Some experts say that the Chinese textile sector should improve
its production and stop orderless competition as it faces greater
adversity in anti-dumping and safeguard measures experienced during
export.
China has one of the largest textile trades in the world,
accounting for over one seventh of global textile exports. Textiles
are also a pillar of the country's exports. At present though, the
sector is in a difficult position: America carried out safeguards
towards the Chinese textile industry in May; the EU advised the
Chinese textile sector not to use double-nitrogen coloring
materials in 2000; India, which consumes almost a half of Chinese
silk exports, released anti-dumping measures, targeting Chinese raw
silk. All the above measures restricted Chinese textile
exports.
Generally used non-developed technologies and inefficient
management structures make the Chinese textile sector a still
labor-intensive industry. At the same time, a large quantity of
textile production uses single processing materials, without their
own brands and having low fringe value. The Chinese textile
industry's competitive edge lies in its low labor costs, which now
are threatened by other developing countries. Meanwhile, the sector
is without competitive power in advanced technologies and
high-quality production.
A principal with the Inspection Department of the General
Administration of Quality Supervision, Inspection and Quarantine
said, the textile sector's current situation is both a challenge
and an opportunity. To promote the development of the textile
industry and enlarge its export, the bureau tries to provide
effective management and policy support for enterprises. For
example, export production for excellent companies is free of
examination. These companies pay greater attention to the quality
of their production and therefore have competitive power in the
international market. With the first half of the year effected by
SARS and other adversities, the impact on sector companies was only
light as exports still increased rapidly.
Still, some experts gave advice to enhance production quality
and create famous brands to increase fringe value; and understand
requirements in both overseas and domestic markets and adjust
production and marketing strategies according to these changes.
A lot of small to medium-sized companies enter the textile field
and compete with low prices. Orderless competition like this not
only affects large companies, but lets importing countries carry
out trade barriers more frequently. Government departments are now
adjusting policies to reduce orderless competition and negotiate
with countries to cancel sector trade barriers.?
(China.org.cn by Feng Yikun, September 6, 2003)