RCEP Officially Signed, Suzhou Wujiang Shengze Textile Enterprises Will Welcome Great Benefits

Recently, ten ASEAN countries, China, Japan, South Korea, Australia and New Zealand have officially signed the regional comprehensive economic partnership agreement. As an important export trade town of the textile industry, many textile enterprises in Shengze, Wujiang, Suzhou said that the signing of the agreement was a major positive.

In recent years, the clothing industry as a whole to the lower labor costs in Southeast Asia is a major trend. The textile industry located in the upstream of clothing industry, involving cotton, chemical fiber, weaving, etc., due to the relatively high technical requirements, the overall advantage will continue to maintain in China. With the signing of the regional comprehensive economic partnership agreement, China's textile fabrics and garment manufacturing factories in Southeast Asia will be more closely linked together. Suzhou Dongcheng fabric research Co., Ltd. is an enterprise that develops and produces down jacket fabrics and functional fabrics. 20% of the company's products are sold to Southeast Asian countries.

Dong Xiaokui, general manager of Suzhou Duocheng fabric research Co., Ltd., said that the main fabric exported to Vietnam is down jacket fabric, which will definitely increase to 20% now and may increase to 40% after the agreement is signed. This is good for both sides, mainly due to mutual exemption and cost reduction. In addition, the price of imported Japanese looms will definitely come down a lot.

The signing of the agreement is also conducive to enterprises to go out to find trade partners and seek greater development opportunities. As China and ASEAN countries have basically realized zero tariff before, the biggest breakthrough of these agreements is the first time that China and Japan, South Korea, Australia and New Zealand have zero tariff agreement arrangement in free trade area, which benefits China's textile and clothing industry greatly.

Pu Jianrong, the general manager of Suzhou Muyang textile import and Export Co., Ltd., believes that the core is to reduce the tariff. After 10 years, more than 90% of the tariff will be reduced to zero. As a result of enjoying the preferential tariff, the export cost is lower, and the products are more competitive in price. Therefore, it is a substantial, significant and long-term benefit for the textile industry in Shengze district.