The slump in the foreign trade of textile industry

Release time:2013-02-28      Source:admin      Reads:

The Intelligence Committee of America’s House of Representatives, which has spent the past year looking into the activities of two of China’s biggest telecoms firms. The report contains plenty of rhetoric about the supposed threats that Huawei and ZTE, pose to American security because of their opaque governance structures and links to China’s Communist Party. But it is oddly devoid of hard evidence to support its draconian recommendations. It is not an exception for Chinese companies which try to explore and expand business opportunities in overseas market.

This phenomenon does not only exist in telecoms Industry, but also in other fields, which is a big problem for the textile industry, especially for the companies that exported garment and small accessories such as seal tags. Aside from trade frictions, economists and trade watchers agreed that due to a number of factors, the euro-debt crisis are significant, the momentum of China's foreign growth will remain weak as the year draws to a close.If the garment industry fades, the relative industry which provide labels and seal tags will be hit as well.

As the shrinks of North America and European market, China’s exports to the regions are greatly reduced at the same time. It is worthwhile to note a certain number of orders are shifted to India, Vietnam and Pakistani, they have much in common: cheap labor and raw material cost. It is very attractive for importers who need small items such asseal tags. The total amount will be 10% less than that of China, many famous brands such as Nike and Adidas closed their factory in China and set up new production line in above countries. Although the government has already noted this problem, it is hard to turn the tables in short time. The garment and relative industry should work out a solution to get out of dilemma.

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