"Overseas Factory" Has Attracted Much Attention. Cole Group For The First Time In The US Textile Mill.

The reporter learned that cotton textile leading enterprise Cole Zhejiang Group Limited will open its first overseas factory in Lancaster County, South Carolina, with a total investment of US $218 million.

"The contract has changed from intentional investment to substantive effect. The first phase of the project will start in February 2014 and is expected to be put into operation in October 2014."

Huang Guogang, director of the office of the group office, told reporters that at the end of last year, the company began to look for investment opportunities in Vietnam, India, Pakistan, the United States and other countries. Finally, after actual research and demonstration, the factory location was placed in the United States.

Huang Guogang said that the project's foreign investment is mainly aimed at coping with the high cost of labor and energy in the cotton yarn industry in China, avoiding the international trade barriers to China's textile industry, and promoting the implementation of the internationalization strategy of the enterprises.

The information shows that the whole project will form 100 of the most advanced air spinning machines in the world today, with an annual output of 15 tons of yarn, including 52 sets of air jet spinning machines and 6 sets of Qing steel couplet. After the commissioning, the production scale will reach 70 thousand tons per year.

Liu Aihua, Secretary General of Zhejiang cotton textile industry association, confirmed to reporters that Zhejiang Zhejiang Group Co., Ltd. is the first cotton textile enterprise to directly invest in Zhejiang Province, which is also China.

The first manufacturing plant set up in the US.

Dean of Zhejiang Business Research Institute

To this reporter, told reporters that before the manufacturing industry's foreign investment mainly includes equity investment and mergers and acquisitions, such as direct development in the United States and other developed areas are relatively rare, it believes that with the barriers to trade and other factors, as well as land, labor, resources and other elements of the cost increase, direct foreign investment will be more and more.

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It is reported that although international clothing and accessories brands and buyers plan to find more manufacturers from Burma, Vietnam and Bangladesh, China still ranks first in the competition with mature supply chains and higher quality products.

Data show that China's suppliers are more high-end brands, and for the mass market and fast fashion, it is "obliged" to find suppliers from lower cost countries.

In September 2014, the US business department published a data showing that although the cost of each SME rose by 2.2%, compared with the total value of $62 billion in the same period last year, total clothing imports in the United States increased 2.8% in the 1-9 months of this year.

Total imports increased by 3.1%.

The data also show that the market share of clothing imported from Vietnam is growing, increasing from 10% in the first 9 months of last year to 11.3% this year.

In September, the United States imported a total of $914 million of clothing from Vietnam, an increase of 22.7% compared with the same period last year.

The garments that China and Vietnam export to the United States mainly consist of women's knitted jackets, women's and men's cotton trousers, women's man-made fiber knitted blouses and skirts and cotton underwear.

By contrast, the share of Chinese clothing exports to the US market has declined: from 37.1% to 36.2%, which means that the Chinese garment industry has suffered a certain loss.

In terms of two aspects of import volume and quantity, Bangladesh, India and Indonesia all share a share of China's and Vietnam's share of imported clothing, but China still ranks first in the US Apparel importing countries.