According to statistics, my country's total textile fiber processing volume in 2000 exceeded 12 million tons, and the output of yarn, cloth, silk, chemical fiber, etc. ranked first in the world. However, large size does not mean strong competitiveness. On the contrary, currently, 2/3 of domestic enterprises still use horizontal spinning equipment from the 1970s and 1980s. The share of blowing and carding machines is only 14; the share of self-winding machines and shuttleless looms is only 32 and 9.7. There is a huge gap in production efficiency between old and new equipment. Therefore, the homogeneity of low-end products in the textile industry market is relatively serious, and there is an overall overcapacity. Enterprises focusing on low-end products have gradually fallen into vicious competition with price wars as the main means, which has affected the industry. The profitability and healthy development of enterprises.
Secondly, textile trade accounts for about 13% of the world's total. Textiles are highly dependent on foreign countries, and the export environment is crucial to the operation of the industry. Due to the impact of the "New Crown" epidemic in 2020, the industry's exports faced huge resistance. During the epidemic, because factories were unable to produce, many small textile companies faced problems such as order defaults and capital turnover difficulties. In addition, the textile industry itself is susceptible to macroeconomic guidance. The economic prosperity is transmitted along the industrial chain, forming the phenomenon of "industry prosperity rotation". Product demand will be adversely affected.
Environmental protection policies, which have received increasing attention in recent years, also have a significant impact on the development of the textile industry. The first is the issue of rising costs. Due to the high standards and strict requirements of environmental protection, textile companies must invest more costs to solve the problem of pollution standards.
Finally, some of our country’s traditional advantages are being weakened or lost. This has to attract the attention of the entire industry. Including the weakening of the cost advantage of labor resources, the weakening of the advantage of low prices of natural textile raw materials and the overall increase in the price of urban apprentices. For example, in the past, many enterprises received land allocated by the state, but now urban land prices are close to those in developed countries.
Regarding the above problems, how to change them is the top priority. The following four suggestions are put forward in this regard
1. According to the national "Tenth Five-Year Plan" key development and adjustment policy, the textile industry should track the development of international new technologies, use high and new technologies to transform traditional industries, and accelerate technological progress and industrial upgrading. . In this regard, Linyi Aobo Textile Thread Making Co., Ltd. has achieved outstanding achievements. The development of many of its brands such as "Aobo Huanyu" and "Lunshi" are produced using new technologies, and it has mastered 7 practical invention patents. It will complete a new upgrade of spinning equipment in 2021, reducing production costs while strictly ensuring The production quality has created an almost perfect reputation among consumers.
2. The signing of the "Regional Comprehensive Economic Partnership Agreement" on November 15, 2020 has brought a new round of vitality to my country's textile industry. At the same time, the "Belt and Road" economic corridor implemented by the country , there are mostly emerging economies and developing countries along the route, most of them are in the period of economic growth and have great development potential. As we all know, Southeast Asia is the fastest-growing emerging market in the textile industry. Both imports and exports of textiles have been growing rapidly in recent years. Japan, South Korea, Australia, and New Zealand are also important textile exporters to China. Today's Southeast Asian textiles have sufficient labor force advantages, but the infrastructure and technical level are weak. Once the agreement is signed, the complementary advantages of the textile industries of China and Southeast Asian countries will be more obvious. China's textile raw materials, gray fabrics, and fabrics can be used at lower prices. The cost is shipped to Vietnam, Malaysia and other places for processing, and the local labor advantages are used to make garments for export. In this way, seizing new opportunities from national policies and accelerating the construction of foreign trade modules are also new breakthroughs for the development and growth of enterprises.
3. In terms of business management, currently most domestic textile companies have not established a rapid response mechanism suitable for "small batches, multiple varieties, fast delivery, and high quality" to meet consumer demands in the new era. Improvements in this area are particularly urgent. In this regard, Aobo Line Manufacturing's approach is to provide customers with the right price, right quantity, and high-quality products at the right time. With a full understanding of the market, we use new processes, new technologies, and improved production efficiency to produce products and improve Production quality.