Life is a mystery, never knowing when surprises will appear.

Some time ago, when I was chatting with my friends, I had a "revenge" together.

She said: "The luck of the rich is really good. I opened a factory with a relative. The business was good in the past two years. I made a little money. Last year, the market was not good. The business was bad. The cloth has not been sold. When I was in a hurry, I caught up with the demolition and suddenly demolished 20 million. I immediately liberated! 5 million bought a villa. Now I open a small trading company to pick up a small order. Others have only envy and hate. "

Look, sometimes the god of luck comes, and the demolition is really "saving" countless people. In recent days, a textile boss, Mr. Shen, also casually talked about the demolition.

Mr. Shen said: "I heard that our factory is in the demolition plan and may be demolished next year. In fact, it is very good. The market in 2019 really made me look white all night, and I had trouble sleeping and eating. There are only forty or fifty units like ours. The small factory of the machine cannot afford to toss. The money is difficult to get, the cloth is difficult to sell, but the various expenses are indispensable. After the New Year's Day, the stocks can't be piled up. After paying five or six million, it is no longer a problem to provide for the elderly, and we can leave some for our children and grandchildren. "

Indeed, the market in 2019 makes many cloth owners dare not think about: inventory of tens of millions of meters, gray cloth prices 30% -40%, raw material prices continue to fall, the phenomenon of dumping is common, peripheral loom continues to rise, terminal demand is waning, Sino-U.S. Trade is getting more and more intensive ... Large enterprises are better able to withstand attacks, while small and medium-sized enterprises have suffered a lot, and the tide of closure is not uncommon.

Although the vast majority of textile people are not optimistic about the market in 2020, Xiaobian believes that it is still promising!

From the perspective of raw materials:

The price of raw materials can't go down, and the rebound space is large

In 2019, raw material prices continue to fluctuate, and the overall price center of gravity continues to decline. It can be said that the price of raw materials in 2019 refreshed the low levels in recent years, and the endless fall in raw material prices directly led to the decline in the price of grey cloths. In addition, the production and sales were difficult to level, and the inventory was even more worthless. The stable price of raw materials was stable The basis of grey cloth prices and falling raw materials can only worsen the unsatisfactory textile market.

At the beginning of the new year of 2020, due to geopolitical factors, the polyester market has exploded, and polyester filaments have also followed the upward trend. The price centers of various products have increased to varying degrees. At present, although prices have remained stable in recent days, they will no longer rise. , But there is no downward trend. The price of raw materials has fallen, so there is still plenty of room for a rebound. During the Spring Festival, chemical fiber manufacturers chose to limit production and protect prices, which gave reasons for polyester filament prices. At the same time, according to the convention, the price of polyester yarns will generally increase a little after the start of the year. Therefore, from the personal point of view of Xiaobian, the prices of polyester yarns tend to rise and fall. Raw materials are quite expensive, which is naturally a good thing for the weaving market.

From the perspective of the environment:

Sino-US trade easing, diyi trade agreement signed this week

At the end of 2019, US President Trump tweeted that on January 15, he will sign the diyi phase agreement with high-level representatives of the Chinese side, and later he will go to Beijing to start the negotiation of the second phase agreement. On January 9th, the Ministry of Commerce also stated that the Chinese delegation will visit the United States on 13-15 and sign the diyi stage economic and trade agreement with the United States. The two teams are maintaining close communication.

As we all know, the textile market in 2019 is facing a downturn. In addition to overcapacity, the important reason is Sino-US trade. The face of the United States has repeatedly changed, which has seriously affected the export situation of foreign trade companies. Some companies have stated that the company's US bills have been suspended indefinitely due to tariff issues. Not only foreign trade, domestic trade is also affected by it, your customers always have to export. Now the Sino-U.S. Trade has finally achieved substantial benefits, which is a major boost for textile companies. At this point in time, most weaving companies have entered the holiday mode and basically no longer accept orders, but after the opening of the year, we will usher in the "golden three silvers and four silvers" of the traditional textile industry. "Gold Three Silver Four" will burst out. If the negotiation of the second phase of the agreement is also smooth, the market situation next year will surely be greatly eased.

RCEP is expected to be signed in November 2020, textile exports may reverse the decline

The so-called RCEP is a regional comprehensive economic partnership agreement signed by 10 ASEAN countries and 16 countries including China, Japan, South Korea, Australia, New Zealand, and India.

In 2019, China's textile export has encountered a "cold winter". Under this situation, Southeast Asian countries such as Vietnam and Cambodia have become hot spots for investment and a transit point for China's exports. Although Southeast Asia Textile currently has relatively sufficient labor advantages, its infrastructure and technology are weak. Once the agreement is signed, the complementary performance of China ’s and Southeast Asian countries ’textile industries will become more apparent. The cost is shipped to Vietnam, Malaysia and other places for processing, and the local labor force advantage is used to make garment exports.

At the same time, for the markets of developed countries such as Japan, South Korea, Australia, and New Zealand, after the establishment of the RECP, the textile export tariffs will be further reduced, and China's textiles will be more competitive than now. Against the background of the easing of Sino-US trade and the signing of the PECP, this year's foreign trade market will also be expected.

Mr. Shen still said that he didn't want to keep it anymore. After all, doing business was too risky. This may be the thought of Mr. Shen, or the thoughts of countless textile people.

But the textile people who have not given up in the new year, I believe that as long as there is hope, you will continue to work. The new year is still the same wish: the textile market is as expected!

Source: Global Textile Network

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