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Textile machinery sector relocate their bases in China
Aug '08
Mainland China has become largest consumer market of textile machinery in the entire world, by creating business opportunities worth around US $10 billion per year. Many Taiwanese textile machinery manufacturers have set up their factories in the mainland in recent year after looking at the bright prospects the region has to offer.

Three major industry clusters of dyeing and finishing equipment, round knitting machines and flat knitting machines have established their base in coastal provinces such as Jiangsu, Zhejiang, Fujian.

According to China Textile Industry Association, investment in fixed assets from textile enterprises with annual revenue of more than 5 million yuan amounted to nearly 126.7 billion yuan in the first half of 2008. This showcases a significant year-on-year boost of 14.2 percent. Coupled with recent decision of advancing textile export tax rebate from 11 to 13 percent, the domestic market is expected to grow further this year.

Circular knitting machine manufacturers are mainly situated in Quanzhou and Xiamen; nearly 100 units have formed a local cluster.

Flat-knitting machine industry cluster is located in regions of Ningbo, Zhejiang, most of the enterprises are SMEs with fierce market competition.

According to Taiwan Machinery Association mainland textile machinery industry mainly imports high-quality equipment from Germany, Switzerland and Japan.

Fibre2fashion News Desk - China

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