Textile export transactions in the third phase of the Canton Fair show signs of recovery

Textile export transactions in the third phase of the Canton Fair show signs of recovery

On May 4, the third phase of the 105th Canton Fair entered its second day. “Finance” reporters learned at the Canton Fair that since May, China’s textile export transaction volume has shown signs of recovery.

Although the number of foreign merchants entering and exiting the textile and clothing exhibition hall that day was still a little sparse, Zhong Haosen, general manager of the Gary Division of Guangdong Textile Import and Export Co., Ltd. (hereinafter referred to as Guangdong Textile), said that the two days of business The customer flow has been better than expected. “Our company originally expected to only receive five or six customers a day, but now we have about 20 customers a day.”

“External demand has loosened, and the increase in export tax rebates has given us more room for bargaining.” He expected that the situation of textile exports will improve in the second half of the year, but this Canton Fair will still focus on “grabbing customers.” “As long as it is a real order, even if the cost is equal, we will get it back if we don’t lose money.”

He told reporters that in the first half of the year, Guangdong Textile’s export volume dropped by 10%-20% compared with the same period last year. It is now slowly recovering and strives to achieve the same export volume this year as last year. The company’s exports to the United States fell by about 10% in the first half of the year, exports to the United Kingdom were flat, and exports to South Africa and Russia increased.

Ye Shuangpeng, general manager of Guangdong Silk Textile Group Co., Ltd. (hereinafter referred to as Guangdong Silk Group), also said that in the first quarter of this year, national textile exports fell by 24% compared with the same period last year; Guangdong Province’s textile exports fell by 18%; Guangdong Province’s silk export volume dropped by 12%, and it is hoped that the export volume in April 2019 will be the same as last year.

Director Sun of a textile factory in Yantai, Shandong Province, who participated in the Canton Fair for the first time, told Caijing reporters that after two months of waiting and watching from February to April this year, buyers began to “test the waters,” but the number was still small. Moreover, many merchants ask about price comparison, “We have to lower the profit in order to ‘melt’ the market.”

He said that the current buyer’s bid has been 10%-15% lower than before. Children’s clothing that used to cost 10 yuan a piece is now only offering 8.5 to 9 yuan. Of course, the price of raw materials has also dropped by 3%-4%. “Every link has to give a little profit,” Sun said.

Ms. Wang, general manager of a textile export company in Tianjin, said that although the market has recovered since May, the orders are all small, the price is 10%-15% lower than before, and the delivery speed is required. . “The previous delivery time was two and a half to three months, but now it is only one and a half to two months, a full month reduced, so we must respond quickly. It is more difficult to ‘follow orders’ and the risk of customer claims has also increased. ”

Dr. Wei Lin, director of the Media Center of the China Textile Industry Association and vice president of the China National Garment Association, said in a telephone interview with Caijing reporters on the 5th that despite the rebound in transaction volume, it is still difficult to make a conclusion that China’s textile exports have already Optimistic judgment about the beginning of recovery. There is a gradual process of market shrinkage, and it is difficult to say whether the market has truly bottomed out. What’s more critical is that there are no clear signs of recovery in major Western markets; at the same time, buyers have transferred some orders to countries such as Bangladesh.

Wei Lin pointed out that Bangladesh’s textile exports are rising rapidly. In the competition in the clothing industry, China may give up part of its market share to Bangladesh.

Mr. Hu, who is engaged in clothing export in Nanchang, has clearly felt the impact of Bangladesh. “We can’t compete with Bangladesh,” he said, taking out a red sleeveless T-shirt at the Canton Fair booth. An Italian customer once ordered 70,000 pieces from him a year, but since the year before last, the order has been transferred to of Bangladesh.

“Chinese textiles exported to Europe are subject to a 12% tariff, but Bangladeshi textiles exported to Italy have zero tariffs.” Mr. Hu said that coupled with the difference in labor costs, the cost of Bangladeshi textiles exported to Europe is at least 20% lower than that of China. %.

At present, the advantages of China’s textiles still lie in its abundant labor force, complete industrial chain, and relatively guaranteed quality and delivery time of textiles, so it will still have sustained competitiveness in the future. The fabrics and buttons Bangladesh needs are provided by China. However, orders with small batches, short delivery times, and high technical content are still produced in China. However, the labor force in Bangladesh is cheap. After accepting orders in 2-3 years, the local industrial chain will gradually improve, and the competitiveness is expected to increase rapidly.

Wei Lin believes that as textile prices fall and competition pressure increases, the country must speed up industrial transfer and gradually transfer the textile industry to lower-cost places in the central and western regions. At present, the industrial supporting environment in the central and western regions is not yet complete, and it is necessary to actively improve logistics and other supporting systems. “Only in this way can the textile industry stay in China for 10-20 more years.”

“It is estimated that textile exports will improve within the year, but after the improvement, it may not be the original situation of ‘China’s export is the only one’.” Wei Lin said.

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