Flame retardant fabric_Flame retardant fabric_Cotton flame retardant fabric_Flame retardant fabric information platform Flame-retardant Fabric News Winter entered overnight, and orders from India and many Southeast Asian countries dropped sharply!

Winter entered overnight, and orders from India and many Southeast Asian countries dropped sharply!

Work stoppages, holidays, orders cut in half, income halved, personnel optimization… Recently, major manufacturing countries such as Vietnam, India, and Indonesia have change…

Work stoppages, holidays, orders cut in half, income halved, personnel optimization… Recently, major manufacturing countries such as Vietnam, India, and Indonesia have changed from their previous hot state and entered winter overnight. The production status of the factory suddenly deteriorated, and the survival pressure of employees also quietly increased. From queuing for half a year to clearing orders, from working overtime in full swing to working less and taking more breaks with nothing to do, what exactly happened?

Bangladesh: Orders fell 20% year-on-year, seeking loans from the IMF

After experiencing unusually strong order growth of more than 30% in 2021, Bangladesh, the world’s second largest apparel exporter after China, is now facing a decline in orders. Last month, Bangladesh became the third South Asian country after Pakistan and Sri Lanka to seek a loan from the International Monetary Fund (IMF) as its foreign exchange reserves shrank and its trade deficit soared.

General manager Hogg, managing director of Plummy Fashions, a supplier of Zara and former chairman of the Bangladesh Knitwear Manufacturers and Exporters Association, said that new orders in July fell by 20% year-on-year, and retailers in the European and American markets have either postponed finished product shipments or postponed shipments. orders, and some have reduced the size of orders. A large U.S. customer initially wanted to postpone a small shipment this month to December. Hogg said he believes the growth rate of Bangladesh’s garment exports will slow down to about 15% this year.

Vietnam: Shortage of orders is common, and more and more factories are on holiday

Unlike this time last year, every factory in Vietnam is full of confidence. They are grabbing workers everywhere and are busy expanding and increasing production capacity. Starting from August this year, there were suddenly and inexplicably more factories in the surrounding area that were on long holidays. For example, the famous Samsung Group has also announced in the past few days that it has lowered the company’s annual production targets. However, in fact, the factory has already implemented a four-day holiday and three days off to reduce production capacity.

In the second half of the year, many factories in Vietnam began to run out of orders and had to shorten production times, stop recruitment, and reduce labor force. Some factories are running out of orders, forcing them to recalculate appropriate labor plans, such as giving workers Saturdays off.

A person in charge of a Vietnamese factory said that the factory is still operating normally, but orders will be lost by September to October. According to the plan, companies will arrange for workers to be furloughed around the fourth quarter. The factory will suspend production for eight days during the National Day holiday, and then arrange workers to take Saturday off as appropriate to reduce overtime.

India: Export orders drop by 40%, Western countries reduce orders for next season

Data released by the Indian Ministry of Industry and Commerce show that the export volume of cotton yarn, fabrics, finished products, and handloom products fell by 19.49% to US$962 million in June 2022; the overall export of cotton textiles fell by 14.30% to 1.699 billion yuan.

Export orders for clothing and home textiles from the United States and Europe fell by about 15%-20% as Western retail brands faced slow demand. In Panipat, an important center for home textile production, there are signs that export orders have dropped by as much as 40%. It is reported that inflation and rising interest rates caused by the Russia-Ukraine war are the reasons for the economic recession and reduced export orders.

Industry sources said importers from Western countries have not only reduced orders for the next season but also delayed deliveries of previous orders. Last month, importers for several home textile exporters refused to accept deliveries. Buyers say retail sales in Western countries have slowed sharply due to high inflation.

Indonesia: Exports fell by more than 40% year-on-year, and overseas demand is unlikely to achieve breakthrough growth

In the first half of 2022, the main export markets for Indonesian standard glue are Japan, the United States, the European Union, China, India, South Korea and other countries or regions. Exports to India and South Korea fell by more than 40% year-on-year, and exports to China and the EU fell by about 11% year-on-year.

