Textile Orders Are Cut Off! Orders From Europe And America Return To Southeast Asia

Last year, affected by the epidemic situation in India and Southeast Asian countries, a large number of textile orders flowed into China. Now, with the gradual effect of epidemic control in these regions and countries, the textile industry has begun to recover.

Vietnam's textile exports soar

According to the statistics of Vietnam's Ministry of industry and commerce

In the first quarter of 2021, Vietnam's export of textile products reached 7.18 billion US dollars, up 1.1% compared with the same period in 2020; the export of fiber and textile yarn increased by 31%; the export of canvas and industrial fabrics increased by 8.8%.

In the first quarter of 2021, vndirect, a Vietnamese securities company, predicted that with the economic recovery of the main export markets of Vietnam's textile industry, such as the United States, the European Union, Japan and South Korea, the value of Vietnam's textile exports will also increase.

According to vndirect, Vietnam's textile exports will grow by 8.4% in the second quarter of 2021 compared with the same period in 2020.

It can be seen that after the severe impact of the new crown epidemic in 2020, the textile and clothing industry has obviously begun to recover.

In 2021, the target of Vietnam's textile and garment industry is to reach 39 billion US dollars, an increase of 10% over 2020.

Wu Dejiang believes that the goal is feasible, as Vietnam's textile and clothing industry is facing great opportunities brought about by a number of new free trade agreements.

Orders in Pakistan and Bangladesh rebounded

According to the economic and Commercial Department of the Chinese Embassy in Pakistan

According to the data released recently by the Pakistan Bureau of statistics

In the first seven months of the fiscal year (July 2020 to January 2021), Pakistan's textile and clothing exports increased by more than 8% year-on-year to US $8.76 billion.

Among them, the export volume in January 2021 increased by 10.79% year-on-year to 1.32 billion US dollars.

It is understood that the growth of textiles and clothing mainly comes from high value-added textiles, such as knitwear, towel, bedding, etc.

According to the latest data of Bangladesh Export Promotion Bureau

In January 2021, Bangladesh's garment exports amounted to 2.862 billion US dollars,

83% year on year,

The year-on-year decline was 3.86% lower than that of the previous month.

In this fiscal year (starting from July 2020), the total export volume was US $18.408 billion, a year-on-year decrease of 3.44%.

Among them, the export of woven clothing was $8.419 billion, down 10.85% year-on-year, and that of knitted clothing was $9.989 billion, up 3.84% year-on-year.

The EU is still the largest export region of Bangladesh, accounting for 62.47%, followed by the United States, accounting for 18.5%, and Canada accounting for 3.11%.

Transfer of orders and decrease of domestic orders

Some industry analysts pointed out that in August and September last year, some Southeast Asian orders were transferred to China, but this situation slowed down significantly after November 2020, and after the epidemic situation in Southeast Asia and South Asian countries was controlled, orders began to flow back to the local areas stably.

It is expected that in the case of vaccines, the possibility of Southeast Asian textile and garment orders flowing into China again this year is relatively small.

The beginning of this year should be the textile peak season in March and April, but all kinds of textile orders are not optimistic.

"Overseas orders for finished goods are not very good now, because last year foreign stocks were very high."

Ouyang Hong, general manager of Suzhou Jingzhi Textile Technology Co., Ltd. and Suzhou yunzhilan Textile Technology Co., Ltd., said that they mainly engaged in foreign trade business in Europe and the United States. "We send e-mails to overseas customers, and they basically don't return any orders."

At present, the pick-up speed of weaving start-up rate in Jiangsu and Zhejiang has slowed down, the stock of various grey fabrics has begun to rise slightly, and the start-up rate of printing and dyeing has also begun to slow down.

Although the global epidemic situation is gradually under control and the economy is recovering slowly, textile orders from Europe and the United States are returning to Southeast Asia and other countries.

It is difficult to reverse the trend of medium and low-end textiles from China to Southeast Asia, and the greater opportunity for China in the future lies in the quality control and further optimization and integration of the supply chain.