When You Are Still Waiting For The Peak Season, The Textile Chiefs Are Taking The Initiative.

In recent years, China's textile industry has gradually entered the new stage of global layout. From the external environment, along with the "one belt and one way" initiative and the international capacity cooperation, and the rapid rise of textile and garment industries in Southeast Asia and Africa, more and more Chinese textile enterprises are going out to sea.

At the same time, because of the escalating Sino US trade frictions since the beginning of May 2018, the United States is trying to shift the focus of the global textile and garment supply chain out of China by guiding the brand buyers to transfer orders. The latter will pose a substantial threat to the sustainable and healthy development of China's textile industry, which deserves attention and vigilance.

　　 Africa is becoming a new hot spot in the textile industry.

Southeast Asia is the key area for China's textile industry to invest abroad. The investment projects of textile industry in Europe and America, Africa and the "one belt and one road" increase year by year (see Table 2).

China's textile industry presents a layout pattern of "mainland China + Southeast Asia + Africa" in terms of overseas productivity distribution. From the ranking of countries and regions that attract investment, Vietnam ranked second (Hongkong ranked first in China), attracting a total investment of 1 billion 71 million US dollars, accounting for 17.2%. The United States is the destination where China's textile industry has invested the most in the western developed countries, with a total investment of 214 million US dollars. Ethiopia and Egypt are the two most non investment countries in China's textile industry, with a total investment stock of US $185 million and US $147 million respectively. With the advance of the "one belt and one way" initiative, the textile industry has significantly increased investment in the "along the way" countries and regions.

　　 It is noteworthy that Africa is becoming a new hot spot for China's textile industry to invest abroad. During the Beijing summit of China Africa Cooperation Forum in 2018, China put forward the implementation of eight major actions. The first is to implement industrial promotion actions and encourage Chinese enterprises to strengthen investment in Africa, especially in the traditional and emerging fields such as manufacturing. Undoubtedly, this goal has accumulated strong kinetic energy for all-round cooperation in the field of textile and clothing in China and Africa.

Textile industry bigwigs layout the global market

Cotton spinning and knitting enterprises have become the forerunners of the overseas greenbelt investment in China's textile industry, and overseas investment projects in weaving, printing and dyeing, weaving, chemical fiber and other fields have begun to increase.

01

Low labor cost

Considering the labor-intensive characteristics of sewing links, knitted garment processing has also become a hot front area for China's textile industry to invest abroad. Due to the low labor costs and favorable trade environment in Vietnam, Kampuchea and Burma, large scale knitting enterprises such as Shenzhou International, instant development group and Jiangsu Dong Du have invested in large scale greenbelt investments and international orders, and have completed the production of labor intensive features such as sewing.

02

Layout international market

In addition to cotton spinning and clothing, more and more domestic fabric weaving and printing and dyeing capabilities are accelerating to overseas. At the same time, leading enterprises in China's chemical fiber industry are also beginning to carry out international layout, and their overseas business chains continue to develop to the upstream industry. For example, Cixi Jiangnan Chemical fiber invested in reclaimed polyester staple fiber project in South Carolina, and Hengyi Group invested in Brunei new million tons of oil refining and chemical integration projects.

03

Committed to becoming a global multinational enterprise group

A group of textile and garment enterprises are committed to becoming global multinational enterprises through active global vertical industrial chain layout and high-quality resource integration. Take Tianhong Group as an example. As one of the world's leading manufacturers of cotton textile products, Tianhong began to invest in Vietnam ten years ago. While maintaining the fast and steady growth of yarn business, it continued to expand the weaving, dyeing and fabric production lines, but also acquired the Taiwan denim textile denim garment business. Today, the group has formed the whole chain production system of spinning, weaving, dyeing and finishing, clothing integration, effectively improving the ability to provide quality services to global customers, and improving the international layout.