The global economic recovery will be hindered in the first half of 2022, and the global economy will face greater challenges in the second half of the year. It is expected that overseas demand will be difficult to achieve breakthrough growth. Therefore, comprehensively considering the possibility of a year-on-year decline in Indonesian natural rubber exports, it is expected that It is difficult to see any obvious growth highlights in the second half of the year.

Cambodia: 43% of companies are losing money, orders from the EU and the United States have dropped significantly

Orders from the United States and the European Union are expected to drop sharply in the second half of 2022, and Cambodia’s export prospects will face huge challenges. At present, the volume of purchase orders from Europe has decreased, and some international buyers have requested to reduce or modify order contracts for the second half of the year. The unstable global economic environment and the economic downturn in Western countries have triggered strong concerns among members of the Garment Manufacturers Association about the export situation in the second half of the year.

Employees at local garment factories reported that the market is very sluggish and that from this month to next, many garment factories are facing closure. There are rumors that some small bosses are indeed ready to “run away.” In the first seven months of this year, a total of 47 factories closed, causing 16,838 people to lose their jobs. According to a study by the Japan External Trade Organization, 43% of Cambodian companies suffered losses last year. If the Russia-Ukraine problem persists, it will reduce Europe’s purchasing power. These problems may jeopardize purchase orders for Cambodian textile-related products.

Pakistan: Cut output by 50%, demand falls faster than expected

The Pakistan Textile Mills Association stated that the textile industry has not only reduced its output by more than 50% due to shutdowns, but will also be forced to borrow US$6 billion from overseas due to energy supply and cost constraints; at the same time, it faces risks such as loss of orders, customers, and default losses.

Due to insufficient energy supplyIt is difficult to determine the cost and delivery time of ordering and spinning. The enthusiasm of Pakistani cotton textile and clothing companies in producing and receiving orders has declined significantly in the near future, and the demand for cotton consumption has dropped faster than expected. Energy shortages, including severe shortages of electricity and natural gas supplies, have led to the closure of about 30% of Pakistan’s textile production capacity.

Philippines: New orders fall, PMI reaches lowest level since January

S&P Global, a think tank, said that due to a decline in output and new orders, the Philippine Manufacturing Purchasing Managers Index (PMI) was 50.8 in July, down from 53.8 in June and the lowest level since January. As inflation intensifies, most companies respond to the increase in input costs by raising prices. Rising expenses are the main reason for affecting sales and customer activities.

Key consumer markets have fallen into inflation, and manufacturing centers are facing crisis.

When exploring the underlying reasons for the sharp decline in orders in many regions such as South Asia and Southeast Asia in the second half of the year, we have to mention that since the beginning of the year, the global economic recovery has become increasingly sluggish, as well as the dire situation of many key consumer markets in the world that are mired in inflation. Record-high CPI, fragile and unstable supply chains, overt or covert trade barriers, and repeated epidemic nuisances continue to affect the healthy and sustainable development of many overseas industries.


As concerns about rising inflation and interest rates persist, the U.S. consumer confidence index fell for three consecutive months in July, reaching its lowest level in nearly a year and a half. Under the impact of high inflation, “consumption downgrade” has gradually become a daily routine for people in the United States and Europe.

In June, the U.S. Consumer Price Index (CPI) increased by 9.1% year-on-year, reaching a new high year-on-year increase. The continued rise in inflation has pushed up the prices of a variety of daily consumer goods, and “optional consumer goods” represented by clothing, shoes and hats are facing greater sales pressure. In May, Canada’s CPI rose 7.7% year-on-year, reaching the highest level in 40 years. Continued widespread price pressure has impacted Canadians’ ability to spend on a daily basis.


Inflation in the Eurozone continues to rise, reaching record highs, rapidly raising expectations that the European Central Bank will continue to raise interest rates significantly. The euro zone’s adjusted CPI rose by 8.9% year-on-year in July, continuing to hit a record high, higher than the expected 8.7% and the previous value of 8.6%.

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Author: clsrich