The List Of Giant'S Shirts Has Been Expanded And Expanded

On July 21, Changji Yida Textile Co., Ltd., a subsidiary of Yida group, was listed in the "entity list" of the United States due to its involvement in the so-called "forced labor". In the context of the recession in the textile market, the news that its enterprises are listed in the "entity list" has attracted the attention of the industry to this shirt manufacturing giant.

In response, Yida group said it was deeply indignant at the decision of the US Department of Commerce. In Yida, no matter in the past, present or future, forced labor will never be used. The accusation that Changji Yida used forced labor is totally unfounded. Changji Yida, established in 2009, is a full process intelligent spinning factory. The wages of technicians employed are 2-3 times of the local minimum wage. Changji was forced to investigate into the existence of an independent audit agency in Changji in 2019.

Solid and powerful response comes from the excellent strength of the enterprise itself. Since the outbreak of new crown pneumonia for half a year, the textile and garment industry is one of the most significant industrial chains with foreign trade shrinking. As Asia's largest pure cotton textile and garment export enterprise, Yida group is facing many tests such as production and operation. This year's performance has also suffered a decline, but waiting for death is not its style.

Under the pressure of anti epidemic, Yida group plans to break through with the balanced layout of resources and market: in the short term, it realizes the balanced allocation of production resources by changing production masks, and in the long term, it reshapes the market layout by building its own brand and accelerating the research and development of new products with high added value. From April to July, Yida nintong closed four factories around the world, concentrated the contracted production capacity in Foshan base, and optimized the construction of production bases in Guilin, Xinjiang and other places.

Changing production, direct broadcasting, redefinition of consumption, and adjustment of market equilibrium -- new situation is coming, and new water sources are constantly tested. How does the shirt giant survive the crisis and start a long-term butterfly transformation?

Adjustment strategy

The harvest is the harvest, and the turn is the turn. The winter is cold

For a textile and garment enterprise that relies on export, this "industry winter" is particularly sad.

At Yida factory, millions of garments are overstocked in warehouses. "It is the overseas market that has been hit hardest by the epidemic. The overseas market accounts for 83% of our sales. Overseas customers' stores are closed, so we don't want to deliver goods and put them in factories. Many customers have delayed payment. This blow is too big for us. " Guangdong Yida Textile Co., Ltd. General Manager Ma Weiping said.

Previously, Yida has been ranked first in China's export volume of men's cotton woven shirts for 15 consecutive years. It has operations in many countries, such as Japan, the United States and so on. However, since the outbreak of the epidemic, clothing has become one of the most significant shrinking industrial chains in foreign trade, which makes Yida, which mainly exports products, encounter difficulties. "Order cancellation is the most serious, with tens of millions of clothing orders cancelled." Ma Weiping said that after the clothing retail terminal was frozen, all overseas brands reduced or cancelled their suppliers' orders to a certain extent, resulting in the shutdown of many suppliers, and some small-scale manufacturers even faced bankruptcy.

Facing a new situation, large suppliers like Yida have to make adjustments to tide over the difficulties. As a result, Yida made a decisive strategic adjustment, that is, the income should be collected and the transfer should be made so as to achieve the balanced distribution and full utilization of various resources.

Since the 1990s, Yida has been building factories in Xinjiang, Changzhou and Guilin, balancing production layout and practicing new ideas of sustainable development. However, under the new situation, the board of directors of Yida group made a decision to close the garment factory in Fenghua, Zhejiang Province, whose land contract expired in April, in order to alleviate the problems of difficult recruitment and high production costs. In order to further integrate the business and reduce costs, Yida closed three factories in Malaysia and Mauritius. According to Ma Weiping, Foshan Gaoming is the core production base of Yida group. Yida puts the shrinking capacity in Foshan Gaoming, which has the most complete industrial chain.

At the same time, Yida has solved the needs of tens of thousands of employees for epidemic prevention materials by changing production and making masks in a timely manner, which makes it possible to flexibly adjust human resources and production capacity between mask production and clothing production with the change of epidemic situation.

Balanced layout

Changing production to make masks is not just "emergency"

At present, domestic production is gradually recovering, but Yida Gaoming factory still retains a mask production line, and the equipment is not removed to ensure that the production resources can be flexibly adjusted at any time. At its peak, 90% of Yida's production capacity was transferred to mask production.

At the beginning of the outbreak of the epidemic, epidemic prevention materials become the lifeline for enterprises to resume work and production. With the help of technology and self production, we have joined the ranks of mask industry. Purchase equipment to produce ordinary disposable masks, or independently develop a more functional and environmentally friendly mask? Yida chose the latter.

In spite of its rich experience in the field of mask manufacturing, it is still a new field. In order to be able to quickly respond to the supply of mask resources, Yida set up a mask production preparation group in early February. On the one hand, Yida integrates all available resources to invest in the new business of mask manufacturing, such as further research and development, breakthrough and improvement based on the existing waterproof and antibacterial treatment technology, and effectively uses its own fabric productivity and strong purchasing supply chain. On the other hand, Yida equipment research and development center quickly started the independent research and development of automatic mask production equipment. As of mid June, Yida has developed and put into use 29 sets of automatic mask production equipment, each set contains 4 small automation equipment, which together is equivalent to a small automatic mask production line.

