Textile & apparel exports up 25.73% yr-on-yr in H1

The perfect export data indicate that China textile and apparel is doing better in terms of export and its industrial competitiveness and ability in sustainable development have been further enhanced. The main reason lies in that textile and apparel enterprises in China, faced with fierce competition in domestic and international markets, are attaching more importance to product upgrade, technology upgrade, equipment replacement, and brand cultivation. A great number of large and modernized textile and apparel enterprises have survived the fierce competition.

These enterprises are close to or have reached world-class level in terms of technical equipment, productive technology, production management, and product design, and their competitiveness and bargaining power in the international market have been considerably enhanced. An analysis report from the website "China Customs statistics" also points out large enterprises tend to have stronger ability to work under pressure, and many large export enterprises report that they have abundant orders this year and are ready to expand production.

Secondly, we should notice that emerging markets are pulling export dramatically but remain to be further developed.

According to customs statistics, China textile and apparel export to markets worldwide is comprehensively rebounding, and export to emerging markets such as Latin America has increased considerably. From January to May, China's export volume to all the continents maintained double-digit growth. The export volume of China apparel to European Union, America, and Japan continued to grow year-on-year by 29.12 percent, 16.07 percent and 21.44 percent respectively. Total value of export to those traditional markets reached US $ 33.162 billion, accounting for 64.66 percent of the total China apparel export, a year-on-year increase of 21.54 percent. Total value of export to emerging markets such as Latin America, Africa, ASEAN (Association of Southeast Asian Nations), and Russia reached US $ 8.143 billion, accounting for 15.88 percent of the total China apparel export, increasing 36.53 percent compared with a year earlier. Apparently, export growth to emerging markets exceeded that to traditional markets. Statistics indicate that emerging markets have huge potential and enterprises should exert more efforts to further develop them and cultivate them into new growth points.

Thirdly, we should also notice that price hike also brings deep influence on China textile and apparel industry.

Price hike has aggravated the polarization of China textile and apparel export. Textile and apparel has entered the era of high cost. The rising cost of raw materials, labor forces, and physical distribution has brought huge pressure to enterprises to survive. With small profit margin and weak bargaining power, the medium and small size enterprises are on the weak positions in the industry, and it is hard for them to cope with various impacts because they also face the problem of difficult financing. At present, medium-sized and small enterprises constitute the main part of the textile and apparel industry in China, and they mainly produce medium- and low-end OEM products. Under the context of industrial structure adjustment, industrial resources flow to large enterprises at a higher speed, so industry reshuffle is inevitable.