In 2021, the textile market will open amidst the sound of price increases.In fact, many textile bosses have already prejudged the market for the beginning of this year at the end of last year.

Whether it is the trend of bulk commodities or the order situation of the textile market at the end of the year, it is a good start. “The probability is relatively large.

However, in the face of raging raw materials and dyeing fees, textile companies are still caught off guard, and some companies even say that the sharp increase in raw materials has become the main reason for the loss of corporate orders.

The skyrocketing raw materials inhibit the continuous recovery of demand, and textile companies are going through the painful period of orders

“We have not many orders recently, and we can only do it in March. We were busy when we just started work because of the orders before the delivery. In fact, the overall order volume in March was not as much as that in February.” said Mr. Feng, a polyester fabric manufacturer. .

“Now the factory does pongee and polyester taffeta, and the orders are good. They are all orders from old customers, which are a little less than when they first started.” said a manager Jin who specializes in polyester taffeta and pongee.

A person in the textile industry pointed out that with the soaring prices of raw materials and fabrics, textile and apparel exports are in a dilemma. At present, most foreign brands and retailers do not accept price hikes by textile and apparel companies and foreign trade companies.

The increase in raw materials and fabrics is difficult to pass on to terminal orders. Export-oriented companies have limited affordability, so they either “abandon orders” or digest the increase alone No matter which choice is made, the production enterprise is very painful.

The skyrocketing quotations of raw materials, yarns, fabrics, etc. have restrained the continued recovery of foreign trade demand to a certain extent. For example, many people in the textile industry said that customers would not accept the quoted price after checking the latest cost; on the other hand, traders complained that it is difficult to find a contract processing company with good quality and cheap price. “Difficult to send” has become the norm, so many export orders with low quotations and low profits have been abandoned.

The pending orders may be reversed in late March!

The editor feels that after experiencing the madness of the first two months, the market has gradually returned to calm. The pending orders may usher in a more obvious feng shui ridge in late March.

1. The downstream process from boycott to acceptance is coming soon

First of all, most of the low-cost raw material stocks currently stockpiled by weaving companies have consumed more than half. If the same batch of cloth is produced with low-priced raw materials, customers can often negotiate a lower price than high-priced raw materials. With the booming grey fabric market after the Spring Festival, the original low-priced inventory fabrics on the market have been snapped up, and fabric manufacturers and traders also have sufficient grey fabrics on hand. Therefore, the interest in high-priced grey fabrics

in the previous stage has naturally decreased. Price increase can solve the problem of rising fabric costs, but it cannot solve the problem of downstream sales. The entire market is looking for last year’s inventory of low-priced grey fabrics after the year, but this type of grey fabrics will be exhausted one day, and high-priced grey fabrics will always enter the market. At present, the market has stabilized for more than half a month, and the downstream has gone from boycotting to receiving The process is coming

2. The probability of raw material prices going sideways is still high

After entering March, the rising trend of international oil prices has temporarily slowed, causing polyester raw materials such as ethylene glycol and PTA to rise and fall. After entering the middle of the year, the price of polyester filaments has also begun to be unsteady, and the confidence that the price of raw materials will continue to rise has been affected. As a result, the price of grey fabrics may fall back to a certain extent in the future. However, in terms of the current raw material prices, the cost support of polyester raw materials is relatively obvious, and the price of polyester filaments will not fall sharply. After a small drop, the probability of a long-term sideways in the future is still relatively high.

3. There are signs at the printing and dyeing side, but still looking forward to the peak season

At present, the printing and dyeing market in Jiangsu and Zhejiang has once again been hot. It is understood that the dyeing factory has been suspended for card opening, and the card has been in line for more than a week. “We recently made a small order in the dyeing factory. The quantity is not a lot but only a few kilometers, but it has been pressed for a week. , It’s not good to wait a few days later. Moreover, the factory has stopped issuing cards, and the orders that enter the warehouse later can only wait endlessly.” An employee of a textile company introduced.

“The factory has been very busy recently, although the volume of warehouses has dropped a bit. A week ago there were 700,000 meters a day, and now there are 600,000 meters, but the dyeing factory is already very crowded, and the phenomenon of production queues is more obvious.” The person in charge introduced.

March and April are the traditional peak seasons for textile enterprises, known as the “Golden Three Silver Four”. Although the market has experienced a short-term decline as the price of raw materials stabilizes at this stage, textile people are still confident in the next market. Full. Manager Wang, the four-sided bomb manufacturer: Foreign trade orders will be better than last year. The impact of the epidemic in 20 years, the increase in sea freight and other factors, the reduction of foreign trade orders, the reduction of foreign clothing manufacturers, large supermarkets such as Walmart, etc., the order will increase this year , But it still depends on the subsequent rise in raw materials and changes in the US dollar exchange rate. Weaving boss Mr. Wu: The current price increase has been digested, fabric prices will gradually stabilize, and the market should still become hot again.

At present, as domestic seasonal orders are successively placed, the overall market boom has rebounded. Although foreign orders are still at a stalemate due to price reasons, considering the seasonal reasons of orders, and downstream weaving companies are generally optimistic about the market outlook, orders are expected Will be released one after another around April. At present, the price of upstream textile raw materials is rising rapidly, and the price of grey cloth cannot be followed temporarily.

However, considering that the peak season has not arrived, the price of grey cloth in the later period will be able to follow it. However, some knitting enterprises are reluctant to sell grey cloths, and the wait-and-see sentiment is still relatively strong. Most of the raw materials in the hands of downstream users are around 30-40 days. In the short term, they are less interested in following the rise. They will first consume the inventory in their hands. It will gradually improve, and there are still strong expectations for low-level replenishment demand.

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