Chinese Textile And Clothing Enterprises: The Bigger The Storm, The More Need To Anchor The Course
On April 2 local time, the US government dropped a "deep-water bomb" with unilateral tax increase policy - levying tariffs on China, canceling the "$800 small exemption" preference, and simultaneously cracking down on entrepot trade. This series of actions, seemingly aimed at China, actually exposed the strategic anxiety of the United States in the tide of globalization. In the face of this "tariff storm", China's textile industry did not fall into passive defense, but gave the answer with the practice of "strengthening internal strength": the real competitiveness was never made out of nothing by tariff barriers; The future of the industry must belong to the defenders of technology, innovation and global cooperation.
On April 4, the data released by the International Textile Manufacturers Federation (ITMF) revealed a clear logic: 95% of the US clothing market depends on imports, mainly from China (about 30%), Vietnam (13%), India (8%), Bangladesh (6%) and Indonesia (5.5%). Today, American garment importers are not only facing soaring tariff costs, such as seeking alternative sources of procurement from countries with lower tariffs, but also suffering from declining production efficiency and insufficient categories.
On April 3, the statement of the China Textile Industry Federation pointed directly to the "lose lose" nature of the US policy: the abolition of small package tax exemption will not only damage the living space of Chinese SMEs, but also make millions of small and medium-sized businesses and ordinary families in the United States who rely on cross-border e-commerce bear higher living costs. This violation of WTO rules and the destruction of the multilateral trading system, in essence, is a challenge to the law of global industrial division of labor, and will ultimately only make American consumers pay for political manipulation.
In the face of the "tariff war", China's textile industry is strengthening its internal strength, building confidence and actively responding. For example, as the largest production base of chemical fiber fabrics in China, the fabrics produced by Jiangsu Shengze are directly sold to Southeast Asian countries, then processed into ready to wear, and finally sold to Europe and the United States. After the imposition of tariffs by the United States, although the impact and challenges are not small, Shengze Town has a complete textile industry chain foundation, and also has high technology, especially the world's leading high-end industrial silk. At present, it is difficult to find substitutes for real silk products in the international market, which has become an important factor for local textile enterprises to maintain long-term confidence, It has also become a source of confidence to deal with the current tariff shock.
Shengze's practice has revealed the breakthrough path of China's textile industry. To achieve a systematic breakthrough, we must continue to work in the direction of technology and market. Only by promoting technological innovation from "following", "running together" to "leading", and replacing "Made in China" with "Created in China" and "Smart in China", can we get rid of price sensitivity and path dependence.
At the same time, we should see that the RCEP region plays an important supporting role in stabilizing foreign trade in China's textile industry, and the potential for industrial cooperation will be further released. In addition, emerging markets are also worthy of continuous cultivation by Chinese textile enterprises. From 2013 to 2022, China's textile and clothing exports to countries jointly building the "Belt and Road" increased from 45% to 52% of the industry's global exports.
Historical experience tells us that in the 1980s, under the pressure of the US tariff war, the Japanese auto industry realized global expansion through local high-end (Lexus) and overseas factory building; Today, China's textile industry is also at the key point of transformation and upgrading. China has the most complete textile industry chain and the most dynamic digital business ecosystem in the world. We have reason to believe that as long as we stick to our strategic determination, we will surely achieve tomorrow's industrial transition.
The stronger the wind and waves, the more it is necessary to anchor the heading. The story that Chinese textile workers are writing is not only about the rise and fall of an industry, but also a microcosm of safeguarding fair trade and promoting human welfare in the ebb and flow of globalization. Just like the camel bell on the Silk Road, China's textile industry will once again weave a beautiful chapter of world connectivity with innovation and cooperation.
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