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what reason? 161 textile enterprises in Zhejiang were ordered to stop production!

what reason? 161 textile enterprises in Zhejiang were ordered to stop production!

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  • Time of issue:2022-03-31
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what reason? 161 textile enterprises in Zhejiang were ordered to stop production!

(Summary description)161 textile enterprises in Zhejiang Province received a notice to suspend production for rectification. Why is this happening? Zhejiang Province is a major textile province in my country. These 161 textile enterprises account for 35% of the national output value of the industry. Why did they suddenly receive a notice to stop production?

The background of the textile industry being ordered to rectify



Not long ago, my country proposed to reduce energy consumption per unit of GDP by 13.5% during the "14th Five-Year Plan" period as one of the main binding indicators for economic development. This goal is relatively lower than the requirements during the "13th Five-Year Plan" period. 1.5 percentage points.

12100002.jpg

Nine provinces, including Yunnan, Guangdong, Guangxi, Ningxia, Qinghai, and Jiangsu, have been included in the "red light" first-level warning because the energy consumption of these provinces in the first half of 2021 has not decreased, but has increased. In addition, the energy consumption intensity of 10 provinces including Henan, Liaoning, and Zhejiang has decreased, but the decrease is not enough, and they have been included in the "yellow light" second-level early warning.

Although my country has made specific requirements, there are specific reasons for the rise in energy consumption in many provinces instead of falling.

First of all, during the epidemic, the production capacity of many overseas countries was hit, so many high-energy-consuming industries in my country ushered in a blowout period of overseas orders just after the severe epidemic. Coupled with the recovery of the domestic economy, the number of orders has also increased significantly, which has strongly stimulated the rapid increase in manufacturing capacity.

Secondly, since 2015, my country has streamlined administration and delegated powers, especially the project approval power of some high-energy-consuming industries, and the "high-energy-consuming, high-emission" industries are precisely the economic pillar industries in many regions. In the case of damage, many regions have the urge to improve the economic figure alone.

This is the case in Zhejiang Province. Although the level of economic development is not low, traditional high-energy-consuming industries still account for a relatively high proportion of its industrial system. Eight high-energy-consuming industries such as steel, building materials and textiles consume 43% of the energy of the whole society, but only produce 13%, and the energy consumption intensity is nearly 5 times the average level of each industry, so these industries are the Upgrading and phasing out industries.

The textile industry is one of them.

Why is the textile industry ordered to rectify

In order to force the adjustment of industrial structure, Zhejiang Province divides all enterprises into four categories: A, B, C, and D according to the standard of "efficiency per mu". The higher the tax paid by the enterprise, the higher the added value, the greater the social value created, and the longer the budgeted electricity consumption time given by the province. To be honest, this trick is pretty awesome.

Taking 10 days as a cycle, the A-class enterprises with the highest tax rate and economic added value will be given power resource support for 8 stops and 2 in the province; and so on, the B-class enterprises open 7 stops and 3 stops, and the C-class enterprises open 6 stops. 4. D-class enterprises open 4 and stop 6; if a company's performance rating is below D-class, it will be eliminated soon.

The reason why Zhejiang Province does this is mainly to effectively adjust the industrial structure, reduce the proportion of enterprises with high energy consumption, high emission and high pollution, and effectively increase the added value of the industry.

Another reason for Zhejiang Province to do this is the pressure brought about by resources or energy. Zhejiang Province is not a province located in a resource-rich region, and its resource endowment is limited. It has always relied on external energy input to develop its economy.

Because of this, the cost of energy use in Zhejiang Province has always been much higher than that of major energy provinces such as Shanxi and Shaanxi. In addition, the price of coal and natural gas has risen significantly in the past two years, so now the thermal power companies in Zhejiang Province generate electricity per kilowatt hour. , will lose 0.15 yuan.

Since the energy industry has already lost money, if the profit rate of other industries using energy in the province is lower, the economic development of the province will definitely be seriously affected. Therefore, we have to use the above methods to force industrial restructuring and industrial technological innovation.

