China'S Textile And Garment Industry Has Been Honed By Practice After Joining The WTO.

In 2011, China applied for "25th anniversary", 10th anniversary of China's accession to the WTO and 15th anniversary of the World Trade Organization (WTO), which is an important event in the world's economic development.

Safeguarding world trade health

The GATT evolved into the World Trade Organization (WTO). Its original intention was to promote trade liberalization. The first practical thing in the establishment of WTO was the implementation of the agreement on textile and clothing (ATC). It stipulated that the trade liberalization of textile and clothing should be gradually returned to the 10 year period (1995~2004), and the abolition of the distorted trade system multifibre agreement (MFA) was finally abolished.

The multi fibre agreement is based on bilateral consultation mechanism.

The abolition of China's accession to the WTO and MFA has not only made the Chinese textile industry in a fairer competitive environment, but also promoted the comparative advantage of the world, and promoted the healthy development of the world's textile trade. Since 1996, the world's textile and apparel trade has entered a rapid growth, and the trade in clothing and textiles has increased rapidly after China's accession to the WTO in 2001.

(Fig. three) in the meantime,

Integration into global industrial network restructuring

China's textile accelerated to integrate into textile after China's entry into WTO

On the other hand, China's accession to the WTO promises market liberalization, prompting domestic industry upgrading.

The restructuring of the global industrial network and the change of the international trade pattern have accelerated the pfer of China's textile industry and the optimization of the industrial structure. After ten years of training, we have initially built a large textile country with a reasonable industrial system, complete industrial chain, complete industrial departments and abundant product lines.

Reshaping the world outlook

China applies for "restoration" to the WTO.

Looking back on the process of China's resumption of GATT (resumption of the status of the members of the GATT) and China's accession to the WTO, China's textile and clothing trade is the biggest obstacle to negotiation and the focus of controversy. Finally, China made a concession to the overall situation and signed a pitional agreement on textile special safeguard measures (242 terms 2008 to the end) and general product protection measures (16 due in 2013).

The reason for this arrangement is unreasonable because of a prejudice in the developed countries: China's accession to WTO will hurt its industries.

Such unilateral thinking in developed countries also continued until the abolition of MFA.

In fact, a research report released by the US International Trade Commission (ITC) after China's accession to the WTO holds that China's accession to the WTO, especially the abolition of quotas in 2005, has resulted in an increase in the US gross domestic product (GDP) and total social welfare, which has no significant impact on the level of labor wages in the United States.

But it contributes to the growth of retail circulation and service trade in the United States.

China's economy

After China's accession to the WTO and the abolition of the multi fibre agreement, the world trade has further returned to the WTO free trade principle. The comparative advantage of China, including other countries in the world, has been released. The global trade pattern and the economic structure of various countries have become more rational. It has accelerated the rational and balanced development of the world economy and promoted the optimization and adjustment of the textile global industrial network (GPN). As a result, the total volume of world textiles (SITC65) and clothing (SITC84) has been greatly increased (Fig. three).

Taking the OECD market as an example, although the market share of developed countries has declined, the total volume of trade is still growing. Of course, this does not include the benefits of intellectual property and service trade in developed countries such as licensing and retailing in textile and clothing brands.

Learn from pain and build harmony

At the beginning of the WTO accession, the industry was too optimistic about China's integration into the world's textile industry, and was not prepared enough for competition and friction from other textile and garment exporting countries.

After joining the WTO for 10 years, China's textile industry should re-examine its development strategy, change the short-sighted export oriented theory, cost oriented competition and simple scale expansion mode, and establish a sustainable development strategy based on balanced, harmonious growth and cooperative competition.

Another trend is the industry's doubts about accelerating the integration into the global economy after China's accession to the WTO, such as opening up the market, implementing national treatment, allowing foreign capital to enter the retail circulation industry, and so on.

As the world's largest consumer of fiber and products, China has fulfilled the promise of opening up the market, continuously lowering import tariffs, eliminating import tariffs on textiles and clothing from less developed countries, increasing imports of fiber, fabrics and clothing products from these countries and regions, and actively promoting trade and technical exchanges between countries, especially South South cooperation.

The sustainable route of a powerful nation

China's clothing imports in 2008 were about 3 times that of 2001, during which textile imports increased by about 27%, while cotton imports increased by 17 times. China has particularly strengthened cooperation with African cotton producing countries.

China has become the second largest country in the world for high-end fashion consumption, and the demand growth of Chinese consumers' products in the external world has become an important force in stimulating the world's textile and garment industry.

China strives to balance the world's textile and clothing trade, and implement an omni-directional multilateral trade policy. In particular, it has strengthened technology export, investment, cooperative operation and trade promotion activities for less developed countries.

In the 10 years after China's accession to the WTO, China's textile industry has entered the stage of "increasing quantity and quality" from the stage of rapid growth.

"Sharp increase in quantity" requires not only to maintain the export growth of the international market and to grasp the opportunities for industrial pformation and development brought about by the growth of domestic demand, but also to enhance the connotation of the industry, the quality of "made in China", the added value of tons of fiber, the ability to govern the global textile and apparel value chain and the sustainable development of green, low-carbon, environmentally friendly and harmonious society.

China's textile industry should change its outlook on the world, balance the import and export trade, adjust the structure of internal and external needs, achieve the new round of growth through capital restructuring through technological progress, optimize the industrial layout through the industrial pfer, explore new growth space, innovate the way of thinking, change the growth mode, and promote industrial upgrading; and adjust the industry (space, market, product) structure, and practice the sustainable development route.