U.S., Europe, and Japan Market Garment Textiles Urgently Increase Hong Kong Merchants Are Not Bad This Year

Hong Kong Textile Industry Association Honorary President Chen Henry said that since the outbreak of the financial crisis, many small-scale or poorly-operated manufacturers have been forced to close their doors, resulting in a reduction in overall suppliers and supply. However, the situation still makes it still very desirable for companies that continue to operate their businesses, especially for large-scale manufacturers, because the reduction in supply exceeds the growth in the market. Every Thanksgiving Day and December Christmas is the traditional peak season for retail sales in Europe and the United States. Even though the economy is weak, many European and American retailers still place additional orders to Hong Kong suppliers and are willing to accept a 5% to 10% markup.

The US, Europe, and Japan have increased the number of urgent orders. Chen Henry said that his company is mainly engaged in the production of ready-made garments for export to the US, Europe and Japan. The number of orders originally received this year was only maintained at the level of last year, but more orders were received recently, making the overall Shipments have double-digit growth over the same period last year.

However, Chen Henry also said that the number of orders received by manufacturers should be adjusted according to their own production capacity, and they must not be connected. If not, they would not be able to meet the delivery deadline. Exports should be changed from sea freight to air freight, and the cost will increase substantially, which will inevitably cause losses. Especially at the end of the year, it is difficult to increase the number of additional staff.

The cost of ex-factory prices continued to rise. He pointed out that in March of this year, Guangdong Province raised the minimum wage by more than 18%. Recently, the price of cotton has soared again, coupled with factors such as the appreciation of ***, the price increase of products is unavoidable. In the past, its corporate customers have only been demanding price cuts and have never received price increases. However, now they have to face the reality that their companies are able to increase prices by 5% to 10% for additional orders.

Industry figures predict that the trend of cotton prices running at a high level will continue after the New Year, and this year's apparel prices are bound to rise. Wang Qianjin, chief editor and senior analyst of China's No. 1 Textile Network, said that this year's increase in apparel prices is within a reasonable level of 20%. However, it is also becoming polarized. Popular products are difficult to raise prices, and personalized brands and manufacturers are more Pricing rights.