“Now there is no way. The fabric is too tight. Several orders have been pushed forward.” Ji’nan’s three yuan, the chairman of the Garment Co., Ltd. coke coke Ji recently really a little anxious. Many small and medium-sized printing and dyeing enterprises have shut down, which bring two difficulties to the downstream clothing, home textile and other enterprises: “rice” and the pot, and “rice price” is still rising.
Another news is that the Ministry of industry and Commerce recently amended two printing and dyeing industry regulation documents, and the two new printing and dyeing regulations were implemented since October 1, 2017. The regulations mainly focus on the term “environmental protection”, and have new requirements for the technology, equipment and management of the printing and dyeing industry. The higher environmental threshold will lead to the rising tide of textile and garment market.
Small printing and dyeing factories shutting down, clothing enterprises “wait for the rice pot”.
As the upstream supplier, the printing and dyeing enterprises buy the cloth and make the printing and dyeing according to the different needs, and then sell them to the garment production enterprises. Due to the pressure of environmental protection, printing and dyeing factories began to shut down in August, which means that the whole production chain suddenly had a chain.
A large number of printing and dyeing factories shut down and shut down. For some garment enterprises, it means “directly breaking the rations”. Jiao Chai said that its upstream suppliers were mainly concentrated in Shandong, Zhejiang and Guangdong provinces. In this round of environmental protection, some small printing and dyeing enterprises were eliminated because of the failure to meet the standard, which led to a sudden drop in the output of the fabric. Luckily, this part of the gap was transferred to a large supplier, and it would not be “no rice pot” for the time being.
However, raw materials prices continue to rise because of insufficient supply in the market. “Compared with the beginning of the year, the fabric price has increased by more than 10%, and some even reached 20%.” For garment enterprises, the extension of delivery time also brings great trouble.
The so-called “golden nine silver ten” is now the most frequently placed order. Jiao Chai told reporters that, as some small printing and dyeing factories have reduced or shut down, the clothing enterprises have to be forced to transfer orders, so that the large enterprises with complete environmental protection facilities are extremely hot. Due to the sharp increase in orders, the delivery time is longer than originally.
“In the past, hasten may be able to arrive in half a month, and now it may well not be able to wait for 30 days.” Jiao Ji Ji said that some orders were urgent, and the delivery period of raw materials was too long.
Printing and dyeing new rules to add code, this round of rising tide has just started?
“The double eleven is coming, and now it is being stocked up.” Like the clothing industry, the home textile industry is also facing a tight supply situation. As the first towel brand of the Internet, Ji’nan’s drizzle home textiles has recently been in the printing and dyeing mill. A person in charge told reporters that the goods that could be produced in the past few days would probably be the longest waiting for half a month.
Insiders said that this year, the printing and dyeing industry suffered the most serious “environmental governance”. In addition, the Ministry of industry and information has revised the two trade specification documents of the entry
conditions of printing and dyeing industry (2010 Revised Edition) and the temporary measures for the management of the admittance management of printing and dyeing enterprises, forming and Issuing the “standard conditions for the printing and dyeing industry (2017 Edition)” and the provisional measures for the management of the standard bulletin for printing and dyeing enterprises. The two new version of the document has been implemented since October 1, 2017.
“It is foreseeable that the small factories that do not meet the standard will continue to shut down, and the investment of large enterprises in environmental protection will increase continuously, with the increase of the price of printing and dyeing raw materials, and the cost pressure of the future home textile and clothing enterprises coming from the upstream will be more and more big.” The head of a home textile enterprise in Ji’nan said that the price of raw materials has risen by at least 5% since this year, and the price of the terminal market is only “slightly adjusted”.
“For new customers, we will quote the cost according to the new cost. But for many years, it is difficult for old customers to say that price rises are acceptable. Jiao Chai said, at least from the present point of view, the rise in price can only be “slowly negotiated”, as for the cost pressure, the enterprise only repeatedly reduced profits, bitten on the teeth.
Many industry manufacturers say that it is certain that breaking the goods in peak season is a foregone conclusion. Many printing and dyeing enterprises have eliminated backward production capacity and have reached the key to survival. The price rise of home textiles and clothing fabrics has just started. In the coming period, the price of downstream products will show a cost driven rise.
