Sui strain under Sino-US trade friction: Shengze Weaving has its own strategy

Recently, Sino-US trade friction has been continuously upgraded. As a global fabric procurement base, China Shengze influences geometry?

How will it help China in this war, how to prepare for the United States?

Shengze Weaving has its own strategy -

In fact, at present, the Sino-US trade friction has little impact on the Shengze textile industry. On the contrary, it has shown some positive repercussions under the influence of market stimulus.

Expected assessment stimulus

Shengze orders surge

At present, from the orders of Shengze Textile Enterprise in the exhibition platform, the situation is more optimistic. On the stage of the 2018 China International Textile Fabrics and Accessories (Spring and Summer) Expo, which was called “the first exhibition of the universe”, the strength of “Shengze Weaving” surprised foreign merchants. From the offline market, at present, the Shengze textile market can be said to be booming in production and sales. Some enterprises have already filled their orders, and the supply is in short supply. Merchants even pick up the goods in cash.

Shen Jiangjiao, deputy general manager of Wujiang Hantong Textile Co., Ltd. said that at the exhibition, we launched more than 200 new products, attracting clothing brands and trading companies from all over the world to purchase.

Shen Yuen, chief of the General Branch of the China Oriental Silk Market Management Office, said that most of the world's chemical fiber filament production is in Shengze. If the United States raises tariffs on textiles and clothing, wool is still on the sheep, and a major economic burden will be passed on to their businesses and consumers. Although orders from the United States can be transferred to Vietnam, Mexico, and India, product quality is difficult to guarantee better than China. For Shengze enterprises, the advantages of origin are obvious, and the technology is mature, the quality is excellent, and even different products can be developed according to different market demands. This has been recognized by global merchants. "Don't be overly optimistic because of the current boom market. Due to multiple factors, many orders in the second half of the year have been concentrated in the first half of the year. When the trade war has become hot, the market will inevitably be hit and psychologically prepared." Shen Yuen said.

Waist bar hard friends

Take the initiative to attack the business opportunity

On March 18th, Jiangsu Shengze-Romanian textile and apparel fabric special matchmaking meeting was held in Shengze Oriental Textile City. On the same day, clothing buyers from Romania and the East Textile City merchants launched a face-to-face confrontation. Mikhail Paskulescu, president of the Romanian National Federation of Textile and Apparel and Leather Owners, said that he hopes that through the event, he will build a better cooperation platform for enterprises of the two countries and create more cooperation opportunities.

Following March 22nd, the Deputy Director of the Federal Ministry of Industry, Trade and Investment (National Chemicals and Petrochemicals), Anlaneme Frances, once again came to Shengzedong Textile City to visit the Silk Boutique Exhibition Center and the East. The fashion release hall, and then visited the Shenghong Group, leaving the admiration of "You are really amazing."

“The two countries are quite representative of the textile market in two continents.” Shen Yuen said that Romania is an important market for Chinese fabric exports and a textile distribution center in Eastern Europe. It is also a major processing market in Europe, and many “Made in France”. "Made in Italy" is actually from the country, China's cloth of 8 yuan per meter, where it can be sold for 100 yuan.

Romanian textiles have great potential and hopefully will scale in the next three to five years. Nigeria itself has oil resources, but it is subject to the old economic system. Crude oil is passively exported, and its development is subject to Europe and the United States. The Shengze enterprises represented by Shenghong have made breakthroughs in technology such as PTA and let them see the hope of development.

New York Road is too blocked to change Ottawa

There must be new ideas for new platforms.

It can be seen that the United States is an important market in North America. China's textile exports to North America need to be transited through the United States. In fact, due to market cost factors, Shengze Textile has no direct trade links with the United States, but more Strengthen trade links between the Americas and other countries.

However, for the Sino-US trade war, next, the US is likely to set up obstacles in the process of exhibiting in China, and the participation of Shengze enterprises may be affected. Shen Yuen said that this year, Shengze will further "go out" and participate in the Brazil, Canada and Ethiopia exhibitions, which will further demonstrate the global influence of China's textiles and make up for the vacancies caused by the United States.

In the interview, many entrepreneurs also said that under the new era and new situation, Shengze enterprises must have new ideas, should not stick to the rules, be brave enough to accept new things, train new customers, and update product categories. For example, at present, the knitting industry promoted by Shengze Town has increased the degree of industrial automation, saved labor costs, and promoted industrial transformation.

Take precautions

High-quality development of the industry is the king

At present, for this trade friction, people in the industry have said that there is no impact, but it is also necessary for textile companies to plan ahead.

Suzhou Zhongtao Textile Co., Ltd. is a comprehensive textile group company integrating garment and chemical fiber weaving. It mainly focuses on casual sportswear series and chemical fiber fabrics. At a time when competition in the textile market is becoming increasingly fierce, the company takes the road of product differentiation and adheres to the “going out” development, and foreign trade accounts for an important share of corporate sales. The products are sold well in many foreign markets. "At present, our foreign trade business has not been affected." Since the Sino-US trade friction occurred, Shi Xiaoliang, the general manager of the company, attached great importance and closely monitored the developments.

There is no such thing. Suzhou Zhiyi Textile Co., Ltd. is a foreign trade enterprise specialized in women's fabrics, and its foreign trade share accounts for more than 80% of the company's annual business. Talking about the impact of Sino-US trade friction, Xu Fang, deputy general manager of the company, said that the friction incident did not affect the company. On the one hand, the company has no direct trade relationship with the US market. On the other hand, the company The quality of women's fabrics is relatively high, and some high-end clothing brands rely heavily on them, and their competitiveness and bargaining power are strong.

Similar to Zhongtao Textile and Zhiyi Textile, at present, Shengze's enterprises involved in textile foreign trade business mainly in Europe and Southeast Asia, and there are very few direct trades with American apparel fabric buyers. Therefore, this Sino-US friction Has not directly affected the Shengze textile foreign trade business.

As a foreign trade service platform of Shengze Oriental Textile City, Alibaba has a rich experience in foreign trade service. In the view of Gu Kai, the head of the company's Shengze office, Trump's memorandum on the implementation of tariffs on trade with China is mainly in high-tech and information technology products, and does not involve textiles and clothing. However, China's textile and apparel is a major exporter to the United States, and the possibility of being included in the list of tariffed goods is not excluded in the future. He analyzed that China's textile and apparel industry is not highly dependent on the US market due to the cost factors in the US market. On the contrary, the Chinese market is an important supplier to the US apparel market, but most of them are secondary suppliers, not direct suppliers. Therefore, Shengze textile foreign trade enterprises do not need to be pessimistic.

"There is no danger in peace." Gu Ruru said that for the trade restrictions that the United States may impose, Shengze textile enterprises should attach great importance to it on the one hand, and calmly treat it on the other. He suggested that first, domestic enterprises should promote high-quality transformation and development, have leading production technology and irreplaceable product advantages, and the bargaining power of enterprises will be improved. The increase of US tariffs will only increase the purchasing cost of overseas consumers. From a horizontal perspective, the technical content of China's textile and apparel products has far surpassed that of other countries and regions, and it is irreplaceable. However, Shengze textile export enterprises still have to learn to walk on multiple legs and expand the market of domestic sales or “Belt and Road” countries. The share will achieve steady development; the third is to strengthen the pre-judgment of the market. The powerful enterprises can make a good global layout or market prospect in advance, and accelerate the development of their textile industry through industrial transfer.

Editor in charge: Xu Yuehua