Cheap Jeans Dream End&Nbsp; The West Plunders Profits And Suffers
The Daily Telegraph of Britain, February 26, article, original title: The end of the dream of cheap jeans in China is in an idle factory. Wei Xiaofeng, 24, sits on a bundle of jeans, which brings a message to the West: Chinese factories produce cheap jeans commodity Gone forever are the times of our country.
Over the years, she and thousands of factories have provided inexpensive clothes (a pair of jeans is less than 10 pounds, a T-shirt is 3 pounds) for shops on the streets of Britain and cultivated a large number of international brands. Now, the supply chain has been broken. Ms. Wei's factory is in crisis and no longer receives orders from the West. "We still receive orders from foreign countries, as do other factories, but no one takes orders because they lose money. Foreigners are unwilling to give reasonable prices."
Along the road, factories spray their products on the windows of countries they have visited, including Poland, Russia and South Korea. The boss of a factory boasted that his company's competitiveness has made the jeans factory in Eastern Europe no longer exist. However, Chinese factories are now "hitting the wall". In the past, even if they earned 30 pounds a month, the workers were happy. Now their wages will rise 10-15 times. More and more workers choose not to find jobs in the south, but to try their luck in the new factories in the inland, where the cost of living is low and closer to home. "It's getting harder and harder to hire people," said a factory owner. "I usually hire 30 or 40 people. It's good to hire 20 people for 5000 yuan a month this year."
Many factories have been closed, and only 17 factories on the street where Ms. Wei's factory is located have started. "The fittest survive. They must go high-end Route, stop producing cheap clothes. " Mr. Zhan, the head of the local jeans association, said. At the same time, the floods in Pakistan and Australia, the export ban in India, and the revolutionary wave in the Middle East have made cotton prices unbearable. To reduce costs, designers have begun to produce jeans with polyester fiber. The shock wave from Xintang has begun to appear. Analysts said that the profits of Swedish clothing sales giant Haines Morris fell sharply at the end of last year.
The reality is that there is no place to replace China's manufacturing industry. Vietnam and other Southeast Asian countries have lower costs, but their hardware and scale cannot compare with China. "Clothing companies should be vigilant, because the days of 'disposable clothing' are over," said Atkins, an expert on Hong Kong jeans. "They have always wanted to spend a small amount of money to gain more profits over the years. They plundered China's production lines, and now they are beginning to suffer."
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