China has decided to levy taxes on the import of halogenated butyl rubber products from the United States because of a double counter survey that began in August of last year in China to adjudication that the U. S. halogenated butyl rubber products have a problem of dumping. The European Union and Singapore’s similar products are jointly and severally taxed.
According to the Reuters today, the Chinese Ministry of Commerce announced on Thursday that it had initially ruled that the imported halogenated butyl rubber originating in the United States, the European Union and Singapore had been dumped. The domestic halogenated butyl rubber industry had suffered substantial damage and decided to guarantee the imported halogenated butyl rubber originating in the United States, the European Union and Singapore. Temporary anti-dumping measures in the form of gold.
According to the announcement of the website of the Ministry of Commerce, according to the ruling, since April 20, 2018, the import operators should provide the corresponding margin to People’s Republic of China customs according to the firm dumping margin (26.0%-66.5%) determined by the adjudication, when importing the halogenated butyl rubber originating in the United States, the EU and Singapore.
According to the announcement, the Ministry of Commerce issued a bulletin on the application of the domestic halogenated butyl rubber industry in August 30, 2017, and decided to investigate the antidumping cases of the imported halogenated butyl rubber originating in the United States, the EU and Singapore.
The report means that the website of the Ministry of Commerce of China has published an announcement that in August 14, 2017 the anti-dumping investigation application of the Zhejiang Xinhui new material Limited by Share Ltd and the Panjin and Yun new materials Co., Ltd. on behalf of the domestic halogenated butyl rubber industry was received, and the applicant requested the imported halogenated butyl from the United States, the EU and Singapore. The antidumping investigation of base rubber was carried out.
According to the evidence provided by the applicant and the preliminary review by the Ministry of Commerce, the production of the halogenated butyl rubber of the applicant in 2014, 2015 and 2016 accounted for more than 50% of the total output of similar products in China, which is in accordance with the eleventh and thirteenth articles of the anti dumping regulations of the People’s Republic of China. Check the requirements of the application.
The application claims that the halogenated butyl rubber originating in the United States, the European Union and Singapore will be exported to China at a price below normal value.
Indonesia’s clothing exports rebounded in the fourth quarter of 2017, mainly due to the increased market anxiety over the soaring price of Indonesia’s clothing exports. It is understood that the development of Indonesian garment production is limited by the backwardness of machinery and equipment and the inconvenience of using electricity, and the sustainable development of chemical fiber clothing has formed support for the export of Indonesian clothing. It is expected that Vietnam’s garment export competitiveness will be restored as the United States goes back to the TPP process.
According to statistics, in October 2017, Indonesia’s textile and clothing exports increased by 15.1% over the same period last year, an increase of 16.1% over the same period in November and an increase of 5.7% in December. In October and November, the average unit price of Indonesian textile and garment exports increased by 7.3% and 7.1% respectively, compared with 4.4% in December.
In 2017, the export of textile and clothing in Indonesia was stagnant, and the amount of export was only 5.9% compared with the same year. In 2017, the import of Indonesian textiles and clothing increased by 6.1%, mainly due to the increase of Indonesian domestic population stimulating consumption, and the high dependence of imported yarn and fabric on Indonesian garment production. It is understood that in 2017, Indonesian clothing exports to the United States continued to decline, but it was still the fourth largest importing country in the United States, second only to China, Vietnam and Bangladesh.
In the past few years, many Indonesian factories have been forced to suspend production by increasing wages of Indonesian workers, 80% of equipment for more than 20 years, and poor quality of the plant’s power grid. At the same time, the lack of raw materials such as cotton led to the transfer of Indonesian garment production to chemical fiber, and the implementation of preferential export policies in other countries led to a multiplier pressure on export competition in Indonesia.
It is expected that as the United States goes back to the TPP process, Vietnam’s export duty exemption policy to the US market will bring heavy blow to Indonesia’s clothing export.
