American Spinning Costs Are Cheaper Than Chinese Spinning.

According to reports, a family in Hangzhou, Zhejiang, China.

Difficulties arise due to rising labor, energy and land prices.

The Cole Group Limited has agreed to invest $218 million to build a plant in Lancaster County. The new factory has less than half the electricity bill in China and is supported by the local government. The Kohls Corp is expected to create at least 500 jobs.

Can Americans spin too?

You may not expect it.

The cost is cheaper than that of Chinese spinning.

It is reported that a spinning mill in Hangzhou, Zhejiang, China is facing difficulties in rising labor, energy and land prices.

The Cole Group Limited has agreed to invest $218 million to build a plant in Lancaster County. The new factory has less than half the electricity bill in China and is supported by the local government. The Kohls Corp is expected to create at least 500 jobs.

As China's costs continue to increase, Kohls Corp can bring

To the manufacturers of Central America, unlike Chinese companies, it is tax-free to deliver garments to the United States.

Advantages of the American spinning mill:

First, American spinning mills can use American cotton and have abundant raw materials.

Second, the cost of electricity in the US is very low, which is about 1/3 of China's electricity costs.

Third, the degree of automation in the United States is very high. Although the cost of employing the United States is high, there are few equipment users, so the overall cost of labor is very low.

Fourth, electricity and land costs in the US are cheaper than 40%-50% in China.

There is another problem. If the same container is used to make cotton and make cotton yarn, the higher the added value, the lower the freight will be.

The electricity is cheap and the raw materials can be guaranteed. So the impact of American cotton yarn on the Chinese market is very large. Now the 32 airstream spinning knitted yarns are very comfortable to wear.

China's raw materials for air jet spinning are relatively low, and the raw materials used in the US are better.

The degree of automation of spinning in the US is very high. A large workshop does not even need two people.

Data show that in 2003, the cost of spinning in the United States was 2.86 US dollars per kilogram and 2.76 US dollars in China.

By 2010, it would cost US $3.45 in the US, and it has jumped to $4.13 in China.

The cost of textile production in the United States has been lower than that in China, India, Turkey, Korea and Brazil. The rising cost is driving some textile enterprises in Asia to migrate to the United States.

Shrivallabh Pittie group, a textile manufacturer in India, invested 70 million US dollars in Georgia to build its first American factory to produce pure cotton combed yarn. This spinning factory will create 250 jobs. The spinning factory will install the most advanced machine to produce all kinds of other combed yarn.

The United States has imposed tariffs on imported yarn and clothing for several decades, but trade agreements such as the North American Free Trade Agreement created a tax exempt zone between the United States and several trading partners.

The agreement stipulates that textiles imported from partner countries must be made entirely in these countries or materials produced in the United States, otherwise the textiles will be subject to tariffs, which can generally reach 5% to 6% for fabrics, 10% to 12% for fabrics and 15% to 20% for garments.

For many years, Asian clothing producers have been bearing this tariff because production and pportation costs are very low, and now they are reassessing the practice.

This shows how changes in Global trade are creating advantages for the manufacturing sector in the United States.