After many rounds of brainstorming and self exploration, Yida "ten as official" cotton mask was released. According to reports, the mask can be washed and reused for at least 30 times, and it is equipped with a unique ear rope regulator. The two-dimensional code on the trademark can let consumers inquire about the authenticity of products and the use of cleaning methods, and provide big data for Yida to sell and use masks. As of mid June, Yida has produced nearly 40 million masks and sold 35 million.

For Yida, mask production is not only an emergency measure, but also a fulcrum to balance the distribution of resources. The production of masks requires the cooperation of raw material procurement and yarn, cloth and other raw material production links, which can share part of the idle manpower due to order cancellation and insufficient capacity. With the gradual stabilization of the epidemic situation in various countries and the recovery of ready-made clothing orders, Yida gradually transferred the mask production capacity and R & D efforts to garment production, and moved part of the mask production line from China to Vietnam. At present, only a small part of mask capacity is maintained in China to meet emergency or special needs.

With the deepening of strategic adjustment, mask products are no longer just needed and expedient measures of enterprises during the epidemic period, but become part of the long-term product strategy of Yida. At present, Yida is still developing new types of masks and exploring new breakthroughs in functionality, comfort and aesthetics.

Tap potential domestic demand

Grasp the new turning point of strengthening private brand

In addition to production balance, the balance of market layout is also on the agenda. Under the background of foreign trade being hit hard, China has been highly dependent on the international market and began to pay more attention to the domestic demand market. This is a strategic choice under the influence of comprehensive factors. Before that, most of Yida's main customers came from overseas, and it was said in the industry that nearly 1 / 6 of the shirts in the United States were produced by Yida. In contrast, Yida's domestic customers are not many.

Now, things are starting to change. Ma Weiping said that Yida is very optimistic about domestic demand. Nowadays, the development of domestic brands has a good momentum. For example, Anta and other enterprises have become a rising star in the world through the merger and acquisition of overseas brands. "If the concept of Chinese consumers is repositioned, there will be a lot of hope in the domestic market."

"We plan to gradually adjust the proportion of domestic and foreign businesses and expand domestic demand." In Ma Weiping's opinion, Yida, which has been focusing on the positioning of high-end men's ready-made clothes, will further expand its business scope. This year, it will strengthen cooperation with domestic brands and strive to receive more orders.

In addition, Yida's major focus on tapping potential domestic demand is to further strengthen its own brand and reduce its dependence on overseas big customers. As a fabric and garment supplier of many well-known brands at home and abroad, Yida's own brands "shirushi" and "Pai" are not outstanding in terms of brand volume and scale.

But since this year, both of Yida's private brands have made great progress. On the one hand, Yida puts the layout of online channels in the first place and introduces more franchisees offline. On the other hand, men's polo shirts have been added to Shi Rushi's single shirt line in the past. Pai will also add e-commerce channels this summer.

In May, Yida held a new product launch conference of "shirushi" in Shanghai. Pan Chuying, managing director of brand and distribution of Yida group, said that previously, the development of its own brand was still in the exploratory state, and this year's special situation is suitable for further commercial development of its own brand.

In fact, suppliers have a strong advantage in developing their own brands. The integrated supply chain behind the brand can be self-sufficient, eliminating unnecessary outsourcing links, and achieving a lower price to the greatest extent. At the same time, the supplier can adjust the stock according to the retail situation more quickly and flexibly.

In order to highlight the professionalism in the manufacture of shirts and meet the needs of more consumers' body shape, Shi Rushi has set up 61 sizes. But in fact, in addition to the SML size range suitable for the vast majority of people, not every size can stably walk, and behind each size, it means inventory pressure. However, with its own factory, the inventory problem can be alleviated to a certain extent.

Pan Chuying said that Yida has set up a production workshop for its own brand, and can quickly adjust the supply chain in the background with the data from the retail end.

In terms of brand development, it is difficult for retailers to specialize in brand development. After all, compared with the main business, the contribution of suppliers' private brand performance is too small, and the development of private brand needs to take into account marketing, channel laying, product development, etc., which will cost a lot of money and manpower. Judging from the current brand volume and scale of shirushi, there is still a long way to go.

However, pan Chuying believes that the impact of the epidemic will also affect consumers' thinking about clothing consumption. Let people realize that what they really need to buy is reliable and practical. According to the brand positioning of Shi Rushi, it will become an opportunity to accelerate development.

Looking at the textile and garment enterprises under the epidemic situation, from a positive point of view, the epidemic has accelerated the transformation of global clothing supply chain. In the future, more foreign clothing retailers will move part of their supply chain outside China, reducing their excessive dependence on made in China. And suppliers are also strengthening their own strength, no longer to the fate of the big customers, to prevent the crisis of order shortage.