From what reports suggest, China’s textile industry operates on a low profit margin, relying heavily on what Chinese factories do best: bulk. As the Chinese Yuan continues to strengthen, these profit margins become even more thin than they already were. Soon, their bulk production could turn to bulk deficit instead of bulk profit.
These problems directly affect factory-laden Guangdong Province and other eastern provinces, but out here in Guangxi Province, how would a textile bust affect the many local raw silk producers?
No doubt this is not good news for the raw silk producers, but as a producer of raw materials, they have the opportunity to shift with the buyers. The world will still need clothes, and whoever is making the silk fabric to sell to the factories producing the silk shirts for the world is still going to need to buy raw silk from somewhere.
Guangxi Province is one of China’s primary producers of raw silk. Many of the better known Chinese companies selling raw silk are actually middle men, buying from Guangxi Province and selling to the world. The Guangxi factories have the high quality raw silk, but do not have the name, reputation, and international platform to sell their wares.
This international platform may become increasingly important as the Yuan strengthens and the Chinese domestic textile industry loses its dominance in global textiles. If China loses ground, local companies will be forced to strengthen their international business presence. At least, if they do, they can jump ahead of the middle men, forming their own reputation for Guangxi silk.
Interested in custom made ladies silk suits
Posted by: Lallie Falls | 12 Feb 2007 at 05:50
Well, I cannot help you with custom made suits. If you are looking for a nice cheap suit for yourself (which I assume you are not if you read the above entry), you can always walk the streets of Chiangmai Thailand's night market or Kowloon in Hong Kong. If you want bulk, I would suggest browsing around some of the online markets: Alibaba, Made-in-China, or some such.
Posted by: Cooper Strange | 14 Feb 2007 at 17:21