Market Research: Analysis On The Investigation Of Filament Weaving Industry In Spring

China filament weaving Association recently carried out a survey on the production and operation of key member enterprises in spring of 2022 In 2022, the filament weaving industry starts smoothly, the overall confidence of enterprises is cautious and optimistic, the market demand is relatively stable, the high price of raw materials and the increase of operating costs are the main factors affecting the operation of enterprises. The details are as follows:

　 　01、 Basic information of enterprises interviewed

The enterprises surveyed are mainly concentrated in Jiangsu and Zhejiang, accounting for 82% of the total. The rest of the surveyed enterprises are mainly distributed in Fujian, Hubei, Shandong, Henan, Shanghai and Anhui, basically covering China's filament weaving industry cluster. from Subdivision area Look, the main business products of the interviewed enterprises mainly focus on functional fabrics, cold proof clothing, outdoor sports wear fabrics, casual wear fabrics, silk like fabrics, lining, shading cloth, curtain cloth, industrial fabrics, bedding fabrics, and some of the main products of the enterprises also include flannel, lining, luggage cloth, tooling fabrics, etc. Among the surveyed enterprises, 73% are mainly for domestic sales and 27% are for export.

　 　02、 Current operation of the interviewed Enterprises

　　 （1） Steady start of the industry

Since 2022, the industry has started steadily. Judging from the current capacity utilization rate of enterprises, 45% of the surveyed enterprises have produced at full capacity, 40% of the surveyed enterprises have restored their production capacity to more than 80%, 13% of the enterprises have a capacity utilization rate of 50% - 80%, and one of the surveyed enterprises has a startup rate of less than 50% due to the impact of the epidemic. From the perspective of employee to job rate, 45% of the surveyed enterprises said that all the employees were on the job, 49% of the surveyed enterprises had the on-the-job rate higher than 80%, and that of the rest of the enterprises was between 60% and 80%. The resumption of work and production has a good momentum.

The surveyed enterprises are relatively satisfied with the business conditions in the first two months. 6% of the enterprises think that the current business situation is very good, 36% of the enterprises think that the business situation is relatively good, 51% of the enterprises think that the business situation is general, and 7% of the enterprises think that the operation situation is very poor, as shown in Figure 1.

　　 （2） The market demand is relatively stable

In the case of on hand orders, 7% of enterprises said that on hand orders can support production for more than 3 months, nearly 70% of enterprise orders can support production within 3 months, and nearly 1 / 4 of enterprise orders can support production within 1 month.

From the current inventory situation of enterprises, 27% of the surveyed enterprises have inventory less than one month, and most of them are order-based enterprises; 56% of the enterprises said that the current inventory is 1-3 months, 11% of the enterprises are at the high inventory level for more than 3 months, and nearly 5% of the enterprises surveyed have been in stock for more than 5 months, and their products are mainly imitation silk fabrics and luggage fabrics.

Judging from the price evaluation of the current main products, 49% of the enterprises think that the price is normal or slightly surplus; 42% of enterprises think that the price is low and there is no profit space; 9% of enterprises think the price is ideal now.

　　 （3） Risks and challenges faced by enterprises

At present, the main difficulties faced by enterprises in the process of operation are the increase of operating costs and the decline of profits, and the concentration ratio is as high as 80%; More than 40% of the enterprises reflect the problems of declining market demand, labor shortage and lack of professional talents. Nearly 30% of enterprises also have difficulties in financing, expensive financing and overseas market expansion. See Figure 4 for details.

Judging from the external challenges faced by enterprises, the biggest problem troubling the interviewed enterprises is the sharp fluctuation of raw material prices, with a concentration rate of 87%; In addition, the decline in global demand, excessive competition in the industry, difficulties in recruitment and the uncertainty of the global political and economic situation are also the problems reflected by enterprises, as shown in Figure 5.

　 　 03、 Research and judgment on 2022 of enterprises interviewed

According to the survey of the annual sales revenue of enterprises in 2021, nearly 80% of the surveyed enterprises' sales revenue was equal or increased year-on-year with the same period last year. The proportion of enterprises with a year-on-year growth of more than 20% accounted for 27% of the total number of enterprises interviewed. It should be noted that 11% of the surveyed enterprises' sales revenue in 2021 decreased by more than 20% year-on-year.

According to the survey of the annual sales costs of enterprises in 2021, 93% of the surveyed enterprises' operating costs were the same as that of the same period last year or increased year-on-year. 24% of the surveyed enterprises reflected that the annual operating costs in 2021 increased by more than 20% year-on-year.

Through the investigation of the factors affecting the operating costs of enterprises, it can be seen that the rise of raw material prices and the rise of workers' wages are the two main reasons. The increase of three fees, the increase of sea freight and the rise of electricity price also lead to the increase of enterprise costs.

According to the survey on the domestic sales orders of enterprises in 2021, 84% of the enterprises surveyed had the same or year-on-year growth in domestic sales orders compared with the same period last year, and 27% of the enterprises whose orders increased by more than 20% year-on-year, and the domestic demand market recovered steadily.

According to the survey of enterprises' export orders, 62% of the enterprises whose export orders were in line with the same period of last year or increased year-on-year, 22% of the enterprises' export orders decreased by less than 20% year-on-year, and 16% enterprises' export orders decreased by more than 20%. According to the enterprise, the decrease in export orders is mainly due to insufficient global demand and the decrease of new orders, as well as the sharp rise of sea freight and blocked delivery, which caused enterprises to be cautious in receiving orders.

Combined with the production and operation situation of the whole year in 2021 and from January to February of 2022, the interviewed enterprises forecast the order situation and sales revenue of the whole year in 2022. From the perspective of order forecast, 35% of the surveyed enterprises believe that the orders will increase in different degrees in 2022, 40% of the surveyed enterprises think that the orders in 2022 will be the same as those in 2021, and 25% of the enterprises surveyed believe that the order volume will decrease. According to the sales revenue forecast, 44% of the surveyed enterprises believe that the sales revenue will increase in 2022, 36% of the surveyed enterprises think that the sales revenue will be the same as that in 2021, and 20% of the enterprises surveyed think that the sales revenue will decline slightly.

　 　 zero 4、 Summary and suggestions

It should be noted that in recent years, the international epidemic situation is still spreading, and the domestic epidemic situation in China is showing a multi-point rebound trend. Affected by the domestic epidemic situation, some enterprises have suspended production, which is expected to have a certain impact on the overall operation of the industry in the first quarter. The "stable growth" of the industry is still facing some uncertain factors. Affected by the global economic and political situation, the current external environment is still complex and severe, international oil prices have reached a new high, and enterprises are facing multiple challenges such as high logistics costs, high raw material prices and strong RMB exchange rate. It is expected that the cost pressure will continue this year, and the industry will still move forward in negative pressure.

In the face of complex environment and fierce competition, enterprises in filament weaving industry need to strengthen development confidence, strengthen scientific and technological innovation and product development, promote digital transformation and green production, actively tap new demands, develop new products and expand new applications, so as to realize high-quality development of the industry.

(source: China Textile News)