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    Textile Industry Exports Downward Trend Is Obvious: Three Factors Detailed Analysis

    2015/9/30 9:34:00 44

    TextileExportHongkongFiberClothingBrandGarments

    In the first half of this year, China

    Spin

    The export volume of the industry decreased by 5.4% compared to the same period last year.

    In key overseas markets this year, 1~6 months, China's market for the United States.

    Exit

    The volume increased by 6.8% over the same period; for Japan and China.

    Hong Kong

    Exports fell by 13.2% and 24.9% compared with the same period last year, while exports to the EU dropped by 9.9% over the same period last year.

    Although the US market growth has risen, it is still difficult to balance the decline of Japan, Hongkong and the European Union.

    Textile industry exports downward trend is obvious, as a pillar industry in Yiwu textile industry, related exporters have been affected.

    "Prohibition" is frequent and difficult for exporters to enter.

    "A European customer has placed an order for Oxford cloth and needs to meet the European standard requirements. What is the European standard?" last week, Wu Dandan, who had just set foot in the foreign trade circle for a long time, was browsing the foreign trade forum. She was also puzzled about the questions raised by a colleague.

    A few days ago, she found out that the European Union had issued a new regulation, that is, the NPE ban issued by the EU just passed.

    The main content of the ban is the prohibition of the use of NPE (nonylphenol ethoxylates) in textiles. The ban came into effect in August.

    According to this prohibition, when the NPE concentration in textiles is greater than 0.01% (100ppm), it will be prohibited from entering the EU market after the pition period.

    It is understood that NPE is a nonionic surfactant, formed by condensation reaction of nonylphenol with ethylene oxide.

    As the world's recognized environmental hormone, NPE in textiles can be washed with consumers for first, second times to wash into the water environment and decompose more toxic NP (Ren Jifen) and other ingredients. These substances will accumulate in fish, affect their breeding and growth, and enlarge the food chain by stages, thereby affecting human health.

    The ban has for the first time set a clear limit on the NPE content of textiles. Before that, the EU was restricted to the prohibition of the use of NPE in textile production.

    For example, the European Union REACH (registration, assessment, authorization and restriction of chemicals) forty-sixth provision under the annex XVII: prohibit the product with NPE concentration greater than or equal to 0.1% for textile processing.

    "Recently, Turkey has also updated the labeling standards for textile products and the requirements for fiber components."

    Wu Dandan said, according to her understanding, compared to before, this time mainly aims at the label requirements of animal materials, such as pearls, leather, leather necks or lace, feather ornaments, which may be contained in textile products.

    This new regulation will come into effect next year, that is to say, textile products exported to Turkey after January 1, 2016 must meet this requirement.

    "Double anti" cases increase risk of export

    Foreign "ban" frequent, China's textile export standards have been raised again and again, the trade environment is deteriorating.

    According to China Export and Credit Insurance Corp (hereinafter referred to as China's credit insurance) statistics, in recent years, trade barriers against China's textile industry exports are increasing year by year. The trade protection measures represented by "double reverse" are frequently used, which constitute the main external force for China's textile industry's export growth.

    Judging from the statistical results, since 2014, India, Argentina, Peru and Brazil have violated the trade protectionism against China's textile industry, and Pakistan, EU, Indonesia, Turkey, Columbia, Egypt and other countries have joined the ranks.

    There are so many rigid bars that many exporters will inevitably touch the red line, leading to an increase in the loss and risk rate of the textile industry.

    According to China's credit insurance statistics, this year 1~8 months, the textile industry underwriting risk mainly concentrated in Russia, the United States, Turkey, Canada, Yemen and other countries.

    Among them, the United States as the industry's largest export country market, underwriting risk is higher than the global level.

    China's trust insurance expects that this year's textile export difficulties will be less likely to improve.

    Competitors "open" and export orders shrink.

    On the other hand, the export threshold is getting higher and higher, while the other side sees competitors have more advantages. The way of textile export is even more difficult.

    "Before buying clothes from foreign brands, Made in China is often seen on labels. Last year, I bought several foreign brands of skirts and found that they were Vietnamese foundries."

    Bao Jing, a foreign trade salesman, said that for some labor-intensive industries, "Vietnam made" is behind the "made in China".

    Take the textile industry with the advantage of labor cost as an example, this is a big advantage industry in China and Vietnam. Now, Vietnam has taken the lead because of two important negotiations, and can easily enter the European and American markets.

    Last month, Vietnam and the European union negotiated the free trade agreement and scheduled to sign an agreement by the end of this year.

    Once the agreement comes into effect, the two sides will eliminate more than 99% of the tax revenue according to the road map, and the remaining part of the tax will be used as a mutual tariff quota or partial tariff reduction.

    This is the highest level of commitment reached by Vietnam since the signing of the free trade agreement, and will have a strong impact on Vietnam's exports of textiles, footwear, agricultural products, aquatic products, furniture and equipment, automobiles, motorcycles and machinery of the European Union.

    Also last month, Vietnam ended all bilateral negotiations with the countries involved in the p Pacific Partnership Agreement, including the United States.

    It is understood that the United States is Vietnam's largest garment export market. At present, the United States levying tariffs on textile and cost 15%~16% for Vietnam.

    After the signing of the agreement, this tariff will eventually be reduced to 0, which will greatly promote Vietnam's textile exports to the US.

    According to statistics from the "fashion industry association of America", many american apparel manufacturers plan to find more suppliers in the countries participating in the agreement after the p Pacific partnership agreement came into effect. Vietnam is the most concerned country.

    "The manufacturing industry in China used cheap labor force and the cost advantage was obvious.

    But now, there are Vietnam and other Southeast Asian countries in Asia, and Latin American countries have Mexico. The price advantage of China's manufacturing industry has been challenged, and the list of some European and American buyers has been lost.

    Bao Jing said, according to her observation, at the beginning of this year, many textile and garment enterprises in Yiwu started late, because the orders on hand were reduced.

    "Now orders should not only be vigilant against the credit risks hidden behind macroeconomic changes, including exchange rates, but also pay close attention to the major default risks caused by special events such as geopolitics and war chaos, but also have to be flexible, unable to lock in a market and increase the choice.

    In addition, we can actively recommend some products that win by quality instead of price, and improve the irreplaceable nature of products.

    Bao Jing said.

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