According to reports in the Financial Times, British Prime Minister Mehmet Etienne personally assessed whether the United Kingdom could reach an agreement with the European Union for a customs union. If left in the customs union, the ability of the United Kingdom to separate itself in the future will be greatly limited.
Senior British officials believe that this move will reduce the trade losses to the EU after Brexit, and that it will be able to reduce complicated new customs procedures and help solve the Irish border issue. A British official stated that if the United Kingdom can maintain trade in the Customs Union and retain certain independence (especially the service industry), Britain should consider adopting this approach.
British Finance Minister Philip Hammond and Commercial Minister Greg Clark both supported the maintenance of close customs relations with the EU after Brexit. However, Trade Minister Liam Fox of the European Union does not support staying in the customs union. He believes that if Britain stays in the customs union, it will need to rely on the terms of trade negotiated by the EU and comply with its trade policy. This conflicts with the development of an independent trade policy by Britain.
The United Kingdom needs to leave the customs union to seize the opportunity to trade with fast-growing markets, and one of Brexit’s exits in Europe is that it is impossible to continue to use the single market tax rate because it wants to take back the main control. However, Mey did not rule out the possibility of remaining in the customs union, saying that the goal after Brexit is to ensure that the United Kingdom can reach the best agreement with China and other countries in the world. If Britain remains in the Customs Union after Brexit, it will continue to seek agreements with non-EU countries because it cannot continue to enjoy trade agreements between the EU and the Third Nations. However, countries that have signed agreements with the European Union can already sell goods to the UK market through customs unions, so the UK’s ability to negotiate in this area will be limited.
The United Kingdom can still negotiate independent agreements in the services sector (accounting for about 80% of the British economy), but the practice of signing trade agreements only for service industries is relatively new and may deviate from the global economy. A spokesperson for the British government stated that Britain hopes to achieve the smoothest possible trade arrangements, but it also needs freedom to sign trade agreements with the world.
According to “Fortune,” this year, workers in the Southeast Asia region who had the minimum wage successfully obtained higher basic wages, causing factories and manufacturers to either increase investment in the region or seek lower-cost solutions. Malaysian, Thai and Burmese workers have been able to get a 50% salary increase this year.
When it comes to the well-known representatives of China’s manufacturing industry, basically everyone first thinks of Foxconn, which is famous for the OEM of Apple. Foxconn is one of the largest manufacturing companies in China and has a million employees in mainland China. It is only 2016. Its total import and export accounted for 3.6% of China’s total import and export volume. It is not an exaggeration to say that he is one of the representatives of Chinese manufacturing.
Recall that two years ago, there were once famous manufacturing companies fleeing China and setting up factories in Southeast Asia. According to news reports at the time, world-renowned companies like Uniqlo, Nike, and Foxconn opened new factories in Southeast Asia and India. Accelerated the pace of evacuation in China. The reason at that time was that as China’s labor costs continued to rise, the cost of land became increasingly high. Choosing to set up factories in these underdeveloped countries in Southeast Asia could result in lower costs and more profits. Profits, so these profit-making companies have chosen to move some of China’s factories abroad, laughing to make more profits.
However, just over two years have passed since the time. Those enterprises that feel that they have escaped from China’s economy may not be able to laugh because Southeast Asia has also started to increase wages.
Increasing Southeast Asian wage costs
However, all this has changed since the first decade of the 21st century. At that time, the first time there was a labor shortage in the Guangdong region of China, the migrant workers who had arrived cheaply everywhere could not even be recruited, and companies were at train stations and bus stations. A recruitment contract was set up and all methods were used to recruit workers. However, many companies still did not recruit enough employees. At this time, people realized that China’s labor bonus was subsiding and that relying on the demographic dividend to eat this kind of low-end manufacturing food had changed. It was difficult to sustain. After 10 years of support, a large number of enterprises in 2015 began to flee the country just as they did in the past from Europe, America and Japan to China. They have developed economies in Southeast Asia and are even less developed, resulting in lower labor costs. The country set up factories, thinking that it can take advantage of the demographic dividend of Southeast Asia to eat a decade or two of economic high profits.
