Cause analysis subian corporate profits as thin as paper1

After the Dragon Boat Festival, continuously downward with polypropylene raw material market, leading to progressive loss of confidence in afternoon to growing pessimism. Although north of the growing season has

the end, but the weaving enterprise order did not come, the factory starts to follow is insufficient, enterprise production and sales into a dilemma. End demand shortage of follow up to clinch a deal the

, traders small profits or even losses, ready for the shipment of positions and has no intention of actively, source slow digestion leads to high inventory, ex-factory price pressure drop petrochemical production enterprises, raw materials,

price decline difficult to check.

although domestic polypropylene expansion has nearly two years, rapid growth of production capacity and demand slowdown led to overcapacity problem is increasingly serious, especially represented by drawing general

material especially the problem of excess, together with the new device is mainly concentrated in the production of homopolymerization, drawing price competition is more heated, but is worthy of thinking deeply, although the price of raw material rising

low, subian enterprise will have a drop in production costs, and choose more diverse, but the factory not only failed to increase profits, rather than diluted, investigate its reason mainly in:

a, plastic woven industry in recent years, rapid development caused the homogeneity of plastic woven products competition, heavy discounting makes profits dropped between enterprises;

2, the global economic outlook, China's exports are growing, and plastic woven export markets shrinking;

3, lack of technical innovation, and domestic labor costs rising costs increased;

4, domestic economic slowdown, the shrinking external demand, and weak domestic demand, under the condition of rigid plastic braided weak demand and price movements.

after ups and downs of the weaving industry will return to the rational development, whether the weaving production enterprise or raw materials distributor, and raw materials production enterprises, under the background of oversupply,

the profits will be continuously diluted is inevitable trend, the parties should be rational to face.