China Seamen's Association: In the first three quarters, the growth rate of production and sales in the sewing industry slowed down

In the first three quarters of 2011, China Sewing Association released its report on economic operation. Slowdown in production and sales growth in the sewing machine industry In the domestic and international markets stabilized and slowed down in demand, China's sewing machinery industry expanded slightly in the first three quarters of 2011, and production and sales decreased year-on-year.

Affected by market fluctuations and rising costs, the level of industry operations and benefits in the third quarter showed a downward trend.

Production and sales growth slowed down due to growth in production and sales. In the first three quarters of 2011, the market demand for sewing machinery in China quietly changed. Market sales that have continued for the past two years gradually slowed down at the end of the third quarter of this year.

According to the statistics of the China Sewing Machinery Association, in the first three quarters, 105 whole machine companies produced 5.73 million sets of sewing machines, a year-on-year increase of 19.78%; cumulative sales of sewing machines were 5.43 million, an increase of 11.69%, and a rate of sales of 94.8%. The growth rate of production and sales fell by nearly 10% compared to the average increase in the first half of the year. The year-on-year growth of the industry inventory in the third quarter continued to stay above 20%. In September, the company’s inventories reached nearly 800,000 units, an increase of 23.17%. The market demand has been weakened by heat and the company’s inventory has continued to grow.

Judging from the monthly production data of the 105 machine companies in the China-Strait Federation statistics, the industry has experienced continuous market ups and downs in recent years. Affected by the financial crisis, in 2008 and 2009, the industry's production and sales continued to show negative growth within two years, with the largest year-on-year drop of nearly 80%. The industry's market was bleak and inventory was in a large amount.

Then, with the relative improvement of the domestic and international economies, the market demand gradually picks up. At the same time, the sharp rise in domestic labor costs has led to an increase in the demand for transformation of apparel equipment. The market has rapidly deteriorated and the demand for products has fallen short. Since November 2009, the industry has been producing. Continued recovery, monthly production showed a significant increase in more than double digits.

Until the end of the second quarter of this year, after June, the market demand for sales in the past two years gradually met, and the year-on-year growth of industry output narrowed from month to month. By August and September, the year-on-year increase had dropped to 2%-3%. Production has stabilized.

The scale of small-scale expansion of production and sales growth in production areas in 2011, the first three quarters of the industry along with the continuous improvement of the development trend, business confidence has significantly increased, the industry's investment in fixed assets continues to increase, the industry has expanded.

According to the data from the National Bureau of Statistics: In the first three quarters of the industry, 226 enterprises above designated size (with an annual output value of more than 20 million yuan) completed a total industrial output value of 20.4 billion yuan, a year-on-year increase of 19.57%, and sales revenue of 19.8 billion yuan, a year-on-year increase of 20.69%. Assets totaled 28.3 billion yuan, an increase of 12.78%, and the average number of employees was more than 60,000, an increase of 6.30%. However, since the third quarter, the year-on-year growth of various industry scale indicators has shown a narrowing of different degrees.

In the first three quarters, all production areas in China also showed an overall growth trend in production and sales, but relative to the first half of the year, the increase in the value of production and sales in the three producing areas slowed down. According to data from the National Bureau of Statistics, China's production and sales of major producing areas increased by more than double digits year-on-year, of which the growth rate of production and sales in Shaanxi production areas was more than 30%, but the average growth rate still fell by 10 compared to the first half percentage point.

Product structure adjustment Stabilization production of controlled sewing machines In 2011, due to factors such as the increase in labor costs, the pace of transformation and upgrading of the domestic garment industry was accelerated, and the adjustment of the product structure of the sewing machinery industry was promoted, and the transformation and upgrading of enterprises and the demand for product optimization were increased.

According to the statistical data of Zhongzao Xie, the output of high-value-added machines such as electrified sewing machines and double-needle sewing machines increased significantly in the first three quarters. The double-needle sewing machine increased by more than 50% year-on-year, and the increase in the output of the sewing machine with electric control still maintained over 40%. In 2010, the year-on-year decline in the number of embroidery machines has shown an increase of more than 10% due to the rebound in the international market, especially in the Indian market.

It is worth noting that from the statistical data of the China Strait Association, since the growth of the electric control sewing machine has increased from the "blowout type" in 2010, the monthly output growth rate has remained at over 100% year-on-year, but since the base year-on-year increase, the growth rate has increased. In the second half of 2009, it showed a declining trend until March 2011, when it fell to 35% for the first time.

Since the third quarter of this year, with the fluctuations in the industrial market and the popularity of electronic control products, the year-on-year increase in the output of sewing machines has dropped below 20% year-on-year, an increase of more than 50 percentage points from the average increase in the first half of the year, and the production of electrified sewing machines. The explosive growth gradually stabilized.

