Home / Knowledge / News / Textiles / Taiwanese enterprise shift base from China & Vietnam
Taiwanese enterprise shift base from China & Vietnam
23
Jul '08
Most of the Taiwanese enterprises that are based in China and Vietnam are now shifting their manufacturing units to Bangladesh. The main reason for this relocation is the anti dumping duties that EU and US have imposed on these two nations, due to which exports have been affected to a great extent.

Official sources from Taipei Representative Office, Dhaka, informed Fibre2fashion, “Mainly industries related to tent fabric manufacturing, footwear, ceramics and furniture are shifting their base. Nearly 36 companies have already relocated themselves, out of which 26 are manufacturing enterprises and rest are trading companies.

“Entrepreneurs had to make this tough decision as investment policies in China have changed, and has harmed labour oriented industries the most. The labour cost has risen significantly, resulting in reduced profit margins. Even RMB appreciation has adversely affected the entire industrial sector as production cost has risen to quite an extant. Last year companies based in China made 30 percent more profit compared to this fiscal.”

As many important units have moved to Bangladesh now, the country has earned more than US $200 million of foreign direct investment (FDI)from these Taiwanese companies in the first six months of 2008. This sum is nearly 2/3 of total investment that was received by Bangladesh Export Processing Zones Authority (Bepza) in 2007- 08. Taiwanese investment in India has also jumped to $600 million in 2008.

Eusebio, one of the biggest Taiwanese sleeping bag, rucksack and tent producing company has invested almost $50 million for shifting its plant in Comilla EPZ. Even globally renowned furniture maker Trendex has made a capital investment of around $55 million in April, for setting up a new unit at Karnaphuli EPZ in Chittagong.

However, industry insiders believe that Bangladesh EPZs do not have adequate plots for the Taiwanese firms. If the Bangladeshi Government considers allotting exclusive industrial plots to Taiwanese entrepreneurs, it will attract more enterprises from Taiwan to establish their firms here, resulting in more flow of investment in to the country.


Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 20th Jan 2017

TEA expects budget to upscale textile skill industry

The Tiruppur Exporters’ Association (TEA) has requested the Central...

Textiles | On 20th Jan 2017

Bangladesh could earn $60 billion in exports by 2021

Bangladesh is expected to earn over $60 billion in exports by the...

Courtesy: PIB

Textiles | On 20th Jan 2017

Govt to help Tangaliya weavers purchase looms: Irani

Government of India will facilitate Tangaliya weavers in purchase of...

Interviews View All

Md Hanifur Rahman
Aman Group

The level of understanding the job role and organisational requirements...

Jurgen Gauger
Spreadshirt

‘Buying crowdsourced or creative designs are much more appealing to the...

Claudia Kersten
Global Organic Textile Standard

‘GOTS is a very efficient supply chain management tool, especially for...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Larry L Kinn
Suominen Corporation

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

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

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

SUBSCRIBE


Browse Our Archives

GO


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