Japan Revised The Preferential Tariff System And Encountered Difficulties In China'S Clothing Industry

"A pair of jeans, European and American customers generally bid 6~9 U.S. dollars, while Japanese customers often bid $more than 10, but many factories in Guangdong dare not answer.

Japan is too strict in technology. For example, every sewing thread on the trousers must be straight and not allowed to bend.

The Japanese side will send professional personnel to the factory to follow up for three-dimensional inspection, and each piece of clothing exported to Japan is required to be tested and certified.

According to the comprehensive cost, the profit from export orders to Japan is not high and the market risk is large.

Zhong Haosen, assistant general manager of Guangdong textiles import and export Limited by Share Ltd, told reporters that the company exported hundreds of millions of dollars annually, of which less than 10 million U.S. dollars were exported to Japan, mainly bedspreads, towels and other products, and few clothing products.

Zhong Haosen said that Guangdong's clothing factories which were originally in line with the Japanese quality standards were not many, mainly concentrated in Dongguan, and with the continuous improvement of Japanese testing technology standards, fewer and fewer factories are up to standard.

This year, as international orders pick up, many processing factories are reluctant to spend a lot of time producing Japanese orders. Once Japan changes the preferential tariff system, Japanese traders will shift the added cost of imports to some Chinese enterprises. If prices are cut down, Japanese customers will find it difficult to find suitable garment factories.

According to the statistics of Guangzhou customs, the total value of import and export trade between Guangdong and Japan reached US $37 billion 820 million in the first half of July this year, an increase of 39.6% over the same period last year, which is 4.7 percentage points higher than that of the whole country.

Among them, Guangdong exported 11 billion 920 million US dollars to Japan, an increase of 30.8%. In the first 10 specific export products, the mechanical and electrical products such as automatic data processing equipment, telephones, printers and other mechanical and electrical products showed rapid growth to the sunrise. However, the clothing and accessories had a slight decrease of 4.3% for Japanese exports.

Textile and garment exports to Europe and the United States have obviously recovered, but exports to Japan are still not optimistic.

This year, 1~6 textile and garment exports reached 85 billion 820 million US dollars, an increase of 22.1% over the same period last year.

The European Union, the United States and Japan are still the main export markets for textiles and clothing in China. In the first half of this year, exports to the EU were 17 billion 880 million US dollars, up 18.4% over the same period last year. Exports to the United States were US $13 billion 300 million, an increase of 28.1% compared to the same period last year, while US exports to Japan increased by only US $9 billion 130 million.

Mao Xiahua, director of the trade management department of Shanghai flying horse import and Export Co., Ltd. said that at present, the company can export Japanese orders, but once the preferential tariff is amended, it is hard to say that at present, the profit from Japanese orders is not high.

Japan began to implement preferential tariff system in 1971. By April 2009, a total of 140 countries and 14 regions were enjoying preferential duties in Japan, including China.

Under the current preferential framework in Japan, the maximum utilization limit of a country is 20%.

Japan's Ministry of finance's adjustment plan is to pfer it to 10% to 15%.

The adjustment plan is scheduled to be sent to the relevant deliberations and government tax investigation committee this autumn. In 2011, the amendment to tariff provisional measures was submitted to the Congress.

The adjusted preferential tariff will be implemented in the next fiscal year.

According to media reports, Japan intends to lower the preferential tariff ceiling. The big background is the sharp increase in China's exports to Japan, with annual imports exceeding 10 trillion yen.

Statistics show that Japan's preferential tariff rate is 5 billion 500 million yen, of which about 20% of China enjoy it. In 2010, 78 products in 36 areas, preferential tariff has been applied, and the ceiling has reached 500 or more varieties.

Japan believes that lowering the utilization ceiling of a country will reduce the share of China's utilization so that it can benefit other developing countries.

The head of Guangzhou Customs said that with the spread of the economic crisis, Japan's trade protectionism was on the rise. The types of technical trade measures that mainly affect industrial exports were concentrated on certification requirements, technical standards, environmental protection requirements and packaging and materials requirements.

If Japan changes the preferential tariff again, it will have certain influence on the export of our products.