The Inspiration And Thinking Of The Migration Route Of Garment Manufacturing Industry

The "migration" road of garment manufacturing and past goodbye.

At present, the comparative advantage of China's apparel manufacturing industry is fading away.

And capital is always chasing profits. They have adapted to the "migratory bird style" life. The pfer of industries to lower cost areas has long been a domestic and international trend.

Habitual choice.

On the one hand, lower labor cost areas such as Vietnam, Indonesia and Bangladesh are guiding the direction of labor intensive clothing industry pfer according to the original track.

On the other hand, while international brands are pferring capacity to Southeast Asian countries, many fashion brands are also exploring suitable suppliers around their borders. Many countries around Western Europe are becoming new fashion manufacturing centers.

The rise of China's garment manufacturing industry

Clothing enterprises have low entry threshold, less investment and fast construction of the whole supply chain, so they can form a large scale in a short time.

Since the reform and opening up, many policies in China have encouraged the development of textile and garment industry, and the "clothing special economic zone" has springing up everywhere.

Taking the Yangtze River Delta, the Pearl River Delta and the Bohai Delta as the radiation center, the major production areas in Guangdong, Zhejiang, Jiangsu, Shandong, Fujian and other places around the professional market, export advantages and leading enterprises have formed a large number of regional industrial clusters mainly producing certain products, and have constructed the "ecological chain" of harmonious and high quality textiles and clothing.

China is the largest clothing consumer in the world and the largest garment producer in the world. However, the overall development of China's garment industry is very uneven.

Guangdong, Jiangsu, Zhejiang, Shandong, Fujian, Shanghai and other southeastern coastal provinces produce more than 80% of the market share of the country's products.

The Midwest

It is still very backward.

And China's clothing industry has four main characteristics: large scale, large output, low level and poor structure.

Global migration of garment manufacturing resources

Nomadic people in history are born by grass; modern clothing manufacturing is produced by resources.

As one of the traditional manufacturing industries, garment industry has the characteristics of high degree of marketization and full competition.

In textile and apparel industry, there is no essential change in consumer behavior and structure in buyer's market.

This means that the pursuit of inexpensive clothing will be a long-term and sustainable demand.

The clothing value chain is driven by buyers, that is, large garment retailers, brand marketers and brand manufacturers are the leading manufacturers of clothing value chain.

They build a marketing network while configuring the global garment production network and promoting the globalization of production through the globalization of orders.

They control the design, brand and marketing links of high value-added and profit share in the apparel value chain, while the processing links with low value-added and low profit share are allocated in the labor-intensive and low wage countries and regions.

At the moment, the low cost comparative advantage of China's garment manufacturing industry is disappearing.

And capital is always chasing profits. They have adapted to the "migratory birds" lifestyle, and industrial pfer to lower cost areas has long been a habitual choice of clothing brands both at home and abroad.

Labor shortage is expensive. China's garment manufacturing industry is under pressure.

Due to the rapid rise of labor costs in China, China's manufacturing industry, especially labor-intensive light industry, is losing its advantages. China has become the highest wage country in developing countries.

With the "Pearl River Delta" and "Yangtze River Delta" as the representative of export-oriented factories, the most attractive foreign capital is cheap labor force. The traditional "three to one subsidy" trade mode in China is only manpower processing.

With the gradual decline of the "demographic dividend" in China, the difficulty of recruitment and the high cost of employment have been a problem in recent years.

The old problems of enterprises are gradually becoming a difficult problem for the entire Chinese manufacturing industry.

Coupled with the continued appreciation of the Renminbi for a small margin, China's original strength has obviously declined, and both domestic and foreign-funded enterprises are facing a roast.

In terms of exports, China's textile and apparel industry is only a "dusk" industry.

Transformation and upgrading means new modes and new ways. Although the traditional industrial road has improved the social productive forces, it has also overpaid the cost of energy consumption and environmental destruction.

In the era of information technology development, China has no time to take the old road of Western pollution and post governance.

However, data from various aspects show that China's garment industry is facing many problems besides its environment and costs. Its overall capacity is overcapacity, the competition of homogeneous goods is very serious, profitability is seriously declining, the growth of market demand is slowing down, and the speed of enterprise development is greatly slowing down.

Under pressure, garment manufacturers have to find a more suitable "living environment".

Fashion manufacturing moves Southeast Asia and production line moves back into positive trend

In 2012, Adidas announced that it would close its only own factory in China in Suzhou Industrial Park.

After several years in China, Adidas factory, which migrated like migratory birds, will finally say good-bye to China.

But compared with its counterparts, Adidas has been slow in action. Its competitor Nike closed its sole shoe factory in Taicang, Jiangsu in 2009, and Clarks, K-Swiss, Bakers and other international shoe giants have already set up production lines in Vietnam and Indonesia.

In the past, manufacturing companies in Europe and the United States moved factories from Europe and America to more crowded and less expensive countries, such as China.

Now, lower labor cost areas such as Vietnam, Indonesia and Bangladesh are guiding the direction of labor intensive industries pfer according to their original trajectories.

In recent years, Southeast Asia is new.

The gradual increase in the number of factories has promoted the growth of its clothing exports. Meanwhile, the import of clothing equipment and raw materials in Southeast Asia is also increasing year by year.

In addition to the recognized clothing industries such as Bangladesh and Vietnam, the time is ripe for new players to join the game of clothing: Burma, Haiti and Ethiopia want to revive the once thriving industry, or even completely develop the garment industry from scratch.

In recent years, the growth rate of textile and clothing exports in Vietnam and India has been higher than the average growth rate in the world and China.

Although the rising labor costs, inadequate power generation, shortage of infrastructure and inadequate laws and land systems in Southeast Asian countries are all restricting the development of clothing enterprises, policies and cost incentives still encourage enterprises to move forward.

On the other hand, while international brands are pferring capacity to Southeast Asian countries, many fashion brands are also exploring suitable suppliers around their borders. Many countries around Western Europe are becoming new fashion manufacturing centers.

And in the wave of manufacturing automation production, the proportion of industrial robots and other automation equipment in the production line is increasing. A trend of changing from low wage producers to high-end manufacturers is taking shape.

For developed economies, the shift of production lines is becoming a trend.

Changing the thinking of Chinese clothing enterprises needs increasing influence

Facing the front and rear, China

What is the future of the industry? There is no denying that China's manufacturing industry still has strong advantages. China's manufacturing industry chain and labor quality in the process of reform and opening up in the 30 years are still in the leading position in the world.

Although some enterprises are moving to Southeast Asian countries, these enterprises will inevitably encounter the pressure of industrial chain reconstruction.

As a matter of fact, the enterprises that have already gone to war have formed a very difficult relationship with China's "world factory".

Although the company has left China, it is inseparable from China's manufacturing industry to a large extent from the perspective of future upstream and downstream relations.

In view of this factor, it is necessary for us to expand the existing industrial chain and even the production network to expand the passive state of China's manufacturing industry in the future international industrial division of labor, further increase the influence on enterprises and promote the development of China's manufacturing industry to foreign countries.

At the same time, this is both a challenge and an opportunity for China to promote China's industrial upgrading and economic pformation, so that China's economy will shift from export oriented to domestic demand, so as to reduce China's dependence on overseas markets.