However, it is not a long time. According to “Fortune,” this year, workers in the Southeast Asia who have the minimum wage have successfully obtained higher basic wages, causing factories and manufacturers to either increase investment in the region or seek more. Low-cost solution. Malaysian, Thai and Burmese workers have been able to get a 50% salary increase this year.
The Malaysian government has not announced the minimum wage for 2018. However, the Thai government is considering raising the minimum wage in 2018 by 3%.
In order to obtain the support of the garment workers’ voters in next year’s general election, Cambodian Prime Minister Hun Sen announced that the minimum wage for workers of shoe-making and garment factories will increase from US$153/month to US$165/month in the next year, plus Hun Sen’s request for an additional US$5 for next year’s minimum wage. Determined at $170/month, the pay rise is 11%.
On March 5, the cost of labor in Myanmar is expected to rise 33% this year, and purchase costs may also rise. The National Minimum Wage Commission has agreed to increase the daily wages of workers from the current 3,600 kyat ($2.66) to 4,800 kyat ($3.55), a rise of 33%. This is based on 8 hours a weekday and 6 days a week. Burmese garment workers earn a minimum wage of 85 US dollars a month.
Although this increase may appear to be a large percentage, it is lower than the 55% increase required by workers and unions, and the demand for workers and unions has risen to 5,600 yuan ($4.14 per day, $99 per month). U Ye Naing Win, a secretary of the Union of Trade Unions (CCTU) and a former worker representative of the Central Labor Dispute Arbitration Committee, said that they are not satisfied with the K4800 kyat daily salary set by the committee. We (workers) demand a raise because of hunger. They should not ask for discounts.
However, the trade union federation of the country opposed the increase of the wage rate to 4,800 kyats despite the fact that Myanmar’s 2013 Minimum Wage Law requires a review of the wage rate every two years.
At present, the trade unions in Myanmar require the government to consider the actual cost of living when assessing an appropriate salary increase, especially if the upcoming rent increases. Although the payroll group has already determined its gains, the committee will make recommendations and objections within the next few weeks and determine the final figure within 60 days. In other low-cost purchasing countries, such as Mauritius, Mexico, and Cambodia, the recent wages are also rising, and the corresponding labor costs will also increase this year.
Although this increase in wages is indeed a certain gap from the wages of Chinese workers, rising wages will inevitably increase the manufacturing costs of enterprises. Those enterprises that had escaped from China suddenly found themselves as if they had no place to go except for East Asia. Outside of these countries in Southeast Asia, it is almost impossible to find workers with a large population, such as Asian countries, who abide by labor discipline and who are still hard working. (The dilemmas of Indian workers and African workers are still very large in East Asia and Southeast Asia.)
Rely on the low cost of labor production is not sustainable
Even if you moved your company to a low-cost region like Southeast Asia, you must endure the pressure of rapid rising labor costs in a few years. Because of the low cost of labor, high-volume Chinese companies have chosen to substitute low-cost labor. Advanced technology, however, only the core technology is the first productive force. Now Chinese companies must realize that only if they have done a good job of technology, only by raising the level of automation of their own enterprise is the real foundation because it comes from the scope of the whole world. Look, with the more developed human economy, the cost of the labor force must show a rapid rise. However, from the point of view of advanced technologies such as computers, the cost of using automation technology and robotics technology will surely become lower and lower. Therefore, Chinese companies must abandon the inherent low-cost thinking of the labor force to truly realize their own technological advancements.
In addition, it is very necessary to investigate and explain the reasons for the divestment. However, it should be noted that “It’s the weather to rain”, the normal industrial gradient transfer, the inevitable, unstoppable thing, it goes with it. China has a vast territory and a large gap in cost structure. Since the reform and opening up, the internationally transferred industries have remained in China long enough. Some industries, we do not want to stay! Shanghai is not through the illegal removal of construction, governance group rent and other means to control the population, industrial adjustment it!
It should also be noted that the “sounding words” spoken from the side of a company or business organization are not necessarily true and “excuses” are not necessarily credible. Not that there are paragraphs to say: Why do beautiful women in the costume drama always say to the benefactor: “The little woman does not have to report, only the physical aspect of the promise”, is this phenomenon really existed in ancient times? Nonsense, it is because she likes him . If she doesn’t like it, she would say: “The little woman can’t be considered for the report. Only she can make a cow and come back to her in the next life.”