The topic goes back to the textile industry. This industry is actually a labor-intensive industry. This industry requires a lot of cheap labor and has relatively low profit

  • Categories:NEWS
  • Author:
  • Origin:
  • Time of issue:2022-03-31
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161 textile enterprises in Zhejiang Province received a notice to suspend production for rectification. Why is this happening? Zhejiang Province is a major textile province in my country. These 161 textile enterprises account for 35% of the national output value of the industry. Why did they suddenly receive a notice to stop production?

The background of the textile industry being ordered to rectify

1

Not long ago, my country proposed to reduce energy consumption per unit of GDP by 13.5% during the "14th Five-Year Plan" period as one of the main binding indicators for economic development. This goal is relatively lower than the requirements during the "13th Five-Year Plan" period. 1.5 percentage points.

12100002.jpg

Nine provinces, including Yunnan, Guangdong, Guangxi, Ningxia, Qinghai, and Jiangsu, have been included in the "red light" first-level warning because the energy consumption of these provinces in the first half of 2021 has not decreased, but has increased. In addition, the energy consumption intensity of 10 provinces including Henan, Liaoning, and Zhejiang has decreased, but the decrease is not enough, and they have been included in the "yellow light" second-level early warning.

Although my country has made specific requirements, there are specific reasons for the rise in energy consumption in many provinces instead of falling.

First of all, during the epidemic, the production capacity of many overseas countries was hit, so many high-energy-consuming industries in my country ushered in a blowout period of overseas orders just after the severe epidemic. Coupled with the recovery of the domestic economy, the number of orders has also increased significantly, which has strongly stimulated the rapid increase in manufacturing capacity.

Secondly, since 2015, my country has streamlined administration and delegated powers, especially the project approval power of some high-energy-consuming industries, and the "high-energy-consuming, high-emission" industries are precisely the economic pillar industries in many regions. In the case of damage, many regions have the urge to improve the economic figure alone.

This is the case in Zhejiang Province. Although the level of economic development is not low, traditional high-energy-consuming industries still account for a relatively high proportion of its industrial system. Eight high-energy-consuming industries such as steel, building materials and textiles consume 43% of the energy of the whole society, but only produce 13%, and the energy consumption intensity is nearly 5 times the average level of each industry, so these industries are the Upgrading and phasing out industries.

The textile industry is one of them.

Why is the textile industry ordered to rectify

In order to force the adjustment of industrial structure, Zhejiang Province divides all enterprises into four categories: A, B, C, and D according to the standard of "efficiency per mu". The higher the tax paid by the enterprise, the higher the added value, the greater the social value created, and the longer the budgeted electricity consumption time given by the province. To be honest, this trick is pretty awesome.

Taking 10 days as a cycle, the A-class enterprises with the highest tax rate and economic added value will be given power resource support for 8 stops and 2 in the province; and so on, the B-class enterprises open 7 stops and 3 stops, and the C-class enterprises open 6 stops. 4. D-class enterprises open 4 and stop 6; if a company's performance rating is below D-class, it will be eliminated soon.

The reason why Zhejiang Province does this is mainly to effectively adjust the industrial structure, reduce the proportion of enterprises with high energy consumption, high emission and high pollution, and effectively increase the added value of the industry.

Another reason for Zhejiang Province to do this is the pressure brought about by resources or energy. Zhejiang Province is not a province located in a resource-rich region, and its resource endowment is limited. It has always relied on external energy input to develop its economy.

Because of this, the cost of energy use in Zhejiang Province has always been much higher than that of major energy provinces such as Shanxi and Shaanxi. In addition, the price of coal and natural gas has risen significantly in the past two years, so now the thermal power companies in Zhejiang Province generate electricity per kilowatt hour. , will lose 0.15 yuan.

Since the energy industry has already lost money, if the profit rate of other industries using energy in the province is lower, the economic development of the province will definitely be seriously affected. Therefore, we have to use the above methods to force industrial restructuring and industrial technological innovation.

The topic goes back to the textile industry. This industry is actually a labor-intensive industry. This industry requires a lot of cheap labor and has relatively low profit margins.

Normally, labor-intensive industries should not be located in the eastern provinces or coastal areas of my country, because the local economy is relatively developed and labor prices are high. Higher, the industry profits will be significantly reduced.

