Why does the textile industry still have happy troubles?

Just after the end of the Spring Festival holiday, the announcement of the central bank’s first rate hike in 2011 opened the curtain for further tightening of China’s monetary policy. Funds, funds! Domestic textile companies are generally in a hurry.

As the central bank announced that the financial institutions will raise the benchmark interest rate by 0.25 percentage points a year from February 9, the one-year interest rate has reached 6.06%. The continuous increase of interest rates has increased the cost of enterprises, increased the expenditure of financial expenses such as interest, and increased operating costs. On the 9th, the middle price of *** against the US dollar also set a new high since the exchange reform. The increase in both the exchange rate and the interest rate will undoubtedly be a double burden on many textile companies. Coupled with the high raw material prices and labor shortages in the coming year, the pressure on textile companies in 2011 can be imagined.

However, the textile industry is not a hardship. At the beginning of the new year, the raw material market in the upper reaches of the market will appear to be "open up." First, the price of cotton ** went up again; the second was the price of PTA all the way through, and Huwei never diminished.

The increase in cotton prices remains the same. The hard gap between supply and demand makes cotton prices likely to remain high this year. The polyester polyester industry, from 2010 to 2011 ushered in the peak of expansion, production capacity is mainly concentrated in the end of 2010 to the first half of 2011. In 2010, the new polyester production capacity was 4.09 million tons/year, and the annual production capacity reached 30.57 million tons/year. It is estimated that the new polyester production capacity will be 4 million tons/year in 2011, and the new polyester production capacity will be 2 million tons/year in the first half of the year. It is bound to have a strong demand for PX and PTA.

After a significant expansion in 2009, the domestic PX capacity growth slowed down from 2010 to 2011. By the end of 2010, the PX capacity reached 8.26 million tons/year, and the new PX capacity in 2011 was approximately 1.8 million tons. PTA, the domestic production capacity at the end of 2010 reached 16.36 million tons / year, the current capacity is under construction at 4.4 million tons, mainly in production in the second half of 2011.

Calculated according to the average operating rate of 80% of domestic polyester companies in 2010, the demand for new PTA will reach 155,000 tons per month in the first half of 2011, adding a total of 930,000 tons. During the same period, the domestic PTA production capacity remained at the end of 2010, 16.36 million. Tons/year. what does this mean? In the first half of 2011, the supply gap in the PTA market will further expand! According to authoritative calculations, in the first half of this year, China's PTA monthly average imports will increase by 155,000 to 65.5 million tons on the basis of an average monthly import volume of 500,000 tons in 2010.

Obviously, the high profits of the textile industry are clearly concentrated in PTA, polyester chips, polyester and Other industries. Li Shuirong, chairman of Zhejiang Rongsheng Holding Group, was pleased to announce at the 2011 China Textile Roundtable Forum that the past year was the best year for the chemical fiber industry. In 2010, Rongsheng Group's profits reached more than 2 billion yuan, and listed funds raised more than 3 billion yuan. The existing production capacity of Yisheng PTA project, which the group participated in the construction, is 2.8 million tons/year. After the new capacity is put into operation in June 2011, the output will be doubled on the existing basis. At the same time, Rongsheng Group's polyester polyester production capacity has reached 1 million tons/year, and will increase by 500,000 tons/year during the year. At present, the total assets of Rongsheng Group have exceeded 200 billion yuan.

"So much money, I really don't know how to spend it?" Li Shuirong's remarks on the forum seem to ridicule, reflecting the wealth of "problems." This is a happy worry. It is indeed different from the lack of money. It takes more wisdom and vision to resolve this annoyance than to eliminate the lack of money.
With textile companies generally feeling that the funds are tight, there are still many companies such as Rongsheng Group that have sufficient funds in their hands. From the development trajectory of the Rongsheng Group, we have obtained a lot of useful inspirations: on the one hand, we must have eyesight, invest in quasi-advanced, so that enterprises can quickly benefit from the rapid growth of the dominant industries; Second, the long-term vision, the company will be early Into the necessary financial track for international development, successful operation of the capital market, success, and create conditions for the sustainable development of the company.

Cheng Siwei once summarized economic globalization in the 21st century as four major features: First, finance as the core, financial integration and globalization of the world economy are developing interactively; second, knowledge-based, comprehensive factors in the developed countries. (The factors related to education, science and technology, and management) contribute more than 60% to economic growth, while China currently relies mainly on investment to stimulate growth. Third, information technology is the lead, enabling many things to work long distances. Can further improve efficiency; Fourth, multinational companies as a carrier, from a global perspective to develop strategies and profit models.
In the new century, finance has been called the lever of the world. This global financial crisis is the best textbook for earth people to realize the great power of finance for the development of the world economy.

Economic globalization is an irreversible trend. We cannot deny it or ignore it. We must actively participate in it, seek advantages and avoid disadvantages as much as possible, and must not only give full play to comparative advantage, but also strengthen its irreplaceable position in a certain aspect of international division of labor. In particular, it must take a dominant position in certain key links, seize the strategic commanding heights of future competition, and promote industrial development and structural upgrading. As China’s labor force dividends and low-cost manufacturing advantages are weakened, the traditional textile industry’s pressure to participate in international competition will also increase. Even so, it must be integrated rather than evaded.

If we take a long-term perspective and will not be able to use it for a long time, the level of industrial competition, including traditional manufacturing industries such as textiles, will continue to increase. It will evolve from the current market and product competition to competition in the capital market. Guide the flow of capital in related industries. Therefore, we say that if you have money in your hands, it is not really rich. The real strong person is able to let other people's money follow you.