New Trend Of Global Textile Trade

The textile and garment industry is one of the oldest industries in the world. For a long time, textile manufacturing consumption centers in the United States, Europe and Japan.

Now, the manufacturing industry is eventually pferred to the newly developed industrialized Asian countries, mainly because the local labor costs are relatively low and raw materials are abundant.

One of the most important milestones in the history of global textile trade is the cancellation of quota restrictions in January 1, 2005.

The abolition of multi fibre agreement (MFA) has led to changes in the procurement pattern and the relationship between buyer and seller.

In 2005, the US and Europe set restrictions on China's exports, but China's exports were not affected.

In 2006, China's textile and clothing exports even increased by 25% (in US dollars), compared with the previous year's growth of 21%.

The main reason is that sales in the United States and other markets outside the EU are strong.

The EU and US quotas significantly limit the growth of China's textile and clothing imports from China, and in the US dollar alone increased by 15% and 10% respectively.

Although the US and EU imports from China have decreased significantly, their imports to other regional partners have also stopped or even regressed.

EU imports from Morocco increased by 3%, and imports from Tunisia did not increase.

The US imports from CAFTA and the Republic of Dominica decreased by 7%, and imports from sub Saharan Africa decreased by 10%.

On the contrary, the import volume of EU and US markets from low cost Asian countries is very large.

Bangladesh's textile and apparel exports to the US surged 22%, and exports to the EU increased by 34%.

European imports from Vietnam increased by 51% (in dollar terms).

Kampuchea and Indonesia also increased exports to the EU and the US market.

More and more countries are beginning to consolidate their position in world trade through mergers.

Countries such as India and China buy businesses in countries with major neighboring markets.

Retailers try to integrate their supply base to achieve a certain economic scale.

High cost manufacturers in developed countries have set up joint ventures to move production to developing countries and reduce manufacturing costs.

Today, changing the lifestyle and purchasing preferences of consumers has turned "fast food fashion" into today's agenda. This mode requires continuous product innovation and faster circulation time, and at the same time requires cost efficiency.

Product life cycle is shorter and commodity classification is more extensive.

The apparel supply chain has undergone significant changes.

Garment manufacturers are also feeling the pressure. In turn, they pass the pressure on the textile and accessories manufacturers.

Only by improving textile and garment technology, completing the supply chain, acquiring precise production and improving productivity can we meet these needs.

Shoppers are getting more informed. They know not only the consumption environment, but also the practitioners of the whole value chain.

Social responsibility has a great influence on them. They pass on the care of social responsibility by choosing the textiles and clothing of the retailers and manufacturing enterprises.

The importance of recent political and economic stability factors has begun to increase, which is a decisive factor in ensuring trade stability.

The US economy is under enormous pressure, and retailers are closing their businesses, so manufacturers export goods to the United States at risk.

Economic instability affects trade relations, and manufacturers have to find new trading partners to reduce losses.

Similarly, political turmoil and terrorism have reached a new climax in the near future, not only affecting domestic industries, but also affecting trade relations with their partners.

The new world order is taking shape. The development of the traditional trade market in the United States / European Union is slowing down for many reasons. At the same time, the growth of developing countries has great potential, such as China and India.

With a large population in Asia and a high level of disposable income, it is an expanding destination for international brands and retailers.

Asian consumers have a growing sense of fashion, but they can not get rid of traditional influences. For retailers, this is a huge challenge.

The Asian market is becoming more and more important, not just a purchasing center, but also a fashion center.

Brazil, Russia, India and China's 4 emerging countries (BRIC) have become the main emerging markets. These countries have high GDP growth rate and high per capita GDP. For large retailers, the opportunities for growth in these countries are growing.

Obviously, the future of the fashion industry lies in the integration of the whole value chain.

The traditional buyer seller model should develop rapidly into more meaningful cooperation so as to overcome economic challenges and world order.

The current global economic crisis will have a negative impact on the textile and clothing trade, and the development in 2009 and 2010 will continue to slow down.

However, after 2010, the global textile and garment trade will start to warm because the world economy will be improved.

Other factors conducive to Global trade development include expanding global population, increasing world population income, increasing disposable income worldwide, expanding the middle class, increasing consumer goods and sales services, and all these factors will surely expand the scale of Global trade.

Yang Jing: editor in charge