The new global strategy of textile companies turns rivals into partners

The new global strategy of textile companies turns rivals into partners After experiencing the low-cost expansion and vicious competition, the traditional textile industry is quietly ushering in a transformational change. Among them, the attempt of dual-output of brand and capital has achieved initial success.

“We already have 750,000 spindles in Vietnam, and we will start a factory with 250,000 spindles next month. At the same time, we have 168 hectares of land in Uruguay and 20 hectares of Turkey. It is expected that the total overseas in the first half of next year will exceed 1 million spindles.” Speaking of overseas roads, Tianhong Textile Group became a confident family member.

On June 28, the “Going Global” Strategic Exchange Conference of China's textile industry was held in Beijing. The conference organized by the China Textile Industry Federation brought together nearly 400 industry-leading experts, entrepreneurs, scholars, and government officials.

Since the establishment of the plant in Madagascar by the Deer King in the early years and the establishment of the Sihanouk Industrial Park in Cambodia by the Red Bean, the pace of the textile industry's advancement to the world has never stopped. Wang Tiankai, member of the 11th National Committee of the Chinese People's Political Consultative Conference and chairman of the China National Textile and Apparel Federation, said that companies that “go out” have already gained a lot of experience. Among them, active integration with the local economy, social systems, and cultural traditions, and the establishment of long-term cooperative relationships of trust and mutual benefit with the investing countries must be kept in mind and adhered to.

Walk to visit the world:

China needs more Bosideng Gao Dekang used the company's 15 years of overseas experience to prove to the world that Bosideng is not only China but also the world.

As the chairman of Bosideng said, the development of the international market is the only way to upgrade a big clothing country to a strong country of clothing. As China's first apparel industry "China's world famous brand products", Bosideng took the lead in realizing the leaps of a regional brand to an international brand.

In 1992, the Bosideng trademark was already registered in the United States, Canada, Switzerland and other countries and regions. In 2002, the United Kingdom already had 80 Bosideng stores. In March 2007, they were invited for the first time on behalf of the Chinese apparel industry to perform at the Montella Fashion Week.

Bosideng’s next goal is to carry out website sales and counter sales of goods and to radiate to other European countries. At the same time, they negotiated with the European group in Germany and used their huge resources to promote Bosideng's own brands.

The Bosideng story has inspired tens of thousands of small and medium-sized textile companies to go abroad.

According to Wang Tiankai, at present, the overseas layout of China's textile industry and the domestic industry have basically formed a synergistic and complementary trend.

For example, by using cost advantages in Southeast Asia, it can effectively cushion domestic manufacturing cost pressures; invest in raw materials bases such as cotton in Australia and other places to resolve the shortage of domestic textile raw material resources; and invest mature brands, distribution channels, R&D centers in developed countries such as the United States and the United Kingdom. Acquiring high-end manufacturing companies, providing higher-end resources for domestic companies to enhance innovation.

This is only the beginning, and the general trend is gradually taking shape.

Zhang Xiaoji, former CPPCC member and former Minister of Foreign Economic Research at the Development Research Center of the State Council, believes that when Chinese textile companies invest, they can no longer live as they have kept orders. The gradual transfer of industries and the gradient transfer are inevitable trends. Enterprises must dare to jump from domestic to foreign countries.

According to the data provided by the China Textile Industry Federation, from 2000 to 2012, China’s total fiber processing output has increased from 25% to approximately 55% of the world's total, and exports have increased from 15% to 36% of the world’s total. China’s status as a world textile giant has been consolidated and improved.

Another fact is that due to the substantial increase in the cost of China's textile enterprises, the international competitiveness of middle and low-end products has dropped significantly. At present, the cost of labor in China's textile industry is 1 to 3 times higher than that in Southeast Asian countries, and the cost of cotton is more than 30% higher. Moreover, some Southeast Asian countries still enjoy preferential tariffs in developed countries.

Choose a place to stay: ASEAN countries have become powerful springboards like Bosideng, but they are among the few who have gone out. Choosing a good place to stay and take the first step has become the first problem faced by many small and medium-sized textile companies.

The answer of Ma Mingqiang, Secretary-General of China-ASEAN Center is: ASEAN countries.

