Although this year is likely to be a mild winter, the cold air is coming.
Just this late cold air cannot save the textile industry that “depends on the weather”. Information about various types of sales has begun to appear in the circle of friends. It is not just polyester factories that are promoting large-scale sales, but also downstream gray fabrics.
The finished fabrics were sold at the price of gray cloth, and the weaving manufacturers were in trouble.
The market environment this year is not good. With overcapacity in the upstream and sluggish demand in the downstream, the profits of gray fabrics in the market have been very low. Sometimes some markets have too many products in stock and can only sell products. Maintain capital or even ship at a loss.
Take the 75D untwisted imitation memory as an example. Last year, the price of gray fabric of this fabric was around 2.4 yuan/meter. Now, the finished white fabric sold for more than 20,000 meters is also priced at 2.4 yuan/meter. The price of 75D weft-twisted imitation memory gray fabric last year was around 2.8 yuan/meter, but now the selling price of black finished products is only 3.5 yuan/meter. You must know that the dyeing fee for these fabrics is at least 1 yuan/meter, not to mention that the dyeing fee for black, which is definitely super-cost, will only be even higher.
The price of these imitation memory finished products that are currently being sold would only be equivalent to the price of ordinary polyester taffeta finished products in previous years. However, whether to keep the goods for the New Year or to use cash for the New Year, this multiple-choice question does not matter to textile workers. Hard to choose.
The operating rate of dye vats has dropped sharply, and printing and dyeing companies have bid farewell to market products
Same dyeing Since the factory bid farewell to market goods, it has once again ushered in a “cold winter.” The person in charge of a dyeing factory in the Wujiang area reported to us that market fabrics such as T400 were almost overwhelming the dyeing factory a while ago, but as market products shrank, such fabrics were instantly withdrawn.
Old varieties such as pongee, peach skin, high-elastic pongee, and imitation silk have begun to play the leading role on the stage, but they cannot support the production capacity of dyeing factories. The dye vat operating rate immediately dropped from 100% to 70-80%, and based on the current amount of gray fabric entering the warehouse, it will not be long before it returns to about 50% of the summer off-season level.
Price reductions and promotions are frequent, and polyester factories are racking their brains to reduce inventory
However, this situation does not end It appeared in the weaving market, and it often happened in the polyester market this year. Due to the poor sales of terminal clothing, a large number of weaving companies went on holidays and suspended production in July and August, resulting in a sharp decline in the operating rate of looms and a sharp increase in polyester yarn inventories in polyester factories.
In order to reduce inventory, polyester factories are racking their brains. Raw material price reduction promotions have been frequently used this year as a conventional method, which can often drive a wave of production and sales. However, weaving companies that bought yarn after the promotion found that the price of polyester filament was still falling after the promotion. In this way, there seems to be no difference in the price of polyester filament before and after the promotion. For weaving companies, it is nothing more than raw materials sooner or later. It makes a difference to buy it later.
The more it falls, the less you buy it, and the less you buy it, the more it falls, falling into a vicious circle
This year’s The market situation is like this. The rare phenomenon of selling goods in the past has become a “routine operation” in the weaving market. The same is true for polyester raw materials, which will be discounted and reduced every once in a while.
Under the influence of the mentality of “buy up but not down”, the weaving market currently has a strong wait-and-see attitude.
For weaving companies, in the past, they would basically stock up on raw materials for about a month in case of sudden changes in raw material prices. However, this year, due to the falling price of polyester filament, a large number of weaving companies have chosen to buy as they go. With the convenient method, the stocking cycle has been shortened to one week, which has also increased the inventory pressure on the polyester factory itself.
For traders and finished goods merchants, cloth prices have been falling all the way this year. It is possible that at a certain time when cloth prices fall to a low point or the market sells goods, spot finished goods merchants will choose to buy in. But I never expected that the price of gray fabrics this year was not the lowest, only lower. The price that seemed cheap at the time might actually become expensive a month later. After suffering a loss once, everyone chose to wait and see, and would never take action easily again.
The more the market waits and sees, the lower the prices of raw materials and gray fabrics become. The lower the prices, the more the market waits and sees, thus falling into a vicious cycle.
It is said that clothing companies will stock up appropriately during the Chinese New Year, while textile companies will have a wave of concentrated shipments. As the last wave of market conditions this year, textile people are waiting for it, just hoping it won’t come too late. </p
