Home / Knowledge / News / Apparel/Garments / Clothing factories in suspended state
Clothing factories in suspended state
May '11
Latest market reports indicate that, medium and small garment enterprises in Zhejiang, Guangdong and Jiangsu provinces are in semi-suspension state or even suspended state.

Struggling enterprises are not only in the clothing production industry, but some footwear enterprises also have fallen into such plight.

Concerned by the situation, the Industry and Information Ministry issued a circular, requiring various authorities in all provinces and cities to carry out a survey on financial condition of various SMEs.

A recent survey carried out by the National Business Federation has also raised great concern. The survey which took two months to complete carried out a systematic survey in 16 provinces, including Guangdong, Zhejiang and Jiangsu province.

The findings show that business conditions of small and medium enterprises, especially small and micro enterprises are more difficult than they were in the global financial crisis of 2008.

The survey reveals rise in raw material prices, wage hikes, labor shortage, RMB appreciation, fall in external demand, increase in competition from surrounding nations, power shortages, among many reasons, for the current situation.

The report states that, it may be very difficult to reverse the situation.

After the 2008 financial crisis, government largesse in form of subsidies and incentives amounting to four trillion Yuan saved SMEs from closure.

A similar four trillion Yuan is needed once again to avoid mass closures of small and medium enterprises, which could have a cascading effect on the garment industry as a whole, opine experts.

Fibre2fashion News Desk - China

Must ReadView All

Textiles | On 23rd Mar 2017

South Korean Samil Spinning acquires Buhler Quality Yarns

South Korean yarn producer Samil Spinning has acquired US based...

Apparel/Garments | On 23rd Mar 2017

E-retailers to pay up to 1% TCS under GST

E-retail marketplaces will need to deduct up to 1 per cent tax...

Textiles | On 23rd Mar 2017

Lanxess to expand chemical intermediates capacity

The Advanced Industrial Intermediates business unit of German...

Interviews View All

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Deepak Jain

We are using Facebook and Instagram to promote ourselves

Eric Scholler

The Indian market has huge potential in technical textiles, and by far,...

Marcel Alberts

Coating at a fibre level is a practice not usually seen in the...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Robert Brunner

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Subscribe today and get the latest News update in your mail box.
Advanced Search