Therefore, labor-intensive industries such as the textile industry should now be distributed in the central and western regions of my country, where labor prices are relatively low, and have even been transferred to Southeast Asia and India in large quantities.

However, since the COVID-19 outbreak in the world in 2020, the economies of Southeast Asia and India have been severely affected by the epidemic due to poor management and control, and a large number of low-end manufacturing orders have returned to my country's Zhejiang and Guangdong, which are major export manufacturing provinces. In these areas, due to the large increase in the number of orders in a short period of time, the textile industry, which was already on the verge of elimination, suddenly "returned to the light" and began to flourish again.

However, the abundant orders and expanded production capacity have not changed the current situation of high energy consumption, serious pollution and ultra-low profit margins in the local textile industry. Even under the premise of capacity expansion, the "involution" of the textile industry has become more and more serious, and profits have become even more meager.

A set of data, if you compare it, it will be clear at a glance.

In the first 8 months of 2021, the operating income of my country's textile industry was 1.6 trillion yuan, a year-on-year increase of 14%; the operating cost was 1.42 trillion yuan, a year-on-year increase of 15%; the textile industry realized a total profit of 64 billion yuan, a year-on-year increase only slightly. 2.2%. From this, it can be clearly seen that the speed of the domestic textile industry's cost increase is significantly higher than the turnover growth rate, especially significantly higher than the profit growth rate.

Therefore, industries like this are typical outdated production capacity, which should be clearly transferred out and phased out. It is because of this that the Zhejiang Province ordered 161 textile industries to suspend business and rectify as given at the beginning of this article.

The current situation of my country's textile industry

In fact, the domestic textile industry has long been in the stage of industrial transfer. The reason is that the profit is too low. In the domestic environment of pursuing the quality of economic development, such low-efficiency and high-energy-consuming industries are concentrated in Zhejiang. For the province, it really shouldn't.

In fact, the operation of the domestic textile industry is really difficult, because the industry competition is too fierce. If domestic textile enterprises want to maintain their original customers and markets, not only will they not be able to raise prices, but with the rising prices of upstream raw materials and downstream freight, domestic textile products are still cutting prices, and some textile enterprises are even lower than the cost. The company only relies on the 13% export tax rebate to make up for the profit. In this way, the profit margin can only be maintained at about 5%, and the hard-earned money is earned every day.

For example, in the downstream transportation link, due to the current pressure on foreign trade shipping, the shipping cost of foreign trade has increased significantly when the number of containers is small. Take the trans-Pacific route between China and the United States as an example. Before the outbreak of the epidemic, shipping a standard container from Shanghai Port in my country to the United States cost about $1,500. However, in 2021, the shipping cost has skyrocketed to $25,000, a 16-fold increase. Such a surge in freight costs has seriously eroded the profit margins of the textile industry.

Therefore, we can no longer be the world's factory in such a thankless way, and we can no longer work for overseas upstream and downstream enterprises in the state of "good old people". The hard work is ours, but the money is earned by others. This is not good!

Therefore, we must take advantage of the window period brought about by high economic growth, which is currently relatively good, to force industrial restructuring through reasonable and effective means, change the outdated sales model and development ideas that focus on volume, and change to the strategy of improving quality. .

Of course, we all know that transforming and upgrading an industry is not something that happens overnight, and it will never happen overnight.

From market demand to raw materials, from product quality control to printing and dyeing, design and other links, the industrial chain is very long and complex. Transformation and upgrading must make the entire industry change systematically, not just one point of change. But we must act now, because every time the industry is upgraded, the time and opportunities reserved by the times will not be too much. If we fail to catch up, we may miss the entire era.

comprehension

In fact, the situation facing the textile industry is a microcosm of the current situation of many domestic industries in my country. We must not be deceived by the illusion that orders for low-end industries have increased dramatically.

Due to the impact of the epidemic, many foreign countries with a large number of cheap labor, such as India and Southeast Asian countries, have been severely affected by the epidemic, and the production capacity of low-end industries has greatly declined. Corresponding industries that have long been eliminated.

Under the circumstance that my country's economic level has been significantly improved, the cost of competing with India, Vietnam and Cambodia is low, and the price is low. To be honest, it is a bit pricey. What's more important is that doing so fails to recognize the situation and direction, which is harmful to the future development of the entire industry. This way of drinking poison to quench thirst is undesirable, and it is not conducive to the sustainable development of the entire industry and the improvement of the overall strength of the country.

