Transformation And Upgrading Of Chinese Garment Enterprises

If the OEM export has been a shortcut for the rapid development of Chinese garment enterprises, then

We go deep into China's clothing industry cluster to understand the problems and difficulties faced by the garment industry under the crisis, and explore the way of pformation and upgrading.

After the financial tsunami and the European debt crisis, many enterprises are dying.

Ye Yaolin, chairman of Dongguan Tianrun Garments Co., Ltd., sighed with emotion.

Tianrun Garments Co., Ltd. is a mainly export swimwear and underwear.

Like Tianrun, the textile industry in the coastal areas with developed countries as the main export market also felt the pressure of survival is bigger than that of previous years because of shrinking external demand. Foreign trade growth slowed down, and the profit margins of enterprises were squeezed.

In Dongguan alone, manpower costs rose by 30% and raw materials exceeded 20%.

Liu Jintang, deputy director of Guangdong Dongguan SME Bureau, said.

According to the China Textile Industry Federation data, excluding the price factors, the number of textile and garment exports increased by only 0.5% in 2011, and the number of garment exports decreased by 0.2% over the same period last year.

Industry profit growth continued to slow down, the 1-11 month growth in 2011 decreased by 27 percentage points compared with the first quarter, and the profit growth rate in November was only 11.6%, down 46 percentage points from the beginning of the year.

At present, some of the low-end products have been pferred to neighboring countries, and this trend will become more evident in the coming years.

"Wang Tiankai, President of China Textile Industry Federation, said that from a year-round perspective, China will face more complex foreign trade situations.

The growth of demand in the international market will still be weak, and the shortage of demand, competition pressure and trade frictions faced by export enterprises will also become more prominent.

The tight external environment will form a market forced mechanism, bringing a new round of industry shuffling, enterprises.

It is urgent for us to take advantage of the downturn in external demand and the steady growth of domestic economic growth in order to change the way of development of textile and garment enterprises.

Liu Junxing, deputy inspector of Guangdong economic and Information Committee, said.

In the crisis, many enterprises are actively searching for the road of self salvation, though difficult, but also explore new directions for development.

It is much more stable to walk on two legs and create brands.

Wen Xiaoyan, chairman of Dongguan City Industrial Co., Ltd.

Bai Wei Wei Industrial Co., Ltd. is a baby clothing brand for the United States processing.

At present, the master's cat has more than 100 stores in the country, and the profit is much more than that in the past. After a few days, she has to prepare to go to Kampuchea to investigate and expand the production base.

More and more enterprises realize that relying on exports can only develop temporarily with the help of the economic prosperity cycle. Once the economy is down or the business environment deteriorates, it will be eliminated by the market, and the core competitiveness is the key to the sustainable development of enterprises.

In addition to brand building, enhancing core competitiveness is also reflected in the enhancement of innovation capability.

Including upgrading of manufacturing technology, improvement of research and development capabilities, etc.

YISHION group, which was unwilling to do the wedding dress for others, set up its own R & D center not long ago, and opened up a series of business, children's wear and so on.

Guo Donglin, chairman of YISHION group, said that the company will continue to expand its strength against the wind, and this year will continue to intensify its R & D design and layout the terminal consumer market.

Cheap competition in the past had ceased to exist.

In the era of high cost, enterprises need to think about how to go their own way in the upgrading of the industrial chain, seize the two commanding heights of brand building and design research and development, and form mature and complete technological capability and industrial system.

Liu Junxing said.

The head of the Ministry of industry and information technology said that during 12th Five-Year, China will use advanced technology to pform the traditional textile industry, expand the application of textile products in the strategic emerging industries such as new materials, new energy, energy saving and environmental protection, and at the same time, guide enterprises to increase R & D investment. The proportion of internal expenses of R & D expenditure of some dominant textile enterprises will increase to over 3% of the main business income.

Most garment enterprises in China start from foreign trade. Although many enterprises begin to build their own brands and expand the domestic market, it is not difficult for them to break through the bottleneck.

Nowadays, clothing enterprises in Zhongshan want to make brands, and there are many brands emerging in one stage, but the development has reached a certain level.

Guan Tianji, President of Zhongshan textile and garment industry association, said, how can domestic garment enterprises develop under the situation of foreign brands coming into China and more intense competition?

Integrating resources and holding together to keep warm is the first choice for many enterprises in coping with crises.

A leading enterprise can drive hundreds of small and medium-sized enterprises across the entire supply chain industry chain.

Wang Tiankai suggested that SMEs can integrate the supply chain through the way of processing the domestic brands to make the local brands bigger and stronger.

At the same time, many experts suggest that relevant measures be taken to improve the supporting services of the garment industry.

Chen Dapeng, executive vice president of the China clothing association, said: "people do not cook cooked food and have no fire" to describe the current clothing brand and research and development.

A very important point is the lack of supporting services.

For example, the financing difficulties of small and medium-sized enterprises, the lack of clear financial subsidies for technology upgrading, and the threshold of private brands entering the shopping mall are too high.

He suggested that the government help enterprises speed up brand building, and