I Am Afraid The Chinese Garment Industry Is Far From Bottom.

When the Chinese economy is busy building up the bottom line, the Chinese garment industry economy is far from bottoming out.

The main cause of the current crisis is Europe.

The landslide brought out a series of hidden diseases such as inventory, overcapacity, profitability and so on. We had to face the reality of "external dependence" and "business model innovation".

From the data point of view, the dependence on exports of Chinese clothing has dropped to nearly 30%. Can this figure truly reflect the degree of dependence on the external demand of our garment industry and even the textile industry? In fact, a large number of domestic products are also exported.

We must re-examine the proportion of internal and external sales, and re recognize the guarantee role of exports in the current stage of industrial stability.

Behind the clothing industry, there is a big textile industry chain involving cotton and other sensitive industries. As a terminal's garment industry, the external dependence degree can truly reflect the external dependence of this industry chain.

Although the export value is not high, the scale of demand can not be ignored. The shrinkage of export volume will inevitably result in the chain reaction of upstream along with the shrinkage of product demand and the balance of supply and demand in the whole industry chain.

Domestic demand must be our country.

Important support for future development.

Although domestic trade performance is not satisfactory this year, demand always rebounded when the economy rebounded, and it is optimistic that consumption inhibition caused by climate will turn a good turn by the end of this year.

Hopefully, we will be able to soberly recognize the real cause of consumption rebound and not be excited to expand production capacity too much, laying the foreshadowing for the next large-scale "out of stock" cycle.

In 2012, "de Stocking" was sweeping the whole industry just like the "technological pformation" in 2010. Although the consumer goods industry with complete market competition needs a certain supply surplus, excessive development will become a stronger threat.

Needless to say, China's garment industry has a strong ability to self repair, but the other side of self repair is self destructive, which is like pushing itself into a comfortable hotbed and gradually losing its sense of anxiety, which is the underlying reason why clothing enterprises are springing up like mushrooms and poor times when they are in good years.

Looking at the sustained low growth of China's clothing output after the financial crisis, we have seen the cautious attitude of large enterprises to the increase of output. There are more extensive interprocessing cooperation among large enterprises behind the growth. We have seen the necessity of putting the new products in the garment industry, and this also pulls out the difficulty and pressure of "going to stock".

Though accumulating a large amount of stock while accumulating industrial scale, it is a diversified consumer product.

The output of new products is really a strong proof of industrial development.

What the industry needs to do now is to learn from the experience of "going to stock" rather than superficiality to make up for economic losses.