Benefits Industry Profits Declined Depletion Face Further Expansion According to the data from the National Bureau of Statistics, in the first three quarters, the manufacturing enterprises above the scale of sewing machines realized a total profit and tax of 1.5 billion yuan, an increase of 3.44%, and a profit of 1.06 billion yuan, a decrease of 2.38%. The decline has been noticeable since the third quarter. Among them, the loss level and loss depth of the industry above-scale enterprises have further deepened. In January-September, the loss level of industries above designated size increased from 7.5% in 2010 to 10.6%, and the amount of losses increased from RMB 27 million in the same period of 2010 to RMB 120 million this year, which was more than three times more than the same period of last year. .

The rising of operating costs The overall profitability has declined slightly With the rapid growth of the industry’s output value profits, the costs of the industry operations have also increased significantly. Statistics from the National Bureau of Statistics show that in the first three quarters, the major cost indicators for manufacturing enterprises above the scale of sewing machines have all increased at different rates, of which the product sales cost was 20.5 billion yuan, an increase of 22.06% year-on-year; the operating expenses were 600 million yuan, an increase of 27.82% year-on-year; The management cost was 1.3 billion yuan, an increase of 23.29% year-on-year; the financial expenses were 300 million yuan, an increase of 37.00% year-on-year.

At the same time, affected by rising operating costs, the overall profitability of China's sewing machinery industry declined in the first three quarters of 2011. In January-September, the profit margin of the manufacturing enterprises above the scale of sewing machinery fell from 5.50% in the same period in 2010 to 4.45%; the cost margin of cost decreased from 5.85% in the same period of 2010 to 4.66%.

Imports and Exports of Exports and Stably Running Many Historical Highs Over a Period of Time In 2011, the demand for international sewing machinery market was accelerated on the basis of the previous year, bringing about good opportunities for export. According to data from the General Administration of Customs, the amount of export sewing machinery products in China in the first three quarters reached 1.48 billion U.S. dollars, an increase of 29.71% over the same period of last year. In the third quarter alone, the total exports of the first 11 months of 2010 were completed. Among them, 7.95 million sets of sewing machines were exported, with an export volume of 1.28 billion U.S. dollars, an increase of 8.85% and 29.75% respectively, and an export of spare parts of 200 million U.S. dollars, an increase of 29.46%. The monthly export value of China's sewing machinery products continued its significant growth in 2010, showing a year-on-year increase over the same period of last year. In March, April, and July, the export value continued to refresh historical highs, and the export volume in July was as high as nearly 2. Billion dollars, the highest monthly export record.

However, it is worth noting that since entering the third quarter, with the increasing risk of a downturn in the international economy, market demand has experienced a certain degree of tightening. In September, the year-on-year growth of industry exports has dropped to 8.37%, and exports are still operating at a high level. However, the risk of decline has gradually increased.

Overseas demand growth Embroidery machine export growth Export market, the world's major sewing machine consumer market in the first three quarters of the purchase demand for our products have grown across the board. According to data from the General Administration of Customs, from January to September, China’s exports to major markets such as India and Turkey all increased by more than 60%. The growth in the Indian market was mainly due to the recovery in domestic demand for embroidery machines in the first half of the year, while the increase in the Turkish market was mainly due to the increase in the export volume of its automatic industrial sewing machines.

From the product variety point of view, the first three quarters of China's exports of various types of sewing machinery products showed an increasing trend, with the exception of home computers, other products have grown more than double-digit exports. Among them, the growth rate of embroidery machines was the most obvious, with export value of 300 million U.S. dollars, an increase of 40.75% year-on-year, of which more than 60% of exports were from India.

Export growth in full scale In the first three quarters of the expansion of export volume in Zhejiang, all the major sewing machine production regions in China have achieved a substantial increase in exports, especially in Zhejiang, Shaanxi, Hebei, and other regions, and their export growth has exceeded 50% year-on-year, only in Zhejiang Province. Sewing machinery exports accounted for nearly half of the country's total, an increase of 3 percentage points over the same period in 2010, and the export situation is worth looking forward to.

Import growth slows down demand for home appliances According to data from the General Administration of Customs, China imported a total of US$300 million in sewing machinery in the first three quarters, a year-on-year increase of 14.85%, and the growth rate has slowed down month by month.

From the point of view of imported products, in 2011, under the promotion and guidance of domestic sewing machine manufacturers such as Leap, the consumer market of domestic household sewing machines improved slightly, and the import of home machines began to show rapid growth of several dozen times from the low base. Industrial sewing machines, on the other hand, are declining due to the increasingly stable domestic sewing machine market and the gradual development of domestic brands.