I wonder if you have noticed in the past few days that people who used to sell fabrics, masks, and melt-blown cloth in WeChat Moments are now selling helmets!
Why did the helmet suddenly catch fire? It turns out that it stems from the recent “one helmet, one belt” policy.
On April 21, 2020, the Ministry of Public Security informed that starting from June 1, 2020, the “One Helmet, One Belt” safety protection operation will be carried out nationwide! During the operation, the public security and traffic control departments will strengthen law enforcement management and investigate and correct motorcycle and electric bicycle riders who do not wear safety helmets and car drivers who do not use seat belts in accordance with the law.
This also means that starting from June 1st, riding electric vehicles and motorcycles without helmets will be fined. This led to a surge in demand for helmets, and middlemen from all walks of life began to use their little brains again, including textile traders.
Will helmets be the next trend?
Many textile traders have recently begun to sell helmets again. They generally say that they can make quick money now. Those who were the first to enter the market selling masks, non-woven fabrics, and melt-blown fabrics have now made money. Several hundred million. Even the price of helmets has risen from 35 yuan to 85 yuan in just a few days, and some have even risen to more than 100 yuan. After the price soared, everyone’s attention soon turned to speculating on helmets. Similar routines like the rush to buy masks a few months ago have appeared again. The normal wholesale price of helmets is only a dozen yuan, but now it has increased to dozens of yuan. Even if the profit of a helmet is 2 yuan, an order of 100 yuan can make a thousand yuan, and it is easy to make more than a dozen orders a day. Income reaches tens of thousands. In wholesale markets such as Yiwu, many people became rich overnight by flipping their helmets on.
And making helmets is not like masks or melt-blown fabrics and other anti-epidemic supplies. Helmets do not need to be exported and do not require relevant qualifications. It is much more convenient and simpler!
But we also need to be alert. Although reselling helmets is easier than masks, melt-blown cloth and other epidemic prevention supplies, this wave of Demand is also temporary. Helmets are durable goods. A helmet can be used for several years. Once the demand is saturated and the production capacity of helmets increases, it is easy to fall into a state of oversupply. It can be said that the demand for helmets will face a surge in the next period of time, but as time goes by, the demand will slowly fall back. The bosses who entered in the early stage have already made quick money, and those who have just entered or are about to enter by then He became a “taker”.
After working hard for more than half a year, I have made no money and have no confidence.
Why are so many textile people flocking to helmets? In the final analysis, the market is still not good. , profits are getting lower and lower. It’s a consensus in the industry that you can’t make money by doing textiles. You work hard all year round, almost all year round. Most of the time you work for workers. For example, the profit of the lowest-end conventional fabrics is only about 3%, while the profit of high-end fabrics is only about 3%. Although the profit for fabrics is relatively high, not all factories can make it.
“We who make pongee last year basically worked for workers, and we didn’t have much money in our pockets at the end of the year. The situation is even more serious this year. Now we want to transform into higher-end fabrics. The profit will also be higher. After all, the current demand is towards high-end, but transformation is not easy. Too much money needs to be invested in the early stage, and the pressure is really great.” A cloth boss said helplessly.
Since May, although domestic trade has improved due to the rise in raw materials, foreign trade has slowly resumed orders, market confidence has recovered slightly, and the operating rate has also rebounded to 70-80%, but for the market outlook , the majority of textile people hold a pessimistic attitude. “The market has rebounded recently, especially in domestic trade. We have received an order for 100,000 meters of Tencel. However, after May, it is the traditional off-season. It is still difficult for the market to improve, and the epidemic situation abroad is not complete. Control, the recovery of clothing consumption will have to wait for a while. “
Textile people’s lack of confidence in the market outlook is also reflected in the purchase of raw materials. After interviews, many manufacturers said that the current raw materials only have 10 days left, and some even have 3 days left. However, when asked whether they would stock up on raw materials, most textile workers said no, “No matter whether the raw materials are falling or rising now, we dare not buy more raw materials. We still have to buy more raw materials based on the order situation, but what we have received now is It’s a loose order.” A cloth boss with more than 100 looms said helplessly. Generally speaking, downstream demand is the basis for determining whether the price of polyester yarn can continue to rise. However, it is difficult for terminal textile orders to have a substantial increase in the short term. Therefore, many market participants believe that the rise in polyester yarn will not last long. Therefore, the strategy of buying as you go is generally adopted.
Editor’s Note
Judging from the current situation, although the recent rise in crude oil has Next, polyester filament has experienced another wave of rise, which has also stimulated the market atmosphere for goods to be sold. However, there has been no significant improvement in foreign trade, and it will take some time for the market to truly pick up. However, with helmets becoming so popular recently, weavers should also be careful when entering, and don’t be caught in front of them.Confused by interests, although quick money comes quickly, it is not so easy to make. You should still do your own job well and practice your own internal skills during the off-season, so that you can be successful in the textile market when the epidemic is under control and the market picks up. Take a place. </p
