CHINA: To Move Textile Manufacturing Offshore?

China is considering moving some of its textile manufacturing overseas as the industry faces the prospect of more export restrictions by the US, XFN-ASIA cited industry insiders as saying.

Edward Cheung, an analyst with Hong Kong-based Tai Fook Research, was reported as saying that producers are looking elsewhere as a way to get around more limitations on trade.

Cheung gave the example of knitwear company Shenzhou International Group Holdings, which is said to be considering Cambodia as an alternative production destination to China.

China has recently become subject to protectionist measures from both the US and EU, who fear that its rising exports since global trade quotas ended in January will damage their own industries.

 The US is expected to announce five additional safeguards today to reduce China's exports in addition to the range already applied to certain categories of textiles and clothing.

Just-style.com