According to CLSA, by 2015, the size of middle-class groups with disposable income of more than 3,000 US dollars in Southeast Asia will reach 145 million, which is higher than the 9.5 million in 2010. This will boost the region’s increase in spending on food, clothing, and tourism. The huge emerging markets are impressive.

Data show that there were 47 textile and garment companies that invested in Cambodia, Vietnam, Bangladesh, and Myanmar in 2012, 1.6 times more than in 2011.

Ma Mingqiang believes that China and ASEAN enjoy very good political relations and can provide relatively good political guarantees for Chinese enterprises entering ASEAN. Second, the establishment of China-ASEAN Free Trade Area has also provided institutional protection for Chinese enterprises to enter the ASEAN. According to the trade agreement signed by China-ASEAN, by 2015, two years later, the tax rates in China, Cambodia, and Myanmar will all drop to zero.

It can be compared with the stability of the political environment and there are unparalleled geographical advantages. Ma Mingqiang said that the two sides are strengthening the construction of Internet interworking, which is conducive to the transfer of Chinese enterprises, and also facilitates the optimization of resource allocation for the future development of China's textile industry.

It is clear that the benefits of setting ASEAN countries as a foothold are more than these.

According to Ma Mingqiang, ASEAN countries have introduced a series of preferential policies to attract foreign investment and relaxed the conditions for foreign investment access. For example, Thailand, Cambodia, Laos, Indonesia and other countries have good preferential conditions in terms of land rent and taxes.

Red Beans Group vice president ** just understood this without a doubt. The Sihanouk Industrial Park invested and constructed by Red Bean Group in Cambodia has become one of the models for the “going out” of private enterprises in China.

** Just introduced that Cambodia does not have ** control and the trade environment is very relaxed. Especially now that the ASEAN Free Trade Zone has been established, investors can not only use the Cambodian platform to radiate the ASEAN Free Trade Area, but also enjoy European and American countries. Some trade policies.

** Just said that Cambodia still has many advantages. For example, the labor cost is low, and the basic salary of the industrial park is around US$100/month. The Cambodian government also provided the industrial park with a policy of full exemption of import and export commodities for 6-9 years.

Flowers and thorns are in the same flowers and thorns. Hope and disappointment coexist. The enterprises that have gone out have been successful one after another, and they have fallen. There are not a few companies that have failed due to improper local management.

“We have no employees in Cambodia, or projects that stop production. We continuously improve employee benefits, such as providing free employee work meals... Employees can share the development results of the company. We really do equal pay for equal work, regardless of country. The nationality, as long as the job responsibilities are the same, the remuneration package is the same." This is the way of Wang Cunbo, executive director of Shenzhou International Group Holdings Limited.

Mr. Zeng Tao, the managing director of Esquel Group, has gradually integrated himself into local life in order to increase employees’ sense of corporate identity. “We will select representatives from the employees of different countries in different parts of the world each year and return to headquarters so that they can see the company for themselves and let them know that the company they work for is very good,” said Zeng.

Different from the expression of humanistic care, compliance with laws and regulations is a rigid requirement.

Ding Heng, a partner of Zhong Lun Law Firm who has many years of experience in this area, said that compared with foreign companies in China, our attention and adaptation to the law, and the importance or understanding of the legal framework system of the target country are obvious. There is a certain gap with multinational companies.

“Although our national legal system is continuously improving and our corporate awareness of legal risks is constantly increasing, some entrepreneurs in our country still feel that law-abiding operations are not particularly important when they operate local businesses, and thus cause similar problems. Things happened in the scandal," Ding Heng further explained.

Observing laws and disciplines is not only about paying, but also rewarding.

"We attach great importance to respecting and observing the laws and regulations of the host country, especially the labor and environmental protection, and have established a good image of Chinese-funded enterprises abroad. This is the most important point for companies to continue to develop outside the country." The legal requirements also bring more dividends to the overseas development of Shenzhou International Group.

As an economist, Zhang Xiaoji also reminded that the cultural content of textiles is very large. If it is to develop overseas markets, it must adapt to the requirements of local consumers. It is not enough to rely on existing domestic resources. It must integrate local resources and establish long-term cooperation. Partnership.

In recent years, Weiqiao Venture Group, the world's largest cotton textile company, has independently developed new functional fibers with antibacterial, flame-retardant, heat-resistance, and UV-resistance characteristics, filling a number of domestic gaps and enhancing international competition for products. force. Xinhua News Agency

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