price rise pressure of raw materials

For textile enterprises, due to the sharp rise in oil prices caused by the Russian Ukrainian war, the prices of fiber raw materials are rising, and the rise in costs is difficult to be transmitted to end products in the short term. On the one hand, the purchase of raw materials cannot be in arrears, and the payment of finished products cannot be collected in time. Both ends of the enterprise's production and operation are squeezed, which extremely tests the development toughness of the industry.

An industry person who has received orders from Europe and the United States for many years also told reporters that now domestic powerful trading companies receive orders, which are basically arranged in two production bases at home and abroad, and large orders are produced abroad as much as possible. "For example, we made orders for French fashion brand Morgan and American Levi's And gap's Denim orders are generally produced in overseas bases such as Bangladesh, Myanmar, Vietnam and Cambodia. These ASEAN countries have relatively low production costs and can enjoy some preferential export tariffs. Only some orders with small batch and relatively complex process are retained in China. In this regard, domestic production and processing has obvious advantages, and the quality can be recognized by buyers. We balance the company's overall foreign trade operation through such arrangements. " He said.

Professionals from a well-known textile machinery equipment manufacturing enterprise in Italy said that now the manufacturing industry is generally global manufacturing. As a mechanical equipment manufacturer, the prices of various raw materials such as copper, aluminum and steel required for the production of precision equipment are rising, and the production enterprises are under great cost pressure.