Xinjiang Cashmere Export Enterprises Attack Domestic Market

Affected by the depreciation of the US dollar and the reduction of export tax rebate, Xinjiang cashmere export enterprises have shifted their sales focus to China.

In July 8th, Xinjiang Tianshan wool textile Limited by Share Ltd held the autumn and winter fashion ordering conference in Urumqi. This is the first time that Tianmao has held the order meeting in Urumqi in the past 4 years. Because its 2/3 products are sold abroad, the previous orders will be held separately.

According to Tian Tong Mao's deputy general manager, Tong Tong will introduce a unified form, mainly in the second half of the year, striving to increase the original 20% share of domestic sales to the level of export, so as to cope with the current decline in textile export profits.

It is reported that between January and June this year, the loss of cashmere products exported to the United States by more than 600 yuan was affected by the exchange rate difference.

According to the plan of the second half of the year, we will invest more than 600 yuan to build flagship stores in Urumqi and Beijing. In addition, the provincial and regional agents in China have increased from 16 to 28, and have begun to sell in the domestic market.

At the same time, snow lotus cashmere products company is also compressing export business. A sales official said that domestic cashmere products are facing fierce competition when they fight for foreign orders. After the reduction of the national textile export tax rebate, enterprises are even more unprofitable. Some of them are making OEM production processing fees only.

Like the export strategy of Tian Mao, Ordos has also adjusted its export plan in the cashmere industry.

This year, Ordos exported 4 million 500 thousand cashmere sweaters to 2 million 500 thousand, and invested 800 million yuan in 5 years to build 100 flagship stores.

Ma Xinyan, manager of the planning department of Erdos trading company in Urumqi, said that in previous years, all cashmere enterprises were making tentative plans for summer wear, and this year the brand summer wear went public ahead of schedule, and the proportion increased significantly.

August is the peak season for autumn and winter cashmere products. At present, the enterprises will sell the market to the domestic market, which is bound to cause ample supply in the domestic market.

Some cashmere enterprises say that the domestic market share is limited, and that most of the export enterprises will pfer their focus to the domestic market, and the competition in the domestic market will become more intense.