Our good situation is hard-won, so don't waste it easily.

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what reason? 161 textile enterprises in Zhejiang were ordered to stop production!
161 textile enterprises in Zhejiang Province received a notice to suspend production for rectification. Why is this happening? Zhejiang Province is a major textile province in my country. These 161 textile enterprises account for 35% of the national output value of the industry. Why did they suddenly receive a notice to stop production? The background of the textile industry being ordered to rectify Not long ago, my country proposed to reduce energy consumption per unit of GDP by 13.5% during the "14th Five-Year Plan" period as one of the main binding indicators for economic development. This goal is relatively lower than the requirements during the "13th Five-Year Plan" period. 1.5 percentage points. 12100002.jpg Nine provinces, including Yunnan, Guangdong, Guangxi, Ningxia, Qinghai, and Jiangsu, have been included in the "red light" first-level warning because the energy consumption of these provinces in the first half of 2021 has not decreased, but has increased. In addition, the energy consumption intensity of 10 provinces including Henan, Liaoning, and Zhejiang has decreased, but the decrease is not enough, and they have been included in the "yellow light" second-level early warning. Although my country has made specific requirements, there are specific reasons for the rise in energy consumption in many provinces instead of falling. First of all, during the epidemic, the production capacity of many overseas countries was hit, so many high-energy-consuming industries in my country ushered in a blowout period of overseas orders just after the severe epidemic. Coupled with the recovery of the domestic economy, the number of orders has also increased significantly, which has strongly stimulated the rapid increase in manufacturing capacity. Secondly, since 2015, my country has streamlined administration and delegated powers, especially the project approval power of some high-energy-consuming industries, and the "high-energy-consuming, high-emission" industries are precisely the economic pillar industries in many regions. In the case of damage, many regions have the urge to improve the economic figure alone. This is the case in Zhejiang Province. Although the level of economic development is not low, traditional high-energy-consuming industries still account for a relatively high proportion of its industrial system. Eight high-energy-consuming industries such as steel, building materials and textiles consume 43% of the energy of the whole society, but only produce 13%, and the energy consumption intensity is nearly 5 times the average level of each industry, so these industries are the Upgrading and phasing out industries. The textile industry is one of them. Why is the textile industry ordered to rectify In order to force the adjustment of industrial structure, Zhejiang Province divides all enterprises into four categories: A, B, C, and D according to the standard of "efficiency per mu". The higher the tax paid by the enterprise, the higher the added value, the greater the social value created, and the longer the budgeted electricity consumption time given by the province. To be honest, this trick is pretty awesome. Taking 10 days as a cycle, the A-class enterprises with the highest tax rate and economic added value will be given power resource support for 8 stops and 2 in the province; and so on, the B-class enterprises open 7 stops and 3 stops, and the C-class enterprises open 6 stops. 4. D-class enterprises open 4 and stop 6; if a company's performance rating is below D-class, it will be eliminated soon. The reason why Zhejiang Province does this is mainly to effectively adjust the industrial structure, reduce the proportion of enterprises with high energy consumption, high emission and high pollution, and effectively increase the added value of the industry. Another reason for Zhejiang Province to do this is the pressure brought about by resources or energy. Zhejiang Province is not a province located in a resource-rich region, and its resource endowment is limited. It has always relied on external energy input to develop its economy. Because of this, the cost of energy use in Zhejiang Province has always been much higher than that of major energy provinces such as Shanxi and Shaanxi. In addition, the price of coal and natural gas has risen significantly in the past two years, so now the thermal power companies in Zhejiang Province generate electricity per kilowatt hour. , will lose 0.15 yuan. Since the energy industry has already lost money, if the profit rate of other industries using energy in the province is lower, the economic development of the province will definitely be seriously affected. Therefore, we have to use the above methods to force industrial restructuring and industrial technological innovation. The topic goes back to the textile industry. This industry is actually a labor-intensive industry. This industry requires a lot of cheap labor and has relatively low profit
See more information 白箭头 黑箭头

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