China'S Garment Industry Did Not See Any Improvement In 2016.

According to customs statistics from mainland China, clothing exports in January and February in this (2016) year decreased by 11.8% compared with the same period in the previous year (2015), reaching 157 billion 50 million yuan (US $24 billion 100 million), while textile exports dropped 9.3% to 100 billion 500 million yuan (US $15 billion 400 million).

Many large Chinese clothing and textile manufacturers have built overseas production bases to reduce costs.

For example, Tianhong textile, a mainland cotton spinning manufacturer listed in Hongkong, has set up overseas production bases in Vietnam and Turkey.

In March, the company revealed that through an agreement with Wah Fung, a knitted fabric manufacturer in Hongkong, it plans to establish a textile supply chain platform in Vietnam to jointly develop knitted and dyeing equipment.

Moving overseas is also an option adopted by Hengrun Import & Export Corp., which is headquartered in Suzhou and is a garment manufacturer specializing in men's wear, women's wear and children's clothing for customers in the United States and Europe. Hengrun, Import

The company has a factory in Kampuchea.

Cost cutting is not only a reason for Hengrun to pfer some production lines to Kampuchea: comprehensive services also need effective trade policies to support it.

Yu said: "

We have preferential policies from the United States and Europe, and our customers are from there. We want to take advantage of these preferential policies.

He cited the integration of Kampuchea in the United States generalized preferential tariff system (GSP) and the European Union's general preferential tariff scheme (GSP).

This strategy is echoed by American consulting firm Frost & Sullivan partners and Neil Wang, general manager of mainland China.

"Many Chinese clothing and textile companies have established overseas factories to cope with trade protection measures from the EU and the US," he said. The trend of overseas relocation is expected to continue.

Hengrun general manager Yu Hua said: "cost cutting is a major reason.

After all, the average wage in Kampuchea is only 1/5 of that in mainland China.

He denied that the universality hypothesis in mainland China and abroad is

Workers are not as skilled as workers in mainland China.

"Through proper training, Kampuchea workers can also produce high quality clothing," he said.

However, like many other mainland Chinese companies, Hengrun still runs manufacturing projects in the mainland of China.

Yu Hua said: "we only move the most intensive part of the workforce."

"Overseas production in mainland China".

He added that ensuring the quality of services is very important, which is ultimately the core function of Hengrun's support for the competitiveness of the company.

Yu Hua said: "service is a broad concept, including professional ethics and efficiency.

China has a solid infrastructure to ensure a solid supply chain and ensure efficiency, which is very important to our customers.

That's why we still have cloth in mainland China. "

His idea coincides with John Cheh, head of Esquel, a cotton shirts manufacturer based in Hongkong.

Che Ke Tao has made clear that the advantages of infrastructure and supply chain in mainland China are highly valued by the company. The company will continue to stay in mainland China and continue to invest abroad.

Yida has a perfect supply chain in mainland China, covering spinning, dyeing, cloth production and garment making.

But the company also has production facilities in Malaysia, Kampuchea, Vietnam and mold.