Sino US Consultation: Trade Uncertainty Between China And The United States

At a regular online news conference held by the Ministry of Commerce on the 20th, Gao Feng, a spokesman for the Ministry of Commerce, said the two sides had agreed to hold a call in the near future!

What does it mean, friend "It's too hard to think about it again and again", "it's too hard to do foreign trade business"

In the process of the visit, "Sino US trade uncertainty" has become a pain in the hearts of many textile people. Because of this, most textile people are not optimistic about the market in September and October! In fact, there is still a lot of pressure in the export market between China and the United States Mr Shen, a trader, said.

Foreign trade orders can slow down in the US market

Previously, trump said that the Sino US economic and trade negotiations were cancelled, which was the one scheduled for August 15 to determine the implementation status of the first phase.

At first glance, this is indeed bad news. However, after more than two years of trade friction, the trade volume between China and the United States has dropped to the third place. Now, China's largest trade partner is ASEAN, followed by the European Union. It can be said that many textile owners are used to the repeated news.

In recent years, China's textile and clothing market share in Europe, the United States, Japan and other traditional export markets is being filled by competitors such as ASEAN, India and Bangladesh, and the share of orders to the United States is still decreasing.

An official in charge of a clothing factory also said that there were too few orders in the United States this year, and the loss of workers was more serious than in previous years. At present, the continuous tension between China and the United States has also made it difficult to place follow-up orders. We can only wait for the US election in November to see if there is any new hope.

Another clothing factory in Shenzhen also overstocked a warehouse of clothes this year because of the cancellation of orders from European and American customers. The boss said that he had lost all the money he had made in previous years.

The prosperity of the clothing industry is deeply affected by the textile industry. Today, China and the United States textile trade situation is still more severe, and the overall development of China and the United States textile industry is still facing greater pressure.

However, in August, some trading enterprises reported that the situation of receiving orders had improved, and the frequency of purchasing orders increased. Orders placed are mainly autumn and winter fabrics. Due to the seasonal demand of autumn and winter fabrics, export orders in some regions have increased. "At present, the foreign trade market is gradually adapting to the changes in the international situation. Recently, I heard from friends that South America, Brazil and other countries will have batch orders. However, due to the poor continuity of orders, I feel that the market is coming and going in a hurry, and it is easy to be dissipated by the market!" A textile mill boss Xu said.

The existing stock will not be digested until next year!

"How many new clothes have you bought this year?" Under the epidemic situation, many well-known clothing brands are in trouble.

Victoria's secret British company went into bankruptcy liquidation; Brooks brothers, the oldest clothing brand in the United States, filed for bankruptcy; fast fashion giants such as H & M, Zara and gap are closing stores; and textile giant Weiqiao textile recently released an interim performance announcement. The company's sales revenue of cotton yarn, grey cloth and denim decreased by 29.2%, 24.5% and 49.7% to 1.395 billion yuan and 1.995 billion yuan, respectively 100 million yuan and 206 million yuan, the market value decreased by nearly 76%.

In the face of such a large market environment, as a clothing upstream fabric business life is not easy. In fact, the main reason why most of the "gold and silver" stocks are too high for the textile industry is that most of them are not good for the society.

A textile factory owner joked: "now you go outside to ask a circle, if anyone said only a month's stock, that is good, most factories have a lot of stock."

According to the monitoring data of sample enterprises of China silk capital network, the grey cloth inventory in the market fell slightly at the end of July, and then entered the accumulation stage again. Although the recent improvement in the market has slowed down the rise rate of enterprise inventory, the industry inventory is still maintained at a high level of 45-46 days. From the current transaction situation, it is difficult for grey cloth inventory to enter the turning point of decline in the short term.

"This year's market is very difficult to improve, everyone's inventory is too large, I am not pessimistic to say, but these stocks I think to wait until next year's now can be consumed." Mr. Chen, who has been engaged in textile grey fabric business for more than 10 years, said, "recently, the production and sales of the factory are almost 80%, which is still in the accumulated inventory stage."

At present, it is late August. According to the Convention, the market also begins to enter the alternate period of low and high seasons. At this time, the market polarization will be more obvious. The proofing and delivery of marketable products are more active, and the unsalable varieties are still "no one's attention". In addition to this year's market environment, it is difficult for the market to break out in September.

Of course, some owners still have some expectations for the market in September. On the one hand, after a long-term suppression of the market, clothing factories and traders still have a strong demand for autumn and winter fabrics. As a textile boss who is a brand clothing fabric said: this year, all brands' orders have only dropped by 50%, and 50% are issued as express response or e-commerce mode, so next month may usher in another one A little peak!

Now the textile industry is standing at the crossroads. It is impossible to predict whether the market will continue to get better or not. After all, the overseas epidemic situation has not been effectively controlled, and there are too many variables in Sino US trade. However, no matter what the market situation in September, I believe most textile owners will still choose to "endure" and have hope for improvement only if they live on!