The current COVID-19 epidemic is gradually shifting from the peak period to the control period. With the exception of Wuhan, new confirmed cases and new suspected cases across the country have begun to show an inflection point. The impact of the epidemic will eventually end, but the huge economic and social costs and resulting impacts will continue, and may even become a catalyst for innovative changes in the economic structure and enterprises. Faced with the impact of the epidemic, how have textile machinery companies been affected? How will companies reduce these impacts? What are your plans for the future? Let’s listen to the business experiences of six textile machinery experts.
Zhengzhou Textile Machinery Engineering Technology Co., Ltd.
Party Secretary and General Manager Li Quan
Escorting key raw materials and equipment for protection
Reporter: How do you assess the impact of the epidemic on business operations?
Li Quan: The impact of the epidemic on business operations is far-reaching and significant. The recovery of overall production is estimated to take two to three months, spanning two quarters. For Zhengzhou Textile Machinery, which mainly focuses on long-term products, it will be more difficult to deliver orders in hand during the year, and individual contracts face performance and execution risks. At the same time, new orders have been unable to be communicated and implemented in depth during the epidemic, and they are also facing huge pressure from downstream uncertainty.
Despite facing various difficulties, in the face of the epidemic, we must have the responsibility and responsibility as a member of a state-owned enterprise.
In order to ensure the normal operation of the equipment of chemical fiber and non-woven customers engaged in protective clothing, mask materials and other medical materials, during the Spring Festival, more than 40 people from the company were at the user site for installation, debugging, guidance and driving and have not yet returned to the company. Provide all kinds of service support within our capabilities for enterprises that do not stop working during the Spring Festival, such as Xiamen Yuzhong, Yatai Senbo, Shandong Yongxin, Shenzhen Wenwen Medical, Jinsanfa, Zhengzhou Yuli, etc.
Affiliated company Hengtian Jiahua resumed work at full capacity during the Spring Festival. The cumulative production of medical non-woven raw materials exceeded 1,700 tons and the production of masks exceeded 5 million pieces. The current production capacity has reached 1.1 million pieces/day.
In addition, according to the unified arrangements of the National Development and Reform Commission, the Ministry of Industry and Information Technology and the State-owned Assets Supervision and Administration Commission, Zhengzhou Textile Machinery is working overtime and day and night to develop protective clothing layering machine equipment that is urgently needed in the market. 2 On March 19, the company held a press conference for the intelligent hot air seam sealing machine. In the afternoon of that day, the first batch of 10 protective clothing layering machines were sent to the five medical protective clothing manufacturers designated by the Ministry of Industry and Information Technology. According to the production schedule, 270 pressers can be mass-produced by the end of February.
We are deeply proud and honored to be able to provide some key raw materials and equipment for protection against this epidemic. We have never felt that we are so closely connected to the destiny of the country and the nation as we are today! It doesn’t matter if it’s a bit hard or a bit tiring. At the same time, we have an unshirkable responsibility to protect the life, health and safety of every employee. The task is arduous, and we are always tightening the string of safe production. We hope that everyone will work together to win this battle against the epidemic as soon as possible.
Reporter: What subsequent measures will the company take to restore growth or find new growth points?
Li Quan: Zheng Textile Machinery is already planning the later production and operation work, arranging R&D and craftsmen to carry out design work on new products for existing orders in advance, and arranging procurement personnel to work with the main supporting equipment Enterprises should contact and communicate to obtain the first-hand information on their resumption of work and production, order long-term parts and components in an orderly manner in a timely manner, arrange sales personnel to check the information in a timely manner, and make early online communication and preparations. Actively plan the product development direction and reform ideas after the epidemic is over, and hope to be able to plan in advance and seamlessly connect.
After fully resuming work, the company plans to use overtime shifts and shorten subsequent holidays and rest days to rush work, make every effort to regain lost time, and strive to achieve the full-year goals and tasks.
Reporter: How do you predict the development of industries and companies in 2020?
Li Quan: The industry situation in 2020 is not optimistic. Some small and medium-sized enterprises will face difficult choices of life and death, and will encounter major challenges in later response, transformation and upgrading.
Since Zhengzhou Textile Machinery has relatively abundant orders in the early stage, and its product direction is highly consistent with the requirements of epidemic prevention work, as long as the follow-up measures are effective, it will try its best to seize the time and adopt rush work and parallel strategies. It is expected that the development throughout the year will be stable. There will be a big decline. At the same time, we will take advantage of the transformation of the country’s governance system and control model in the post-epidemic period, follow the trend, and follow the national strategy in terms of product strategy and development methods. It is expected that the future will be promising.
Changzhou Hongda Technology (Group)
Chairman Gu Ren
The epidemic reviews the hard-core combat effectiveness of enterprises
Reporter: How do you assess the impact of the epidemic on corporate operations?
Gu Ren: It is undeniable that this epidemic has had a huge impact on most companies. Many textile companies have faced huge challenges during the resumption of work. The later the start of production, the greater the losses that textile companies will face. From an internal perspective, the original rhythms of production, delivery, and research and development have been disrupted. From the perspective of the external market environment, market orders, supply and demand matching, etc. will also become more prominent./24/20200224102324904009.png”>
The impact on foreign trade is even greater. First, exports are restricted and service personnel cannot go abroad in time; secondly, breach of contract affects delivery schedules and customer reputation is damaged, which reduces international trade. Competitiveness has boosted the rise of international peers.
