Statistics Of The Status Quo Of The World'S Seven Major Textile Countries: Shortage Of Orders, Decline In Export Rate!

preface

The negative impact of the new crown epidemic on the global economy is still deepening. Major participants in the global textile industry have been affected by the negative impact, such as falling exports, shortage of orders, application for closure and production reduction The world is hot and cool.

Vietnam?

Textile and garment exports are expected to drop by 16% this year

According to the statistics of Vietnam's Ministry of industry and commerce, the export volume of various types of yarn in the first seven months of 2020 will decrease by 20.9%, cloth by 40%, and processed textiles by 12.1%. The Ministry reminded that in the second half of 2020, Vietnam's textile enterprises will need to strengthen the development of the domestic market and reduce production and management costs to make up for the revenue of the enterprises, while maintaining the quality of products, resetting production lines and manpower deployment, in order to tide over the impact of the new coronavirus pneumonia epidemic.

Global data estimates that the clothing and footwear industry in the Asia Pacific region will lose $95.4 billion in sales this year. Global textile sales will decrease by $395.6 billion, down 19.5% from last year, accounting for 29.1% of the total retail revenue loss of $1.3617 trillion.

Vietnam Textile Group VINATEX made a forecast on August 2 that Vietnam's textile exports will continue to show a downward trend in the second half of 2020, with a drop rate of 14-18%, so that the total textile export volume in 2020 may reach 32.75 billion US dollars, 16% lower than that in 2019. More information points out that as of the end of July, most Vietnamese textile enterprises have hardly received orders for high-value-added products such as suits and high-end shirts in the second half of 2020, while orders for masks and protective clothing have dropped sharply due to the sufficient international supply. Therefore, in the future, if the export of masks and protective clothing is reduced, Vietnam's textile industry will face greater difficulties in the last few months of 2020.

At present, the epidemic situation in Vietnam's traditional textile export markets, such as the European Union and the United States, has not been fully controlled. In addition, the domestic epidemic in Vietnam has made a comeback in Danang city on July 25, and the confirmed cases have increased to about 100 within a week, and the first death case occurred on July 31. Under these unfavorable factors, the production, operation and export activities of Vietnam's textile industry are bound to be affected. The European Vietnam free trade agreement (evfta), which came into effect on August 1, will not bring Vietnam's textile industry the benefit of "timely rain" in the short term.

The People's Republic of Bangladesh

Exports will return to pre epidemic levels in January next year

According to the data of the Textile Mills Association of Bangladesh, affected by the new crown epidemic, the cotton import volume of Bangladesh in the 2019 / 20 fiscal year was 7.1 million bales, a year-on-year decrease of 13.4%, which was the first decrease in more than a decade.

According to reports, most textile mills resumed production after the epidemic blockade was lifted on May 30. Although the international cotton price has fallen sharply before, the factory is still digesting the early stock of cotton, and many import enterprises have also delayed taking delivery from the port. However, with the recovery of downstream demand, textile mill product inventory has been largely digested, so cotton import demand will increase from now on.

At present, the production capacity of most garment factories in Bangladesh has recovered to about 75%, which shows that orders are recovering smoothly. Industry insiders said that if international buyers continue to purchase from Bangladesh at the current pace, the country's demand for cloth will continue to increase after September.

According to the introduction of Bangladesh Textile Manufacturers Association, by July, more than 50% of the cloth sales orders in Bangladesh have been completed. It is expected that 75% of the cloth sales orders will be completed by September. All tasks will be completed by the end of the year, and the export will return to the level before the epidemic in January next year.

Cambodia

It is expected that less than 20% of orders can be flat in the fourth quarter

Under the double pressure of new crown pneumonia and the cancellation of EBA, Cambodia's textile and garment industry is facing great difficulties. Since the beginning of the year, about 250 enterprises have been shut down or closed down, and 150000 employees have been unemployed, mainly female workers. According to GMAC survey, it is estimated that only 30% of the orders of member enterprises in the third quarter of this year will be the same as that of last year, and the rest will decline to varying degrees. Less than 20% of the members are expected to have flat orders in the fourth quarter. Due to the cancellation of EBA tariff preferential measures, the export prices of Cambodian clothing products to the EU market have increased relatively, and the orders from the EU have decreased significantly. In order to save the cost, many clothing production enterprises stop production. The Cambodian government has certain support for relevant enterprises. Enterprises pay workers a minimum wage of $30 a month and government subsidies of $40 to help enterprises resist the impact of the epidemic.