With Southeast Asia’s rising wages, Foxconn could not laugh. Actually, this is not a bad thing. Chinese textile companies are also just awake.
Is a costume, or a cultural journey; is a fashion company, or a photography studio … … With the change of ideas, technology, models, the clothing industry also played a “face change.” The traditional definition is being broken, and the boundaries of the industry are increasingly blurred.
In the process of “re-defining” and “recreating”, the Chinese clothing industry is rejuvenated. At the China Garment Forum hosted by the China Garment Association recently, industry scholars and entrepreneurs began to talk about the “new ideas” of the industry.
Redefinition: Breaking Traditional Impressions
“When sharing clothes and buying clothes can arouse people’s beauty, I learned photography and got a picture salon. I asked every employee to be both a designer and a photographer and a fashion editor.” Women’s brand white-collar chairman Miao Hongbing started this forum.
In his opinion, the fashion store is no longer limited to selling clothes, but should be a place to show creativity and deliver dreams. Clothing companies also need to provide consumers with better enjoyment than clothing.
The root of clothing is culture, and the ultimate product is experience. Behind these seemingly “unprofessional” changes is the need for constant escalation.
In the new era, the ever-increasing material and cultural needs and spending power are superimposed. Above the commodities, people expect more expression of the industrial expressions of cultural heritage, life concepts, and aesthetic values. From the manufacturing to the fashion, from the tangible products to the service experience, the garment industry has developed new connotations.
In the name of lifestyle, clothing brand Jiangnan Puyi has started to launch a family line; to increase leisure experience, many designer brands have opened cafes… Looking around, more and more companies are seeking inspiration and growth points from their culture and lifestyle. Consumers find more sense of identity.
If we say that culture “reshapes” the industrial connotation, technology will “define” the mode of production.
“In the new era, garment companies will become data companies.” Xia Guoxin, chairman of womenswear brand Ge Lisi, said at the forum that the personalized production and in-depth interactive production methods are being pushed into the industry, and refined supply and coordinated manufacturing. The shared design has become a new trend. The ability to obtain large quantities of orders is no longer a fundamental measure of the quality of apparel companies.
“Connotation and ‘redefinition’ of production create a multiple development path and broaden the space for development,” Sun Ruizhe, president of China Textile Industry Federation, said at the forum.
Recreating: Reconstructing Industry Logic
Behind the value system is the industrial ecology. Rooted in the manufacturing of China’s garment industry, we cannot abandon our manufacturing advantages. With the upgrading of consumption, more environmentally friendly, more quality, more stylish clothing industry needs to rely on a more modern manufacturing chain. “Creative” manufacturing is emerging.
Many brands started to “add” to the research and development of yarns and fabrics, extending the industrial chain layout. In the manufacturing sector, different trends have emerged. Some brands have begun to “return” to find quality manufacturers in advanced manufacturing clusters such as the Yangtze River Delta and the Pearl River Delta, or simply establish modern, scientific, green, and stylish factories in developed regions.
Song Yuhui, vice president of underwear brand love, said that the core of manufacturing is talent. In the future, a modern factory with smart manufacturing must be the mainstream. The establishment of a fashion factory in the core location, complemented by a full range of supporting measures, will help attract talents to better manage product lines and improve product quality.
On the other hand, the notion of shared collaboration also helps companies “lose” unnecessary links and intensively cultivate efficiency.
“Technology forces turned ‘I am all’ or ‘I am the majority’ into ‘I would like to share the world with you’.” Zhao Shanghao, founder of Chain Shangwang, said at the forum that the emergence of industrial service platforms, collaborative manufacturing systems, etc. With breakthroughs in manufacturing and interest boundaries, companies have more choices and industries have more room. In the past year, the chain has expanded from a platform model to in-depth services, with a turnover of 10.7 billion yuan.
