1. The fabric market is experiencing a crisis of factory closures one after another! Raw materials are rising, but cloth prices are generally falling. If a company can not lose money, it is considered to be “making a profit”! (Popularity: ★★★★★★★★)
As the most basic raw material, my country’s fabric market has encountered big problems, and fabric factories have closed down one after another. Information, many people expressed confusion about the emergence of this situation. After all, our country is still a big country in agriculture and textile industry. Although mechanical textiles are basically the main ones now, our country’s textile industry has a history of at least a thousand years.
As long as the prices related to fabric production are increasing, chemical fiber fabrics still occupy a larger share of the market than pure cotton fabrics. Among them materials like nylon, spandex and other materials. However, in the first half of this year, the raw material prices of these fabrics all increased by more than 50% compared with the same period last year. Take spandex as an example. In the past, the unit price of a ton of spandex was less than 50,000 yuan. This year, you need to pay 70,000 to 80,000 yuan to “take it home.”
Such a pattern of simultaneous pressure from two big mountains of high cost and low price has made many fabric manufacturers not only make money, but they are considered “making money” if they don’t lose money. .
2. Factory shutdowns, blockade of the textile industry! The textile order crisis has reappeared and may be difficult to resolve in the short term! (Popularity: ★★★★★★★)
97% of textile companies in a certain area of Vietnam have suspended production, and most The first wave of factory shutdowns started at 0:00 on July 15. The factory can only resume work after complying with the three-in-one principle, producing on site, eating on site, and resting on site, and after being inspected and approved by officials from the local Disease Control and Prevention Bureau.
According to Indian media reports, affected by the epidemic, some multinational clothing retailers have moved 15-20% of their orders to other countries. During the second wave of the COVID-19 epidemic, the city’s garment industry lost at least about 100 billion rupees, or about 8.7 billion yuan.
Under the wave of epidemics, it may be difficult for the textile industry to recover in the short term.
3. Typhoon “Fireworks” caused a sharp increase in PTA prices (Hot: ★★★★★★)
Typhoon No. 6 “Firework” in 2021 made landfall in Putuo District, Zhoushan, Zhejiang at around 12:30 on July 25. As an important textile gathering place in my country, the Jiangsu and Zhejiang regions have brought together important textile production bases such as Shengze, Changshu, Haining, and Keqiao. They have gathered a large number of various production companies from chemical fiber raw materials to weaving, printing and dyeing, finishing, etc. This super typhoon has affected our textile production and trade to a certain extent.
At the same time, affected by the typhoon, the Yangtze River was closed to navigation, which prevented the supply of goods from entering the reservoir area, exacerbating the tight PTA spot situation. Triggered the recent rise in PTA prices.
4. The big promotion is back! Polyester factories make money, weaving companies feel safe, and polyester filaments are sold out! (Popularity: ★★★★★)
On the 28th, considering that there has been no centralized replenishment of downstream weaving during the month recently, the mainstream Major manufacturers have launched a month-end profit promotion model. The polyester yarn trading atmosphere in the Jiangsu and Zhejiang markets is hot. Some mainstream factories have promoted price reductions of 200-500 yuan/ton. The daily production and sales are mostly around 200%-300%, and some are as high as around 500%. Some factories have not promoted the production and sales. It’s on the low side, around 60%-80%.
In more than two months from April to early July, polyester factories launched multiple promotions, and “promotion” has become a mode of daily sales at polyester factories. This model brought good performance to polyester factories from April to June.
5. Difficult! Nearly 40,000 factories are involved in “sales disputes”! (Popularity: ★★★★)
According to data from the China Judgment Documents Network, since 2021, there have been more than 40,000 documents involving litigation in the chemical industry, mainly focusing on sales disputes. The regions and courts involved include Shanxi, Hebei, Shandong, Henan, Beijing, Tianjin, Jiangsu, Zhejiang, Shanghai and other provinces and cities.
According to incomplete statistics, the causes of litigation for the above chemical companies include but are not limited to sales contract disputes, land lease contract disputes, product liability disputes, partnership agreement disputes, sales contract disputes, recourse disputes, and construction project construction contracts. Disputes, etc., most chemical companies have filed applications for property preservation, freezing the bank deposits of the defendant/respondent or seizing their properties of equivalent value, repaying accounts, etc.
6. The RMB exchange rate returns to the 6.5 era (Popularity: ★★★)
July On the 27th, the RMB exchange rate, which had been trading sideways for many days, fell sharply during the session, hitting a new low since April. As of the close on the afternoon of the 27th, the onshore RMB fell more than 200 points during the day, hitting a low of 6.5133; the offshore RMB fell below 6.49 and 6.50 in a row.There are three levels of 6.51, with the lowest hitting 6.5210. On July 28, the onshore RMB exchange rate against the US dollar fell nearly 50 points at the opening, approaching the 6.51 mark. At the same time, the offshore RMB against the US dollar fluctuated higher, rising above the 6.52 mark. As of 14:40 on July 29, the onshore and offshore RMB fell back to 6.4724 and 6.4756 against the US dollar respectively.
As we all know, the appreciation of the RMB is good for imports but not good for exports. For our textile foreign trade export enterprises, changes in exchange rates are not just a matter of profit, but may often mean losses or profits. The RMB exchange rate against the U.S. dollar has continued to strengthen since April this year, and the RMB exchange rate rose sharply again after May Day. The exchange rate once rose to 6.35. Many textile foreign traders who took orders before and after the year did not settle the exchange in time and missed the opportunity. Faced with the appreciation of the RMB, they could only bear the losses with “tears”.
7. Hongxing Erke’s order explosion caused the system to crash, please return the product! Netizen: Produce slowly, even if you don’t distribute it (Popularity: ★★)
In the early morning of July 29, Hongxing Erke released a An apology statement stated that a large number of orders have poured in recently without any preparation, causing the company’s system to collapse. Currently, more than 40 products cannot keep up with the demand for stocking. Warehouses in various places have been sold out, and the main production line has been exhausted. Overproduction. Hongxing Erke calls on everyone to consume rationally, return products that are currently out of stock, or contact after-sales service to exchange for new products.
In response to this, some netizens said: “I’m not in a hurry and you will produce it slowly. Let’s ship it to them first.” It’s okay to release it slowly or not at all.”
8. The top 50 global chemicals in 2021 are announced! Hengli, Wanhua, Rongsheng and other Chinese chemical companies are on the list (Popularity: ★)
July 26, 2021 , the US “Chemical and Engineering News” (C&EN) released the list of the top 50 global chemical companies in 2021. Seven Chinese chemical companies have entered the world’s top 50, one more than the previous year. It is worth noting that the rankings of Chinese companies are basically at the same level or rising, reflecting the booming development trend of China’s chemical industry. Except for Sinopec and Formosa Plastics, PetroChina ranked 13th, the same as last year; Hengli Petrochemical ranked 15th, a significant increase of 11 places; Syngenta, a subsidiary of Sinochem, ranked 26th; Wanhua Chemical ranked 29th . Rongsheng Petrochemical entered the top 50 for the first time this year, ranking 42nd. </p