Myanmar

Nearly 10 enterprises have applied for suspension of business and have no confidence in the future

Dan Hin Lun, director of the Myanmar investment and company Authority (DICA), said that Myanmar Investment Commission (MIC) had received applications for closure of about 10 enterprises. According to the investment law of Myanmar, an enterprise approved by mic must be approved before it can be officially closed down, and the tax payment situation needs to be checked by the tax authorities. He said that affected by the new pneumonia epidemic, some enterprises are reducing the scale of production, even forced to temporarily or permanently shut down. Individual business owners ran away and did not pay their workers.

It is reported that as of June 21 this year, 100 garment and textile enterprises and 63 other enterprises have closed down, and more than 54000 workers have lost their jobs. At present, 101 enterprises have resumed operation, and more than 15000 workers have returned to work.

The epidemic has a great impact on Myanmar's economy, and the sharp reduction of orders in Europe and the United States has caused a great blow to the future development of the clothing industry. According to the survey, 70% of garment factories are not confident that orders will return to the previous level. At present, many enterprises are also looking for a new development path, such as changing production of masks and other anti epidemic materials.

Indonesia

The textile industry made a fortune because of the outbreak of the epidemic

Under the influence of the global epidemic situation, the global health emergency caused by coronavirus may not have a serious impact on Indonesia's economy because Indonesia has not yet been deeply integrated into the global supply chain.

Indonesian textile and garment companies have seen an increase of about 10% in new orders at home and abroad this year as factories look for alternative materials from outside China. According to Indonesian company personnel, while the Asian textile and clothing industry is facing bankruptcy and layoffs, Indonesian textile and clothing companies have made a fortune due to the delay in delivery caused by the outbreak and spread of the epidemic.

Mr. Sutanto, deputy chief executive of Tangerang based Pt panbrothers, said the company's demand was rising, with growth rates of 20% higher than expected in the second and third quarters. The textile to clothing company initially expected sales to grow 15% this year. Iwan lukminto, chief executive of Pt Sri rejeki isman, one of Southeast Asia's largest textile and clothing manufacturers, said the company also saw an additional 15 per cent increase in orders.

All of these orders are placed by local garment factories that produce clothing for global brands. With the approval of the Indonesia Australia free trade agreement this year, sales of textiles and clothing are expected to rise, and the windfall from the coronavirus will follow. According to the Indonesia Australia Free Trade Agreement, Australia will reduce the import tariff of textiles and clothing products by 5%.

Laos

Enterprises are facing the problem of shortage of orders

Laos's clothing industry is relatively small, and the impact of the epidemic is the largest among all countries. Xaybandith, chairman of Laos garment industry association, said that the old clothing industry was highly dependent on imports, and the port closure caused by the epidemic situation had a great impact on the supply of raw materials for the industry. Affected by the epidemic situation, imports from Thailand, China, Vietnam and other places are relatively smooth, but the import inspection is extremely strict. Since April, only the epidemic prevention work meets the requirements, and there are staff dormitories or factories where employees live near the factory can get the work permit for production, so the vitality of the whole industry is seriously insufficient. Some enterprises hope to find new export through changing production of epidemic prevention materials, but due to various reasons such as raw materials and equipment, only three enterprises have successfully changed production. At present, Laos clothing enterprises are generally facing the problem of shortage of orders, and the future development pressure is greater.

Thailand

Exports fell 17% year on year, and production reduction was adopted

Thailand has a relatively complete textile and clothing industry chain, but the impact of the epidemic on Thailand's industry can not be underestimated. According to jumnong, chairman of Thailand's National Textile Industry Federation, the export of Thailand's textile and garment industry has dropped by 17% and the import has dropped by 19%. Among them, imports from China decreased by 12% and imports from ASEAN decreased by 16%. Due to the shortage of orders, Thai textile and garment enterprises mostly adopt the mode of production reduction, and some factories only start operation 4 days a week. The printing and dyeing enterprises with full load operation originally also have the situation of one day shutdown per week. At the same time, the collection of existing orders is also difficult. However, the epidemic may also be a double-edged sword. Some enterprises have made good achievements in developing antibacterial products for export to Japan. Since the beginning of this year, some factories have been looking for new opportunities to expand their production capacity, and more than a dozen new factories have been put into operation. The Thai tex project, supported by the government, is also actively supporting the development of the industry.