The transformation of downstream channels such as renting rental clothing has made precision supply a “fashion” and “opening up” the niche consumer space; some big data service companies have been born to provide support for smart manufacturing and precision design… From manufacturing to creative manufacturing, Chinese clothing Industry is reshaping industry logic.
Refinding: Seeking New Values
The process of “redefining” and “recreating” is the process of seeking new advantages. In breaking through its boundaries, realizing value extension, and expanding the industrial structure, the new competitiveness of the industry has gradually emerged.
Use integration to create integrated competitiveness. The combination of new retail, new manufacturing and new technologies has created a “multiplication” effect. Some companies stated that the benefits brought by the integration have greatly increased in the proportion of brand development.
Build up the core competitiveness with quality. “Quality is the respect for consumers and the foundation for building a brand. The longer the company goes, the more it should go back to the origin and make the clothes better.” Miao Hongbing said that in the process of high quality development, quality will become a new garment industry. The core competitiveness is also the key to coping with trade uncertainty and consolidating irreplaceability.
Use responsibility to release future competitiveness. “Unbounded innovation is behind the ‘bounded’ rule.” Sun Ruizhe said that social responsibility, inclusive growth and sustainable development practices, the construction of a green supply chain, protection of intellectual property rights and consumer privacy, product liability Both consumer and consumer responsibilities should be strictly followed in the integration process of the apparel industry. This sense of responsibility will bring the advantages of sustainable development to the industry.
We hereby sincerely invite you and your company representatives to visit our booth at DSA 2018 in Malaysia.
We’re specialized in military & police garments and outdoor protective products. Our products are both in high quality and reasonable price.
Exhibition Center:Malaysia International Trade and Exhibition Centre(MITEC)
Booth Number: 30817
Date: 16th – 19th, April.,2018
It would be a great pleasure to meet you at the exhibition. We expect to establish long-term business relations with your company in future.
Thanks with best regards.
Aamir Fayyaz, chairman of the Pakistan Textile Industry Association (APTMA), recently urged the government to withdraw the restrictions on imported cotton’s tariffs of 4% and sales tax of 5%, so that the country’s textile industry can meet the demands of international buyers. Textile requirements.
He said that despite the relevant commitments made by the Prime Minister’s export package, the aforementioned restrictions were strongly added.
Pakistani media reported that non-tariff measures for cotton imported from India and Brazil should continue because the industry is in great need of export textiles produced from pollution-free medium-long staple cotton.
So far, the country’s textile industry has only purchased about half of the cotton demand. Due to quality reasons, it has been forced to purchase quality cotton from abroad to meet its demand.
Amir Fayazi added that if such restrictions are continued, it will cause damage to the Pakistani textile value chain.
According to Syed M Ali Nasir, Acting Chairman of the Federation of Pakistan Chambers of Commerce and Industry, Pakistan’s textile exports to Turkey were affected because the latter increased the tariff from 6.4% to 18-26.4%. Even if Pakistan offers preferential treatment to Turkish industry, it still negates the free trade agreement (FTA) between the two.
A major Pakistani newspaper quoted Nasir as saying that signing a free trade agreement would be useless for the country’s largest export industry. This would be futile. He said that Turkey has provided a general preferential system for many countries, but it is not Pakistan.
In the past few weeks, yarn exporters in Nepal have also faced trouble. Prior to this, Turkey imposed more stringent import regulations on Nepalese yarn, claiming that Nepalese businessmen exported foreign yarns under the name of the Nepalese brand. According to a Nepalese top newspaper report, according to the above allegations, the Turkish government also imposed anti-dumping duties on Nepalese yarn, which caused anxiety to Nepalese yarn producers.
In order to refute the Turkish accusations, the Nepalese Yarn Producers Association and the Nepalese government authorities recently conducted an inspection of the yarn producers and found that Nepalese businessmen and yarn manufacturers have been exporting authentic domestic yarns.
At the same time, the Nepali delegation may soon visit Turkey and discuss the issue with the Turkish authorities.
Jinteng was founded in January 10, 2002, which is a specialized manufacturer for military & police garments and outdoor protective products.
NO. 1, Lishan North Road, Wuhu Industrial Zone, Huangpi, Wuhan, 430000, Hubei Province, China.