Soft strategy" to break through the predicament of the spinning market

In the current period, the share of China's textile and garment export products in the world market has approached 40%. To meet the changes of the times, the development focus of China's textile trade should be changed from "two big ones" to "two highs and one fines", that is, from the scale of large industries, large quantities of processing, and deepening of low-price competition to high added value and high integration. With lean manufacturing. The strategy of China's textile and garment industry should be changed from a hard strategy to a combination of a hard strategy and a soft strategy. It is even more a strategy. How to solve the difficulties and stabilize exports? How to optimize products, markets, industrial structure and foreign trade model? The correct policy strategy stems from the understanding and analysis of the complex factors in the special era in which China's textile industry is currently located.

The market share of China's textile and apparel industry will continue to climb for a decade after the beginning of the 21st century. The two most important issues affecting the world and Chinese textiles are the demise of China’s accession to the WTO (2001) and the distorted trade regime Multi-Fiber Agreement (MFA). (2005). The termination of China’s largest textile production and exporting country’s accession to the WTO and MFA enabled the global textile trade to take the lead in returning to the principle of free trade, enabling the comparative advantages of all countries, including developed countries, to be released and the global textile and apparel trade to grow rapidly. During this period, the world and China’s textile exports including textiles, textiles, apparel and footwear products are all increasing, while China’s growth rate is faster.

From 2001 to 2010, China’s textile exports increased fourfold and imports of clothing increased threefold. Further analysis and predictions indicate that in addition to the large import of textile fiber, China’s export share in the world market is slightly reduced, and the export and market share of textiles, clothing and footwear will continue to rise.

Global Sourcing Trends Reduction in demand for mid-range products China's accession to the WTO and the demise of MFA have accelerated the process of restructuring and returning trade liberalization in the global textile industry. Distorted trade barriers have gradually been eliminated and international buyers’ purchase decisions have become more rational. Manufacturing costs are still an important factor for buyers to choose the place of purchase, but this is only a part of the factors that cause buyers to shift their orders. A study by the World Bank revealed an interesting phenomenon: In the post-MFA era, countries and regions with increasing clothing exports, in addition to low-wage-cost countries, have also witnessed increases in high-wage countries and regions, while exports from middle-income countries have seen little growth. Even dropped. In the financial crisis, buyers to meet market risks to meet the needs of the market fast-paced, personalized, fast single, urgent orders, make up for the increase, long orders decreased, small orders increased, large orders decreased, low-end, high-end orders increased Faster, while mid-range products have a slower growth.

After winning the "X" era, China's textile and clothing industry responded to the post-"X" era of world textile and apparel trade will continue to grow. Despite the financial crisis and the European debt crisis led to the decline in international market demand, but China's textile and apparel export trade is still promoting economic growth. The engine, which is an important judgment and decision basis for supporting the development of China's textile industry. According to the above analysis, enterprises, industries, and governments should respond to the development trend of the industry in the “X” era.

Today, the "do-it-sell" and "buy-sell" export trade models are increasingly losing their competitiveness. Textile exporting companies should strengthen product development and original design, promote automatic warehousing and digital distribution, and provide "one-stop supply" and "packaging." "Services" to create new trade patterns.

In addition, companies should also try flexible manufacturing and improve trade flows. Through digitization, Internet and Internet of Things technologies, such as single piece production system (UPS), online design, and radio frequency identification RFID logistics and distribution technology, to meet the market trend of fast fashion, low inventory, high turnover, and multiple varieties. Such as Shanghai Jia Lin Jie.

Adhere to clean production, corporate social responsibility (CSR) and sustainable development is the foundation of the company. Cleaner production and CSR are not only the soft constraints of the textile industry, but also reflect the competitiveness of the industry and even the country. In fact, this is a necessary condition for international textile trade. Therefore, this should not be a passive strategy. It should also be an active strategy for Chinese textiles.

Improve the trading environment, strengthen infrastructure construction and policy research. Whether from OEA to OBM, value chain upgrading or flexible production chain integration puts forward higher requirements for transportation, communications, logistics, energy, and power. We must strengthen systematic research on taxation (including import and export tariffs), **, import and export quotas, and especially cotton raw material policies.

Without imports, it is impossible to achieve comparative advantages. Excessive surpluses will increase the pressure on renminbi appreciation. Imbalanced import and export trades can easily cause friction. Reduce tariffs and appropriately enlarge import restrictions on raw materials (including quotas). The industry should encourage the import of advanced textile equipment and promote industrial upgrading. In addition, the import of high-end or complementary textile and apparel consumer goods should also be increased to meet the growing domestic demand and improve the level of the domestic fashion consumer market. In short, a balanced trade policy can achieve inclusiveness, balance, harmony and sustainable development.

Integrate China's textile and apparel supply chain. The construction of supply cities (bases) and trade platforms is a requirement of the international market, and it is also a unique advantage of Chinese textiles relative to other textile exporting countries. Some industrial clusters in China have already had such attempts and time. For example, Esquel and Zhejiang Orient are working hard to become highly efficient integrated suppliers.

Should speed up the transfer of textile and garment industry and optimize the regional layout. Regional homogenization and industrial homogenization of the textile industry are the root causes of industrial congestion and deteriorating competitive environment. Each region should have clear market objectives in the planning of the industrial roadmap, form the characteristics of professional departments, and clearly define the industrial chain in the country. The role of the global value chain, in the process of the third round of China's textile industry transfer, determined the position of the industries in each place to complete the optimized layout of the national textile and garment industry.

In view of the financing difficulties commonly faced by textile and garment enterprises, the government and relevant financial institutions should change their tight credit attitudes towards textile companies to foster the upgrading of enterprises from purely processed exports to brand design and R&D. Even if processing and exporting enterprises, due to the foreign trade model Changes (such as one-stop foreign trade services) also require working capital and liquidity.

Re-examining the cotton policy is of great significance to the development of China's textile and clothing industry. China is the world’s largest fiber producer, and it is also the largest fiber importer and importer of fiber products. In general, the import of a large amount of fiber raw materials and the export of fiber products are conducive to exerting China’s comparative advantages, expanding the scale of China’s economy, and promoting China’s economic upgrading. Therefore, a comprehensive consideration of cotton import quotas and taxation system is needed. It is necessary to study the advantages and disadvantages of the policy. In any case, it is obviously unreasonable to affect the competitiveness of China's textile industry because of the restrictions on the price and quantity of imported raw materials, and even to form domestic cotton prices and inverted yarn prices.

In addition, the government should also strengthen the construction of infrastructure and industrial living environment. This is not only hard infrastructure, such as communications, transportation, and resources. These areas need to be improved. More important are soft conditions, such as the reduction of transportation and logistics charges and costs, but also government affairs and public services.