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    The Cheap Pants Are &Nbsp; The West Plunders Profits And Tastes Bitter Fruit.

    2011/3/8 13:07:00 43

    Western Jeans Profit

      

    Wei Xiaofeng's 24 year old Wei Xiaofeng sits on a pair of jeans. This gives the west a message: Chinese factories are cheap.

    commodity

    The era is gone forever.


    Over the past few years, she and thousands of factories have provided inexpensive clothing for British street shops (a pair of jeans less than 10 pounds, a T-shirt 3 pounds) and cultivated a large number of international brands.

    Today, the supply chain is broken.

    Ms. Wei's factory is in crisis and no longer orders from the West.

    "We still receive orders from other countries, but other factories are also, but no one takes orders, because they lose money.

    Foreigners are unwilling to give reasonable prices.


    Wei's factory is the 5000 in Xintang town.

    Jeans

    One in the factory.

    The town of Xintang in Guangzhou has become the "city of jeans in the world".

    The jeans industry of the town is world-class in technology, superior in quality to the high-end brands only produced in Japan and Italy before such as Fu Shen and Diesel.

    The production of jeans in Xintang began 30 years ago, when many companies springing up rapidly, and soon the world began to benefit from Xintang's countless cheap workers.


    Along a road, factories sprayed their products to windows, including Poland, Russia and South Korea.

    A factory owner boasted that his company's competitiveness had left the jeans factories in Eastern Europe no longer in existence.

    However, Chinese factories are now hitting the wall.

    In the past, workers were happy even if they earned 30 pounds a month, and now their wages will rise 10-15 times.

    More and more workers choose not to find jobs in the south, but in the new factories in the mainland, they are lucky enough to have a lower cost of living and closer to home.

    "Hiring is becoming more and more difficult," said a factory owner. "I usually hire thirty or forty people.

    This year, 5000 yuan will be able to hire 20 people a month. "


    Many factories have been closed, and only 17 of them are on the streets.

    Survival of the fittest.

    They must go.

    High-end

    Line, stop producing cheap clothes. "

    Said Mr. Zhan, the head of the local jeans Association.

    At the same time, floods in Pakistan and Australia, export ban in India, coupled with the revolution in the Middle East, make cotton prices unbearable.

    To reduce costs, designers have started producing jeans with polyester fibers.

    Shockwaves from Xintang have begun to appear.

    Analysts say the profits of Swedish clothing giant Haines Maurice dropped sharply at the end of last year.


    The reality is that there is no place to replace manufacturing in China.

    Vietnam and other Southeast Asian countries have lower cost, but hardware and scale can not compare with China.

    "Clothing companies should be vigilant, because the day of" disposable clothes "is over.

    Atkins, an expert in Hongkong jeans, said: "they have spent a lot of money over the years to get more profits.

    They plundered China's production line, and now they are beginning to suffer. "

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