Recently, bad news in the textile industry has continued. In the middle and late March, the cancellation of foreign orders was more and more frequent, the weaving mill was overwhelmed, and the number of shutdowns and shutdowns after the resumption of work was increasing.

First, the market is ushering in a wave of withdrawals and discards. On March 23, a boss specializing in home textiles in Jiangsu Province said that the recent cancellation of orders has become a common phenomenon. Many companies have already been on the machine and suddenly receive emails from overseas customers to cancel orders. Stopped halfway and suffered heavy losses. In March, the epidemic was a global pandemic. Demand for textiles and clothing from all countries was declining. Overcapacity and shrinking orders have far exceeded last year. Cancelling an order is a double-edged sword, which is a huge loss to both the buyer and the seller. A trader revealed that because domestic companies generally charge only 30% of customers' deposits, they are far from offsetting costs. Therefore, the pressure on corporate funds is very high recently, and many of them have failed to make ends meet.

Second, the weaving mills showed their magical self-rescue, with poor results. The main self-rescue methods are as follows: 1. Adjust the internal and external single ratio. When the overseas epidemic was intensifying, the domestic situation was basically calm, so many textile companies and traders turned their attention to China. On the 23rd, the person in charge of a company that mainly did Italian orders introduced that although they have not yet received notice of cancellation of the order, the Italian epidemic has swept the country and has basically become an island. Therefore, while they are preparing for cancellation or substantial reduction of orders, they increase the proportion of domestic trade. They plan to increase the proportion of domestic orders to 80% in April and May and reduce the proportion of foreign orders to 20%. So far, it has become popular to adjust the ratio of domestic and foreign orders, and it is expected that the domestic market will form a multi-male race in the first half of this year. 2. Reduce costs and pressure. Many companies said that in the context of the shrinking market for foreign orders and domestic orders, the cost of enterprises has increased. For example, this year, companies need to pay extra costs for epidemic prevention, rising wages for workers, and rising freight costs, resulting in increased production costs. How to reduce costs? The first is that workers shift from two shifts to three shifts. This shortens workers' work hours and reduces expenditures. The second is to study the state's tax-free and fee-reduction policies. 3. Decrease prices to increase liquidity. The weaker the market, the more important cash flow is. In order to collect funds as soon as possible, companies have been selling profits. According to market feedback, since mid-March, prices of grey cloths in various places have fallen by 0.1-0.2 yuan / meter, and individual prices have fallen by 0.4 yuan / meter. Not only have they fallen in February, some grey fabrics have fallen by 0.05-0.1 yuan / meter. There are not a few manufacturers that have fallen into a loss, but in order to realize cash, companies can only "dumb eat Huanglian." One business owner even said pessimistically that the signs of the global financial crisis in 2020 are already very clear, and as long as the company can move, it is a victory. Therefore, the recent gray cloth is ushering in a wave of price reduction.

Thirty-three, "Golden Three" is dead, and the company hopes "Golden Nine, Silver and Ten". Most companies have no hope of this year's spring and summer fabrics and clothing. However, we have high hopes for the autumn and winter peak season of 2020. A market source said that the global epidemic is unlikely to end before June, but it is estimated that the global situation will be calm until September and October. Will the consumption demand of textiles and clothing that have been suppressed for nearly a year rebound retaliated? Therefore, the market is not without hope, but rather dormant in the spring and summer to wait for the end of the epidemic, they will rush out in the trenches and create another glory.