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    Potential To Build Factories In Europe And America

    2015/1/28 20:23:00 32

    European And American CountriesFactories And Investments

    Recently, cotton textile leading enterprise Zhejiang Cole Group Co., Ltd. (hereinafter referred to as "Cole group") claimed to spend $218 million to open its first overseas factory in Lancaster County, South Carolina, which is also the first time that Chinese textile enterprises went to the United States to build factories.

      

    Cole group

    Huang Guogang, director of the office, said the project's foreign investment was mainly aimed at coping with domestic problems.

    Cotton yarn

    Industrial labor, energy and other high cost problems, to avoid the international market for China's textile industry to set up trade barriers, and promote the implementation of the internationalization strategy of enterprises.

    Reporters learned that Cole group's decision was made after a comparison between Southeast Asian countries such as Vietnam, India and the United States.

    The head of the company said that although the United States

    Labor cost

    Gao is not as advantageous as Southeast Asian countries, but it can be found in cotton raw materials and cotton power consumption.

    Xiong Xiaokun pointed out that China's textile enterprises have great potential to build factories in Europe and the United States.

    On the one hand, China's textile and garment industry has a high degree of dependence on exports, while exports are mainly concentrated in European and American countries. To build factories in Europe and the United States can reduce pport costs for garment enterprises with foreign export business; on the other hand, in Europe and America, labor costs are higher than those in Southeast Asian countries, and they are significantly better than those in Southeast Asian countries in terms of technology, management and talent.

    The establishment of textile enterprises in Europe and America will have a positive impact on the pformation and upgrading of enterprises, as well as the development and improvement of their own resources, technology, market and brand competitiveness.

    Related links:

    According to incomplete statistics, the Central Bank of the European Central Bank (micro-blog) launched the QE initiative with a total scale of over 1 trillion euros in two weeks. The Central Bank of the world at least 6 countries such as Switzerland, Denmark, Canada, India, Egypt and Turkey carried out interest rate cuts of varying magnitude.

    The Bank of Japan, which has not pushed the massive easing plan recently, has announced that it will extend the loan program for 1 years and expand its scale.

    According to market expectations, the Bank of Japan may announce further easing efforts next March.

    In addition, the minutes of the January meeting of the Bank of England's monetary policy meeting announced recently are also far from the market expectations. The two members who originally supported the increase in interest rates chose to abandon the idea of raising interest rates.

    This shows that the once tightening monetary policy of the Bank of England is also becoming neutral.

    For the latest round of easing tide of the multinational central bank, many mainstream research institutions such as Guotai Junan have pointed out that under the condition of global economic growth is still weak, it is still the first choice for governments to respond to monetary policy through currency easing.

    In terms of timing, the QE of the European central bank can also be understood as a catalyst for central banks to cut interest rates.

    In addition, international oil prices continue to fall, greatly reducing inflationary pressures, and it is also an important basis for the central banks to take the initiative to relax.

    It is worth noting that the recent sharp fluctuations in the central bank's monetary easing, the recent sharp fluctuations in the international foreign exchange market is also very interesting.

    By the European Central Bank launched a large-scale QE initiatives, the Greek election results further increase the risk of fluctuations in the euro exchange rate, the central bank's recent interest rate cuts and other factors, since last week, the US dollar index continued to skyrocket, once continuously broke 93, 94, 95 three integer mark.

    The main currencies of non US currencies, such as the euro, Australian dollar and Canadian dollar, have experienced a sharp drop of over 3% in the past week or so.

    Analysts pointed out that in the "European version of QE" indirectly sounded the new round of global multi currency loose horn, at the same time, in the future, with the Federal Reserve raising interest rates gradually approaching, seesaw effect of strong dollar and vulnerable non US currencies, is expected to continue in a long time.


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