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The following article was published in our article directory on August 6, 2010.
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China's Textile Export Gold is Over

Article Category: Business

Author Name: xia zihui

Despite heavy pressure, China's textile industry continues to export 22% growth year on year to complete the first half of the show, this proportion was significantly higher than the industry expected in the beginning of the year. Experts believe that textile exports will be similar with the overall performance of China's foreign trade, Bao Chi, "from high to low," the trend Also based on processing costs paid Wei's main profit source of low value-added OEM products will be gradually Kaishizhuanyi.

Customs statistics show that from January to June this year, China's total textile and apparel exports to 88.88 billion U.S. dollars, up 22% over the same period of 2008 levels. 35.65 billion U.S. dollars of textiles exports, up 32.3%; apparel exports 53.23 billion U.S. dollars, up 16%.

Wang forward in the interview with this reporter pointed out that the growth rate of the first half of textile exports was higher than market expectations, with pick up in external demand and other multiple factors, but mainly because Europe and the United States and other developed countries need to replenish stocks, the overall export growth is expected in the second half speed will be lower than in the first half year performance as "high to low."

Breakdown of reporters found, although the first half of the overall textile exports, "gains across the board," but in the processing of garment exports there a year or 9.83% of the decline. In this regard, Wang forward the view that this figure conforms to the basic situation of textile and garment exports.

"Processing is the early development of model textile exports, mainly in the Guangdong area, mostly Hong Kong and Macao enterprises, value-added products is relatively low, the source of profits is limited to OEM part. In recent years as China's labor costs increase, this mode of export has been shrinking, and the enterprises are gradually transferred to some Southeast Asian countries, which will become a trend. "Wang forward explained.

China-related securities of gold even think that, Chinese Clothing Export of the golden era is over, the global textile clothing Shengchan base from China turning to India, Pakistan, Southeast Asia's Jincheng has been launched around the year 2005 and irreversible.

For the second half of textile exports, Wang forward the view that the surface is not conducive to export more factors, but the key is to look at these factors will evolve. "Such as the European sovereign debt crisis would not be so serious as expected, is not yet hard to say, can only say that uncertainty will increase in the second half of."

In contrast, the second half of the export business is expected to be less optimistic about the situation. Many enterprises believe that the RMB exchange rate, factors such as rising wages in the second half of the export profits will become increasingly thin. The Golden State securities analysis also pointed out that this high price of textile raw materials, soaring labor costs, RMB appreciation and so on, the second half of textile exports will have a greater impact.

As the survival pressure, price increases have become the second half of the textile industry can not avoid the topic. Anhui Hongrun Group, Mr. Cheng told this reporter that since the domestic market tend to do a good job marketing plan a year ahead of schedule, so the company did not raise prices in the first half, but the product has begun to raise prices fall and winter, but the implementation of the price increase is still many difficulties.

Wang forward the view that the domestic textile market has begun to raise prices, but do not have the overall situation. Exports, it is likely a "polarization" of the situation: Some large enterprises have greater bargaining power and anti-risk capability, price increase is relatively easy; while some small and medium enterprises, if they can not raise prices, the expansion will face loss risk.

Keywords: acrylic jewellery display,bottleless water dispenser,textile producers,

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