Canton Fair clothing order price war

The 115th Canton Fair will be closed today. As the main textile and apparel company participating in the third session of the Canton Fair, it is generally reported that the merchants at the conference are not active, but slightly better than the previous session. Order prices have continued to rise, and there is no reason for this. Depreciation, falling prices of raw materials and lower prices, and continued rising labor costs, the price war is unsustainable, and customers can only transfer some middle-to-low-end orders to other Asian countries.

Lu Shutai, head of the related business of the International Business Department of Luthai Textile Co., Ltd., said in an interview with reporters yesterday that the company would not lower its offer due to the recent devaluation, but instead increased the price of some of its garments by 10 in this session of the Canton Fair. %. Due to the intensified design and development of new fabrics, the current orders in Europe and the United States are still available.

In the past three months, the continued devaluation of *** has relatively cushioned the operating pressure of textile and garment exporters. However, due to fears of a rebound in the appreciation of *** in the second half of the year, domestic textile and apparel exhibitors are squeezing prices, and have not made international purchases in exchange rates. Businesses make concessions. A large-scale state-owned foreign trade enterprise in Shanghai is responsible for the relevant business in an interview with this reporter, said that the company's offer at the Canton Fair was too high, the current exchange rate is still calculated according to the cost of 6.1, is to reserve a certain profit margin for the future, if The current calculation of 6.2 will leave the export in the second half passive.

“Shanghai has just raised its minimum wage and the labor costs have been rising. It is hopeless for customers to pick up bargains here.” The relevant person in charge said.

Hu Lizhang, head of the foreign trade business of Shanghai Oriental International Group's Litai Import & Export Co., Ltd., also said that due to the high cost of manufacturing and manufacturing of textiles and garments in Shanghai, the company has transferred orders to some relatively low-priced foundries in Zhejiang for processing. In emerging markets such as the Americas, customers in emerging markets such as Brazil are more active in placing orders. He hopes that the exchange rate can maintain stability, as long as the *** does not suddenly rebound and rise, the export should develop in the second half.

The export growth of China's textile and apparel industry in the first quarter was worse than expected. This is related to the fact that last year's export data has a certain degree of moisture and a large base. At present, Europe and the United States have improved their economies. Domestic and foreign cotton prices have narrowed, and exports should gradually return to the normal track in the second quarter. It is expected that China's textile and clothing exports will increase by 5% to 10% this year.

China's textile and garment export base is large, accounting for approximately 35% to 40% of the global market share. This year, textile and garment exports are expected to exceed US$300 billion, while Vietnam and India are at the level of US$20 billion and US$30 billion respectively, even if some The shift of low-grade orders will not be able to shake up the current global textile and apparel pattern in a short period of time.