Guangzhou’s large wholesale fabric market has been hit by low demand rather than the epidemic.
As of November 13, 707 new confirmed cases and 3,941 new asymptomatic infections were reported in Guangdong province, mainly concentrated in Guangzhou. Factories in Guangzhou areshut or running with limited operations. Though the epidemic has caused regional disruptions in production and distribution, lack of demand is the main reason for the depressed market. There has been no increase in orders from markets that have been unsealed.
Hanzheng Street in Wuhan, China Textile City in Shaoxing, China Oriental Silk Market in Suzhou, Nantong Folded Stone Bridge and other major cloth and garment markets are currently less affected by the epidemic, but market transactions are still thin. Factory orders have not improved significantly after the end of the epidemic control.Downstream finished goods inventory pressure is high, and the operating rate has gradually declined.
The high inventory of filament is mainly due to the obvious weakness of downstream demand, as grey fabric, textile and clothing are all under high inventory pressure. In China domestic sales of textile and clothing have gradually weakened and at the same time export orders have not improved. Domestic sales of filament declined rapidly in November.
