What Are The Benefits Of RCEP To The Development Of China'S Textile Industry After RCEP Comes Into Effect

From the changes of global textile industry, we can see that political relations, scientific and Technological Development and labor cost have played a very important role in the industrial transfer.

In recent years, the pace of textile industry transfer has been obviously accelerated, and the technology barriers of textile industry are getting lower and lower. It is more and more difficult for a country or region to maintain its leading position in the textile industry for a long time. The role of scientific and technological barriers is weakening, while the role of cost and geopolitics is increasing.

Although China's textile and clothing export is currently the world's well deserved leader, we can see that the peak around 2015 has emerged. In 2020, China will regain some market share due to the epidemic situation. However, considering the human cost, the direction of the textile and clothing supply chain transfer in Europe and the United States will not change, and the "southeast flight" of the textile industry is still a medium and long-term trend.

The Sino US trade war began in 2018, and the pace of globalization slowed down. In addition to suppressing China's high-tech industries, the United States has increased tariffs on Chinese products and restricted exports. Among them, textiles and clothing have become the key "concerned" industries, forcing China's textile industry to open up new markets. This is also one of the important reasons for China to promote RCEP.

After RCEP comes into effect, China's textile and clothing tariffs on Japan and South Korea will be greatly reduced, which will squeeze Vietnam's market in both places. Vietnam's textile industry has been developing rapidly in the past decade. Firstly, Vietnam has taken advantage of labor cost to undertake the industrial transfer of China. After that, they actively explored the markets in Europe, America, Japan and South Korea, and started to compete with China. After the Sino US trade war, the probability of US textile and garment orders continuing to tilt to Vietnam increased.

The largest consumer market of textiles and clothing in the world is still the traditional developed countries such as Europe and the United States. Tariff reduction and clearance in RCEP region is only a re division of the "stock market" cake.

If the trade agreement between RCEP member states can promote the further development of regional economy and the further optimization of industrial chain, it will undoubtedly bring new increment to the textile industry. RCEP will bring us not only "internal volume", but also win-win cooperation.