US Sanctions On Cotton Products In Xinjiang

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The reason why small and medium-sized textile enterprises are at a loss in the face of such a market is that most small and medium-sized textile enterprises have relatively single business varieties, general technology and strength, and poor risk resistance ability. In recent years, the small and medium-sized textile enterprises concentrated in the coastal areas along the Yangtze River have suffered from multiple attacks in the market. At present, they are in a state of "closing down one batch, settling for the rest of the country, and supporting a group reluctantly". Under the double suppression of the epidemic situation and foreign trade, the overall business situation has been difficult to revive since this year.

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In response to the U.S. sanctions against Xinjiang cotton products, some small and medium-sized textile enterprises that directly provide yarn raw materials for foreign trade clothing and home textile products directly to the downstream have increased pressure. According to the person in charge of Jiangsu textile enterprises, although they have not received the notice from the downstream suppliers that the supply of raw yarn is limited, they have already made psychological preparations. First, they should lower the price of raw cotton to the factory price, reduce the purchase price by 100-200 yuan / ton, and strictly calculate with the spinning products, so as to reduce the price gap and the overstock of raw materials and products; second, they should actively pay attention to the market trend, and The third is to strengthen the implementation of the management strategy of "small at both ends and fast in the middle", firmly implement the small inventory (raw cotton and yarn), speed up the order production progress, and strive to supply goods in advance. For the order purchase under the turbulent situation, we should take "maintaining the enterprise and maintaining the life and retaining the personnel" as the bottom line, and do not engage in loss trading.

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Industry insiders predict that if the United States starts sanctions on Xinjiang cotton products, the textile business based on Xinjiang cotton will suffer heavy losses, and textile enterprises will inevitably make helpless choices in the future. In the face of daily operation of small and medium-sized textile enterprises, in dealing with market turbulence and their own operation, have formed a lot of experience. From the fight against the epidemic situation and foreign trade risks, the small and medium-sized textile enterprises insist on the winner. They walk on the road full of ups and downs and thorns with heart breaking pressure. China's textile enterprises are growing up in the process of tempering and moving towards maturity.

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