corps stated that on March 20, the traffic flow of the entire Chongqing expressway network reached 803,964 vehicles, a year-on-year increase of 15.22% .
On March 20, Si Jiajun, deputy director of the Shandong Provincial Department of Transportation, stated that since January 24, Shandong’s highways have reduced tolls by a total of 3.155 billion yuan. The province’s highway traffic volume continues to grow, with the total number of exports reaching 1.075 million on March 18, returning to the same period last year.
Toll collection resumed, costs increased again, and textile and chemical fiber companies swallowed “tears” The bitter pill of rising costs
In the more than a month since highway tolls were waived, I believe that what impressed many companies and drivers the most was the drop in freight costs. Some shippers even directly After tolls are deducted, the shipping fee will be quoted.
As the national epidemic prevention and control situation continues to improve, and various industries resume work and production in an orderly manner, the highway system will gradually and orderly return to normal operation. Come in.
If various regions subsequently follow the footsteps of Guangdong Province and resume collecting high-speed tolls, the transportation costs of textile and chemical fiber companies will rise accordingly.
But these days, who dares to increase the price? Textile and chemical fiber companies have to tearfully swallow the bitter pill of rising costs again.
Traditionally speaking, textile companies have always been in a state of low profit as an industry with overcapacity. In order to survive, when the cost of a certain item is increased, some companies will suspend it by increasing the selling price. Pressure, because only in this way can we achieve a slight profit, or at least “not lose money.” But now that the overseas epidemic has worsened and raw materials have fallen again and again, the price increase has been minimal.
Industry insiders said that the entire industry chain has not yet fully recovered, and has not even returned to the level of the same period in 2019. In addition, downstream demand continues to be sluggish, and rash price increases are not only unprofitable. , On the contrary, it is possible to lose customers and cause certain losses to your own business. Some textile bosses said that they will encounter order cancellations and low-price sales after the year!Living every day is like walking a tightrope!
1. The price of raw materials has dropped terribly!
After the current contradiction between insufficient production capacity and tight supply has been perfectly transitioned, new contradictions have emerged again, doubling the pressure on the domestic textile market. One of the aspects is the continuous decline in raw materials. The bottom-line decline has made the textile boss very uneasy: Now I receive notices of price drops from raw material factories every day, and I have become numb!
Compared with the same period last year, the current price of the entire raw material market is “depressing”, and the price center of polyester filament continues to decline. , has even hit a low in recent years, with product prices falling close to 25%–35%.
The industry chain has the habit of stocking up before the Spring Festival. The average raw material stocking cycle of manufacturers is about one month. In a declining environment, the costs of enterprises have increased virtually.
2. The decline of gray cloth is 10-20%: one meter of production is lost!
In March, faced with the rising prices of polyester filament, many textile bosses were looking forward to price drops to reduce weaving costs. However, faced with such a “waterfall” “Style” plummeted, and the textile boss shouted: Please don’t fall, if it falls again, it will collapse!
According to the analysis of monitored sample enterprise data, before the Spring Festival in 2020, the raw material stocking cycle of weaving manufacturers is about 20 days. Judging from the production and sales of polyester filament, only production and sales exceeded 100 on March 3, and the average production and sales of the rest remained at a low level of 40-50%.
The current sales environment comes from two pressures: on the one hand, raw material prices continue to drop, causing customers to lower prices; on the other hand, demand is poor, and there are negative reports in both domestic and foreign trade markets. News, new orders were not being placed smoothly, and previously received orders were canceled, causing the market to begin to run out of inventory. Based on the prediction of the panic in the market outlook, Boss Bu lowered prices to remove inventory in advance.
“There are more customers calling to inquire about prices this week, but actual orders are obviously not as good as in early March. Now that raw materials have fallen, our products have generally fallen by about 0.20 yuan/meter. Some stocks with large stocks will drop even more. Although these are produced with high-priced raw materials, we have to drop them!” said Mr. Wang, an imitation silk owner.
The current price of 210T polyester taffeta has dropped from 1.30 yuan/meter last year to the current 1.10 yuan/meter, a decrease of 15%;
75D glossy satin dropped from 2.30 yuan/meter to 2.10 yuan/meter, a drop of nearly 10%;
A textile boss said that the current decline in gray fabrics far exceeds the decline in raw material costs. As a result, there is a lack of profit margins and a situation where “every meter of production is lost”.
3. What is more terrifying than the price drop is: the customer has Discontinued!
Recently, a large number of well-known brands have announced the suspension of production: Hermès, Gucci, Chanel, Patek Philippe and other well-known global brands have announced the suspension of production, and many well-known foreign clothing brands such as ZARA have also announced the closure of overseas stores. Stores and foreign demand have been blocked, which has led to recent order cancellations and suspensions, which have had a lot of impact on both manufacturers and traders.
As early as the beginning of construction, many foreign merchants who placed orders years ago also specifically followed up on the orders and requested supply. The company wanted to complete the order as early as possible, but after the company worked hard to complete the work, it suddenly received a notice of cancellation of the order a few days ago. This has become a “common problem” in the industry!
“I was rushing to deliver the goods before, and finally got the order out of the printing factory, but I was picky and said it was not qualified. Originally, these situations would not happen! I don’t know what the customer is. I’ve wanted to cancel it for a long time but it’s still too difficult!” A trader said helplessly.
Not only foreign trade companies, but also the domestic sales market have encountered many problems. At present, major domestic professional markets are recovering slowly, and many textile companies have entered a stage of few or even no orders.
You can’t make money even if you have a business, you will lose whatever you sell
Against this background, the resumption of toll collection on expressways in Guangdong Province can be said to be a certainty, while it may be the general trend for other provinces to resume toll collection in advance. Faced with the above situations, the textile industry is facing tremendous pressure. “You will lose whatever you sell. If you don’t sell, you won’t be able to last long!” said the owner of a textile factory in Jiangsu and Zhejiang! Words such as “embarrassing” and “bitter” may no longer be enough to describe the “sadness” of this textile boss!
Under the situation of “domestic and foreign troubles”, Chinese textile enterprises, which have always dominated the world with “cost advantage”, are facing unprecedented challenges! The editor hopes that everyone will understand and support each other in this difficult environment. Please be kind to us textile suppliers! </p
