Thoughts on Expanding the U.S. Textile Market under the Sino-U.S. Trade Friction

Although Sino-US trade frictions continue, the China Textile and Apparel Trade Fair (New York) and the Texworld Apparel Fabric Show, New York International Apparel Sourcing USA and New York International Home Textile Sourcing Show (HTSE) will open on July 23. (Hereinafter referred to as 'New York Exhibition') is in full swing. According to the organizer, as of now, the overall scale of the exhibition remains the same as last year. Key export companies and professional foreign trade groups in major foreign trade provinces have taken the New York Show as the most important market platform for developing the American market. From the perspective of business registration, the Chinese textile and apparel industry still has high hopes for the US market. Adjusting the structure for mid-to-high end 'The United States is still our main market, and we will try our best to keep it.' When asked about the impact of the Sino-US trade friction on the company's export business, the general manager of Jihua 3542 Textile Co., Ltd. Assistant Ma Jiaqiang answered categorically. 'The company's annual production capacity of home textile products is about 1.5 million sets. Last year's total export volume was 25 million U.S. dollars, of which US exports were 19 million U.S. dollars.' According to Ma Jiaqiang, Jihua 3542 Textile Co., Ltd. began exporting bedding products in 2008. The most profound feeling in the export trade in the past ten years is that the profits are getting thinner and thinner. Coincidentally, it is also the main home textile products. Since 2008, Changzhou Huaer Rui Home Textile Trade Manager, who has officially started foreign trade with the United States, said that at this stage, although the company’s business has not been affected too much, there is a certain degree of profit margins. Compression on. In such a difficult situation, how can companies seek opportunities in the challenges when encountering Sino-US trade frictions again? 'Industrial upgrading is particularly important.' This is the way out that Ma Jiaqiang has repeatedly emphasized to reporters. 'At present, the company is mainly making adjustments in product structure. Among all products, non-cotton fiber products have accounted for about 60%. From the current policy, cotton products are more affected, so reducing cotton products can So that the cost of raw materials will not make much difference. In addition, we also have our own original research and development advantages, the company will develop dozens of new products to promote to customers every year. 'Product upgrades to win the market under the background of China's current loss of cost dividends For textile and apparel companies exporting to the US market, product upgrades are undoubtedly a powerful starting point for mid- to high-end customers. Taking the path of differentiation and winning the market with niche products has become a corporate consensus. According to the organizer, judging from the current situation of exhibition recruitment, among the exhibiting companies, more companies have made small-volume orders than last year. According to Qian Lixia, Wuxi Youmei’s orders in the U.S. market are relatively random, and the quantities are not neat. They are basically small-volume, multi-variety orders. If the cooperation is good, the profit will be higher. 'Such customers are more suitable for trading companies like ours. Customers from the United States and Canada will come to China to find fabric suppliers for some samples, and after selection, let us purchase them, so that we can make many small-volume, multi-variety orders. . This kind of order, we are becoming more and more mature in operation, and the efficiency is getting higher and higher.' 'The company will abandon some of the low-profit orders, and at the same time carry out a series of improvements to the factory, such as technical training for workers, irregularly Update equipment, etc., in order to improve production capacity and other aspects.' According to Zhuang Fangfang, the company's feedback from customers is that for those high-end customers whose orders are not very large, many fabrics need to be purchased from China. After all, China's fabric production The equipment is more advanced and the experience is more abundant. Actively cooperate for a win-win situation. According to the Office of Textile and Apparel of the International Trade Commission (OTEXA) of the U.S. Department of Commerce, as of April 2018, China's textile and apparel exports to the United States were approximately 10.927 billion U.S. dollars, while China's textile and apparel imports from the U.S. were approximately 300 million U.S. dollars . Even though the Sino-US trade situation is unclear, the above figures seem to show that China's textile and apparel exports to the United States are unabated. China and the United States are each other's largest trading partners, and maintaining normal international trade relations is a win-win situation for both parties and conforms to the common interests of the two peoples. 17 business associations including the American Apparel and Footwear Association (AAFA), the North American Association of Uniform Manufacturers and Distributors (NAUMD), the National Retail Federation (NRF), and the Association of Retail Industry Leaders (RILA) According to Robert Lighthizer of the Office of the United States Trade Representative (USTR), he strongly opposes any increase in tariffs on consumer goods such as clothing, shoes, and household goods imported from China by the United States. They believe that the increase of such tariffs will harm the interests of American consumers, American workers and American companies. On May 16, USFIA President Julia K. Hughes testified at a hearing on the 301 investigation conducted by the Office of the United States Trade Representative. USFIA urges the Trump administration to remove fashion products such as clothing from the list of products subject to tariff increases under Section 301. Because imposing tariffs on the imports of these fashion products will not help resolve the concerns about China’s intellectual property policies and practices in the USTR 301 report. He believes that what the United States currently needs is multilateral action, not tariffs. What is gratifying is that in interviews with exhibitors, most companies can view the current trade frictions with a positive attitude and hope to do everything possible to maintain old customers and develop new customers.

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