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Survey Shows Coronavirus Impact on Chinese Textile Industry -Part I

A national online survey in Questionnaires was conducted by China National Textile and Apparel Council(CNTAC) from Feb.7-10, with a report circulated only to limited readership to show a comprehensive outlook and insight of the textile industry by specific sectors in different provinces on the basis of 1201 respondents, just a sample of the whole textile economic fabric if we can see wood and see forest.

Questionaires Survey Shows Coronavirus Impact on Chinese Textile IndustryA novel coronavirus got running rampant across China since its outbreak in December at the end of 2019 and made its way to a global health crisis as the World Health Organization (WHO) declared it a Public Health Emergency of International Concern(PHEIC) on Jan.30, 2020, and China was hit the hardest due to the very special time when the whole country was overwhelmed with joys in Spring Festival in jubilant family reunion and friends and relatives gathering for China Lunar New Year that started on Jan.25, to the neglect of the possible contagion if we see, the traditional legacy sets hundreds of millions of people on homebound journey on trains, planes, ships and highway driving, making the epidemics prevention and control equally the hardest, then.

Chinese government has taken proactive efforts in all perspectives to curb the epidemic not only by reinforcing medical rescuers fighting on coronavirus-ridden frontline, but also by strictly carrying out various backing-up measures to impede the epidemic spread, including prolonging holidays for longer homestay, constraining outdoor activities with less transportation, delaying back-to-work time, which results in temporary slowdown of growth speed in national economy, and textile industry does not bear the brunt of the impact, but never walks away easy.

A national online survey in Questionaires was conducted by China National Textile and Apparel Council(CNTAC) from Feb.7-10, with a report circulated only to limited readership to show a comprehensive outlook and insight of the textile industry by specific sectors in different provinces on the basis of 1201 respondents, just a sample of the whole textile economic fabric if we can see wood and see forest.

In geographic view, the companies in Central China(except Hubei province, the most catastrophic area this time) have been reopened to production more than that in the eastern part of the country. Jiangsu is the largest textile province in eastern China, with its operation resumed at less than 6 percent of all its respondent companies received in the Questionaires while the companies in Henan, Jiangxi and Anhui provinces in the Central China have a better rate in reopened operation respectively by 26.1%, 18.2% and 12.9%.

Number of Respondents Reopening Operation in Each Share by Regions

Protuberant Problems  

The outstanding problems at the moment are questioned and answered to the point that 69.1% of the respondents goes to short hands or employees having no way to come back to work, 68.2% goes to impediment to logistics or transportation, 54.3% goes to procrastination of production schedule or possibility of default on delivery, etc.. 

The following table shows these key problems that challenge the specific sector with 83.3% going to textile machinery and 80.3% to dyeing and printing sector in the labor shortage column, while manmade fiber and industrial textile sectors have more protuberant problems in impediments to transportation and logistics respectively by 89.4% and 78.2%. The wool textile businesses have different highlight of problems particularly in production schedule delay and contract default risk.

Main Problems as Impacted by Coronavirus

Main Problems as Impacted by Coronavirus2

Impact on Export

When the lethal pneumonia infected with the novel coronavirus was wide-spreading and declared as PHEIC, the impact on export in the whole textile industry was a tangible reach and touch, making it hard or even impossible for Chinese textile business people to visit clients overseas as some countries have imposed unnecessary tour caveats for their own citizens and travel bans on Chinese visitors by over-reacted measures. New orders are yet to be seen in a worrying uncertainty, and even the containers already shipped to the clients are confronted with the delayed disembarkation or intensified quarantine check backed up by too many complicated red-tape procedures. Approximate 60 percent of the companies in the Questionaires responded to say that their export business is restricted by the country of export market as a consequence of the epidemic right now.

Impact on Export Business

(to be continued)

Contributed by Mr. ZHAO Hong

He is working for CHINA TEXTILE magazine as Editor-in-Chief in addition to being involved in a plethora of activities for the textile industry. He has worked for the Engineering Institute of Ministry of Textile Industry, and for China National Textile Council and continues to serve the industry in the capacity of Deputy Director of China Textile International Exchange Centre, V. President  of China Knitting Industry Association, V. President of China Textile Magazine and its Editor-in-Chief for the English Version, Deputy Director of News Centre of China National Textile and Apparel Council (CNTAC), Deputy Director of International Trade Office, CNTAC, Deputy Director of China Textile Economic Research Centre. He was also elected once ACT Chair of Private Sector Consulting Committee of International Textile and Clothing Bureau (ITCB)

 

 
 
 
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