Overall, our operating income and profits are expected to drop by about 20% in the first half of the year compared to expectations.
Reporter: What subsequent measures will your company take to restore growth or find new growth points?
Yu Jiang: During the epidemic , let us think more about the development of enterprises in terms of balanced production, foreign investment, risk sharing, etc. Next, we will continue to develop new products to expand domestic demand; at the same time, we will use intelligent production to reduce costs and enhance competitiveness; target spare parts The market drives growth; intensify the development of international markets and enter blank areas to expand results.
Reporter: You How to predict the development of industries and enterprises in 2020?
Yu Jiang: According to the situation in 2019, there should be a small increase in the first half of 2020, but due to the epidemic, the first half of the year will not be very good. The company expects that operating income and profits in the first half of the year will fall by about 20% compared with expectations, but it is expected to make up for it in the second half of the year and achieve the same level as 2019 for the whole year.
SuzhouShenhangIntelligentTechnologyCo.,Ltd.
GeneralManagerManagerWuSong
Goingallouttoservecustomersthroughthisdifficulttime
Reporter:Howdoyouassesstheimpactoftheepidemiconbusinessoperations??
WuSong:Sincetheepidemichasnotyetended,peopleinmajorlabor-employingprovincessuchasHubeiandHenancannotresumeworkforthetimebeing.Therefore,likemostcompaniesinthetextileindustry,theyfacethesamedifficultyinresumingwork.OurproductsaremainlyexportedtoIndia,Vietnamandothermarkets,anditisexpectedthatitwillbedifficulttoimproveinashortperiodoftime.
Reporter: What subsequent measures will the company take to restore growth or find new growth points?
Wu Song: The epidemic has made us think more about corporate development. As an agent of Inovance Technology, we will respond to Inovance Technology to accelerate the promotion of “process electronics” “Intelligentization and equipment intelligence” process, improve staff skills, etc. We will conscientiously provide customer service and assist customers in equipment upgrading and transformation, so that customers can truly enjoy the benefits of “increasing revenue and reducing expenditure” by using Inovance’s intelligent control system.
Reporter: How do you predict the development of industries and companies in 2020?
Wu Song: When disasters are inevitable, we need to have the courage and wisdom to overcome difficulties and rejuvenate the country. In addition, the government has introduced some policies to benefit enterprises. and guidance measures, I believe everyone can still face it with confidence in 2020. Backed by the strong technical and product strength of Inovance Technology, Shenhang Intelligent will go all out to help customers while realizing its own value, so as to achieve growth and gain in 2020.
Saite Global Machinery (Qingdao) Co., Ltd.
General Manager Zhao Chuanfu
Don’t slack off, don’t panic, turn crises into opportunities
Reporter: How do you assess the impact of the epidemic? Impact on business operations?
Zhao Chuanfu: The biggest impact of the epidemic on us is uncertainty, especially the uncertainty of the external environment. At present, all the original publicity and development plans for foreign markets have been blocked, and domestic Due to restrictions on logistics and people flow, follow-up orders were delayed or canceled. After we resumed work, we also faced problems such as the inability of all employees to come to work and limited raw material reserves.
At the same time, the resumption time of downstream customers cannot be determined, resulting in a severe shrinkage in our order demand. At present, the serious impact on enterprises in the first quarter is inevitable. We hope that the epidemic will end soon and the industry will rebound in the second quarter.
Reporter: What subsequent measures will the company take to restore growth or find new growth points?
Zhao Chuanfu: We have formulated a work policy of “not slacking off, not panicking, and turning crises into opportunities” to ensure absolute safety, strengthen our weaknesses and strengthen our foundation in an orderly manner. , at the same time, we will increase investment in research and development in 2020 and seek new market expansion space. After the epidemic, our marketing intensity will also increase unprecedentedly.
Reporter: How do you predict the development of industries and companies in 2020?
Zhao Chuanfu: In 2020, for industries that already have structural overcapacity, the new coronavirus will make things worse. The impact will definitely be huge in the first quarter. We look forward to bottoming out in the second quarter and rebounding in the next quarter. The first half of the year should be generally better than the first half of the year, and the overall operating situation in 2020 is not optimistic. Because our company achieved the best results in history in 2019, we have sufficient reserves in all aspects. 2020 is our strategic opportunity adjustment year. Through adjustments, we are confident to achieve sustainable development of the company.
��Unprecedentedly increased.
Reporter: How do you predict the development of industries and companies in 2020?
Zhao Chuanfu: In 2020, for industries that already have structural overcapacity, the new coronavirus will make things worse. The impact will definitely be huge in the first quarter. We look forward to bottoming out in the second quarter and rebounding in the next quarter. The first half of the year should be generally better than the first half of the year, and the overall operating situation in 2020 is not optimistic. Because our company achieved the best results in history in 2019, we have sufficient reserves in all aspects. 2020 is our strategic opportunity adjustment year. Through adjustments, we are confident to achieve sustainable development of the company.
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