"Made In China" Is Still Hard To Replace. After Entering The US Market, They Have A Good Idea.

Over the past year and a half, Sino US trade friction has been ups and downs. Just from the twentieth "textile and clothing trade exhibition of China" (New York), the textile exporters who came back said that in just a half month, the mood was like a roller coaster.

In July, sponsored by the China Federation of textile industry, the twentieth China Textile and clothing trade exhibition (New York), jointly hosted by the China Textile Trade Association and the Frankfurt Exhibition (US) company, held the exhibition of the American TEXWORLD clothing and fabric exhibition, the New York international fashion sourcing Exhibition (APP) and the New York international home textile purchasing Exhibition (HTSE).

At the exhibition, exhibitors and buyers from China and the United States expressed the hope that the trade war would end soon, and the Sino US economic and trade relations would resume mutually beneficial and mutually beneficial situation. After the exhibition, the news that the United States imposed a 10% tariff on imports of 300 billion dollars from China came from September 1st, and then the RMB exchange rate broke 7, temporarily relieving some pressure. Although the policy and economic trend of enterprises can not be controlled, but the visit to New York, Chinese textile exporters really understand the needs of the US market and the idea of American purchasers, and have a clearer understanding and anticipation of the trade prospects in the second half of the year.

"Made in China" is still hard to replace.

So what is the true state of the US market? Is the demand for "made in China" substantially reduced? Or do you want Chinese companies to keep prices down and maintain long-term cooperation? Where are the opportunities for Chinese textile and garment export enterprises to move forward?

It is understood that since the Sino US trade war, the share of Chinese textiles in the US market has declined, and many exhibitors have personal experience. Nevertheless, it can not be denied that Chinese textiles occupy an important position in the US market. Whether it is related to the United States or local purchasing enterprises, it reveals the message that "made in China" is still hard to replace.

　　 During the visit, a company official from Shaoxing said: "at present, American customers are streamlining suppliers from China, while reducing the volume of business of each supplier." The head of a home textile company from Jinhua also said: "from May this year, the volume of orders in the US market has decreased. Small customers take a wait-and-see attitude, the number of major customers has been reduced and the price has also been greatly reduced. Customer requirements can not be produced in China.

There are more than one exhibitors who are required to transfer their production sites. The head of an enterprise in Jiaxing said: "after June, the sales volume of the company has declined, which is about 8% lower than that of the same period last year. Customers have asked to transfer to Kampuchea and Vietnam for production. And our products are relatively high-end, and the output of single batch is relatively small, which is not suitable for mass production in Kampuchea and Vietnam. "

　　 Robert Leo, a legal consultant of the US Home Textile Association, mentioned in the home textile forum that 85% of the down products in the United States come from China, and only 5% of them come from the United States. Unless the US continues to import from China, the US capacity or other countries will not be able to meet the American demand for down products.

Former Lacoste and Under Armor executives Wayne Buchen said that Sino US trade relations will never be decoupled. No matter what happens, the textile industry of the two countries will have strong willingness to cooperate with each other. Textile trade will continue and will not stop. It is interesting that during the speech, he asked the audience who was doing business with China. Almost all the audience raised their hands. He asked again, who is going to move the Chinese business elsewhere? Only one woman raised her hand. This scene also reflects the irreplaceable position of "made in China".

Although the share has shrunk, the US market and purchasers still affirm that Chinese enterprises are the best suppliers. Mark Engebretson, executive vice president of Vice, said in her speech that it is difficult for Vice to leave China for procurement in other countries, especially considering supply chain and production technology factors. "Made in China" is of excellent quality, though the price is not the lowest, and the price performance ratio is very high, which is why Vice has been purchasing in China. He compares several Southeast Asian countries from the aspects of cost, basic establishment, industrial matching, policies and regulations, business rules and credit problems, and holds that China is still the best choice. It can be seen that transfer orders are not easy to operate. On key nodes, besides the buyers' emphasis on production technology, design and research, quality and price, China's complete industrial chain, infrastructure, logistics and transportation, and policy environment all add up to "made in China".

Julia Hughes, President of the American fashion industry association, also said during the exhibition that the American fashion industry association has been trying to help member enterprises reduce risks, reduce tariffs and reduce the impact of trade friction. Since the beginning of 2018, the American fashion industry association has actively communicated with the Trump administration and demonstrated to them the impact of tariff issues on the American fashion industry. Although some American companies are or are preparing to find new supply channels in Vietnam, Bangladesh, Indonesia, India and other countries, on the whole data, due to the limited supply capacity of these countries, the shortage of supply brought by large influx of buyers will indirectly lead to an increase in procurement costs. At present, China is still the main supplier of the US market. Julia said the textile economic and trade ties between China and the United States are tied together and can not be separated. The textile industry of the two countries has worked together for many years and is closely related to each other. They will surely work together to overcome difficulties.

