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Chinese clothing flexes its muscles in global markets
21
Jul '10
In a clothing mall in Canada, among similar style jeans, a pair manufactured in Canada is sold at 250 Canadian dollars. Pair produced by Bangladesh is sold only at 50 dollars, while the pair made in China is sold at 80 dollars.

The price of China made jeans is much lower than Canadian native made jeans, while China made jeans have much higher edges in quality, hand-manufactured level over those made by Bangladesh, so China's garment still has significant advantages.

In recent years, China's rising costs have promoted some buyers to change procurement strategies and they have started to source some more basic and labor-intensive products from other lower labor cost countries in Asia.

Take Vietnam for example, it's exports to the United States focus on clothing, furniture and footwear, in 2009, these products accounted for 63 percent of its exports to the United States.

Among exports from Cambodia and Bangladesh to the United States, clothing accounted for more than 90 percent. These countries have sped up export growth in recent years, but their market shares still lag far behind China.

Vietnam's exports to the United States and the European Union increased by 18.8 percent and 9.3 percent, respectively, from 2006 to 2009, but only accounted for 0.9 percent of market shares in the U.S. and the EU.

Overall competitiveness of Chinese textile and apparel has shown an upward trend in the international market, despite the industry facing a lot of pressures.

Chinese textile and clothing industry has expanded market share in global market over these years through continuous restructuring and upgrading,

China's market shares in Europe and America markets have risen by a few points. For example, China's market share in its largest export market the EU has increased from more than 30 percent to nearly 40 percent.

Fibre2fashion News Desk


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