Japanese Garment Manufacturers Regard Thailand As A Supply Base.

Kazuo Niijima, senior manager of the Japanese clothing and Apparel Industry Council, said in a visit to Bangkok that Japan

Because of its high-tech production technology and high value-added

Mr. Niijima stressed that because of low labour costs, more and more Japanese clothing manufacturers are considering building factories in Laos, Kampuchea and Vietnam.

He said that after long term service to the domestic garment production industry, Thailand has now become a major supplier country, providing support for Japan's clothing companies in neighboring ASEAN countries.

He further pointed out that Thailand has great capacity to meet the needs of the middle and high end market.

Thailand has now developed into a hub for Japanese design and technology pfer.

Mr. Niijima said Japan is making efforts to reduce its dependence on other countries, especially clothing imports from China.

Therefore, ASEAN countries, such as Thailand, will gradually occupy a strong position, thereby reducing imports from China.

Japan imports $27 billion in clothing every year. Until recently, 90% of its imports came from China, while Thailand's share in the Japanese import market was only 10-20%.

The Japanese market is already the third largest export destination for Thailand garment manufacturers, accounting for about 10% of Thailand's total exports.

The United States and the European Union are the two main importers of clothing exporters in Thailand, accounting for 40% and 30% of Thailand's clothing exports respectively.

This year Thailand's clothing export growth may remain stable at $3 billion 200 million.