The trouble of changing the mask into a new one: when the machine arrives, it becomes a scrap iron factory and gradually loses money

category:Finance
 The trouble of changing the mask into a new one: when the machine arrives, it becomes a scrap iron factory and gradually loses money


It would have been normal if the machine had been a day or two late before. But this time, Li Zhen needs this as an excuse to return goods.

Im lucky. The other side is a large-scale company in the mask machine industry. Considering the reputation and brand of the company, it has agreed to Li Zhens request for return and refund.

Lin Chong, who is also in charge of a local mask factory, is not so lucky. Compared with the time of order, the price of mask machine has been reduced by half. The seller who has delivered the goods naturally refuses to return the goods. Lin Chong has the cheek to negotiate and hope to share the loss, but so far it has no result. Low price to the next family? Who is willing to accept the offer.

Lin Chong said that during the outbreak, there was a saying in Anqing: no masks are not anqing people! It can be seen that there are not a few people who temporarily give up their original production and business and invest in mask manufacturing. Its no case that we are in a dilemma.

Lin Chongs company used to produce bedding. Since February, seeing the market demand during the epidemic, the company quickly registered a medical equipment company and dispatched more than 80% of the workers to the production of medical masks and N95 masks.

In fact, since April, due to the soaring price of the melt blown cloth, the mask factory has entered the state of capital guarantee. By may, there was not necessarily a loss on the books, but the inventory kept piling up.

Nowadays, the price of melt blown cloth has gone from skyrocketing to plummeting, and the mask machine with no door for return has become scrap iron.

According to public reports, the price of meltblown cloth below grade 80 has dropped from 400000 / ton at its peak to several thousand yuan / ton, even though it is still difficult to get orders. The price of the mask machine also fell back to a low point from the peak. Big brands such as Yuda and tostar maintain the price of 500000 yuan / set, while other brands return to the price of 200000 yuan / set.

Millions of masks in stock but dare not shut down

As the person in charge of a fabric factory in Changzhou City, Jiangsu Province, Wang Meng (pseudonym) smelled the business opportunity as early as February, invested 500000 yuan to register a medical equipment manufacturing company, and began to produce kn95 medical masks that were hard to find during the epidemic.

According to the current production capacity, the factory can produce nearly 10000 masks a day. But as demand plummeted, by the end of May, Wang Meng, a small factory in temporary transformation, had overstocked more than one million kn95 masks.

Even so, Wang Meng did not dare to stop production - to stop means that the factory closed down. In the past, a large number of workers in the fabric factory passed through the difficulty by the mask market, but in the same bleak situation of fabric orders, once the mask production stopped, what should these workers do?

The immediate priority is how to deal with inventory as soon as possible.

At the moment when the mask market has changed from the sellers market to the buyers market, the sales end is competing for quality and price. Wang Meng is pleased that the quality of their kn95 masks is not bad.

Wang Meng noted that a representative of the National Peoples Congress proposed that important infectious disease protective articles such as masks should be included in the national strategic reserve, written into the national strategic material reserve development plan, and included in the necessary large-scale production enterprises and storage enterprises for key guarantee.

So he began to look forward to whether the country would take all their masks in stock and reduce his inventory pressure.

Speed up the purification of mask industry chain

According to the data of Tianyan survey, there are nearly 160000 enterprises (hereinafter referred to as mask related enterprises) whose business scope includes masks and whose status is in business, survival, immigration and emigration. According to the industrial and commercial registration, from January 1 to May 31, 2020, 70802 new registration enterprises related to masks were registered in China, with a year-on-year increase of 1255.84% compared with the same period in 2019.

In April 2020, the monthly registration volume of enterprises related to masks reached 35260, an increase of 97.24% month on month compared with March; in May, the registration volume of enterprises related to masks decreased, with 10283 new enterprises in month, a decrease of 70.84% month on month.

Tianyan data also shows that there are nearly 12000 enterprises in China with business scope including melt blown and status of in-service, surviving, moving in and out (hereinafter referred to as melt blown cloth related enterprises). According to the industrial and commercial registration, from January 1 to May 31, 2020, 7296 newly registered melt blown cloth related enterprises increased by 2276.55% year on year. In April 2020, the monthly registration volume of melt blown cloth related enterprises reached 4075, an increase of 407.47% month on month; in May 2020, the registration volume of related enterprises was 1728, a decrease of 57.60% month on month.

Next, God exits, and the cross-border mask business of the enterprise will gradually shrink, and strive to return to the main business.