The Public Thinks That The Textile Industry Of "Sunset Industry" Is Actually Singing All The Way.

The textile people must have been very worried recently.

When the original machinery roaring textile town, leaving only 00 drops of several machines running; when in the past cars to the car to pull goods, nowhere to find in the streets; when the recruitment shortage turned to textile workers can not find work......

When all textile people focus on how to spend 2019 of the textile off-season, the word "textile industry is the sunset industry" has been pushed onto the cusp.

All this tells us that the textile industry is really "sunset industry", the textile industry can not see the prospect, the textile industry is really over.

This year, the textile industry is not good. We all know. But the textile industry is a sunset industry, and most textile people do not buy it.

The sunset industry is an image of the traditional industrial sector which tends to decline. It refers to the absolute decline of the total sales volume in the duration, or the growth of a slowing down industry. Sunset industry is a relative concept. In fact, as Lang Xianping said, "there is no sunset industry, only sunset thinking."

Generally speaking, sunset industry has three characteristics. First, the market and demand have stopped growing or even shrinking, for example, the global steel industry. Secondly, technological backwardness is replaced by new technology, for example, the film industry is eliminated by digital technology. The three is the long-term downturn of the whole industry, and the marginal profit is close to zero or even at a loss.

Looking back at the textile industry, these three characteristics do not exist.

01

Let's talk about demand first. The global consumption level of textile and clothing has been increasing over the years. In the past, we said that the annual consumption of per capita fiber is 10 kilograms, which is an advanced level. Now the world is at this average level. China's per capita fiber consumption has reached 14 kilograms, far exceeding the global average of 10 kilograms.

In recent years, the growth rate of physical retailing in apparel industry is not very fast, but in the retail business area, the total volume of transactions increased by more than 20%. Far beyond GDP growth rate! It is no exaggeration to say that dressing and eating are the eternal needs of mankind. There is no shrinking demand in this field.

02

Look at the technology. The technology of textile industry can be said to be changing rapidly. In the field of fiber materials, new varieties are constantly being applied and are dazzling. For example, recently, very heated graphene fibers, research and production is still at an early stage. Such as Tencel, carbon fiber and other fields are also monopolized by developed countries. In the field of textile machinery, the combination of intelligence and Internet technology has just begun, but we should soon see that the hat of labor intensive has been removed, and no factory is ready to come out. At present, the latest spinning mill, because of the most advanced equipment and intelligent and Internet technology, is a high-tech enterprise.

03

Finally, look at the benefits. According to the National Bureau of statistics, China's textile industry achieved a profit of 219 billion 400 million yuan in 2016, an increase of 3.5% over the previous year. The profit margin is 10.6%. This level is not ideal, but higher than home appliances! So last year, the fixed asset investment in the whole industry increased by 10%.

Even though we all have the impression that the textile industry is an absolute sunset industry, in fact, the overall business situation is actually improving. The average asset liability ratio has dropped from 75.68% in 1998 to 53.7% in 2014. Even during the 2008 loan crisis that swept the globe, there has been no rebound, and the profit margin has also improved continuously. Moreover, in recent years, the RMB exchange rate has been strong and labor costs have soared, which is fatal to export oriented and labor-intensive textile industries.

China's textile industry is being reborn, and the future textile industry should be a new industry with high technology intensive, good prospects for development, less employment and stable return on investment.

Although the textile industry is not a national high-tech industry, it is by no means a sunset industry. It can even be said that the textile industry is still a pillar industry in the country.

No matter how the wind and rain change, we all have reason to believe that textile will always have its own day. The textile industry is definitely not a sunset industry.