Hard work and internal strength -- opportunities for export enterprises

At the scene, many American buyers also said that although trade frictions increased the cost, time cost and communication cost of buyers and sellers, they also saw that Chinese enterprises quickly adjust contingency measures in this area, speed up the transformation and upgrading of industrial structure and products, raise the level of R & D and production efficiency, and enhance their own advantages in international competition through upgrading technology services. There are advantages and disadvantages in this respect.

Indeed, the exhibitors said they did not have a negative outlook in the uncertain future. Instead, they actively sought countermeasures and development, focused on product innovation and strengthened service awareness. A home textile company official from Hubei said that the US market is very sensitive to prices, and every store has a fixed customer base, and prices will not easily change or rise. The key to Chinese textile enterprises to maintain competitiveness lies in the leading level R & D links. "Southeast Asian countries lack the integrity of the industrial chain and the technology level is relatively backward, so it is difficult to produce functional high-end products. Therefore, we strive to make differentiated products, so that customers can not find such a cost-effective substitute in other countries. Our products, such as graphene fiber, pearl fiber and silver ion fiber, are highly competitive in the international market.

The head of a company from Jiangsu also feels the same way. "Although the American customers indicate that the garments can be purchased in countries such as Kampuchea and Bangladesh, the fabric needs to rely on the supply of Chinese enterprises in the short term. We speed up product upgrading, improve product irreplaceable, and indeed achieved good results. "

At the exhibition site, Gu Chunfang, the commercial counselor of the Chinese Consulate General in New York, vice chairman of the China Textile Industry Federation and President of the textile industry branch of the China Council for the promotion of international trade, Xu Yingxin, are all working hard for the enterprises. I hope you can continue to maintain confidence in the current environment.

Gu Chunfang:

Nowadays, the globalization of the world economy is already in existence. The industries of various countries are intertwined, and all sectors of the industry are closely linked. China's textile industry has the most complete industrial chain, and both China and the United States are major producers and consumers of textile production. Both sides share important common interests and cooperation space, so they are irreplaceable in the textile and economic fields of the two countries.

Xu Yingxin:

It is suggested that enterprises should change their minds in time, continuously improve their awareness of supporting services and services, change the single production type into a production service complex, and then work hard to improve internal quality, continuously improve product quality and value-added products, and strive to take the road of intelligent production and improve production efficiency. At the same time, enterprises should have full confidence in the industry, actively adjust their pace, enhance their ability to respond quickly, take market demand as the starting point, and consolidate their competitive advantages in the international arena.

The platform is always trustworthy.

Because of the unpredictable trend of Sino US economic and trade relations, this year's exhibition of New York is more significant than ever before.

This year coincides with the New York exhibition 20th anniversary. In the past twenty years, the New York exhibition has always adhered to the mission of relying on industry and service industry, based on the Sino US industrial trade docking and exchanges, constantly focusing on the whole industrial chain, gathering upstream and downstream resources, and truly developing into a platform for exhibitors and professional audiences to trust and rely on.

Many of the exhibitors are old friends of the New York exhibition, most of whom are exhibiting more than 10 years with New York. It has been said that the New York exhibition plays a decisive role in the process of China's textile industry going global in the allocation of global resources, providing strong support for China's textile industry's "going out" and transformation and upgrading. Even the new exhibitors who have held hands with the New York exhibition in the past two years have said that several exhibitions have come to know many clients who have not been touched before, and some of them come from the middle and high-end clients from Fifth Avenue. The New York exhibition has played a very positive role in helping enterprises and buyers to choose and understand each other.

At present, Sino US trade relations are complex and changeable. Many exhibitors say that they are now most in need of such a docking platform. On the spot, exhibitors said that at the exhibition, more than twenty professional forums arranged by the organizers, and a series of popular trend releases, hot topics lectures and product launches were very effective in promoting the collaborative innovation of the industry chain. Besides, the trade audiences were mainly native to the United States, and radiated in North America and central and South America, and the buyers were of high quality. "Only with effective audiences and buyers can we understand the American market and understand the real needs of customers, so that we can make timely layout for the future. The New York exhibition has been very reassuring and professional for 20 years. A Shandong exhibitor said so.

It is with this tacit understanding and trust that the more uncertain factors are, the more efforts will be made by New York exhibition to gather platform resources and cooperate with all sides to help exhibitors communicate with more industry peers and find solutions.