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Newsletter: October 2009
Textile and Apparel
Production Trends
China
In the US market, in contrast to the general trend, sales of Chinese
textiles and clothing in the first half of 2009 advanced by 3.9%. However,
growth should have been faster, after the removal of safeguard quotas
restricting US imports of several products from China at the end of the
previous year.
In the EU, imports from China grew by 12.7% in 2008 after the EU removed
quotas at the end of 2007.
In China's domestic market, textile imports fell in 2008 although production
by the Chinese industry grew moderately, and continued to grow in the first
half of 2009.
Hong Kong
In Hong Kong, domestic exports of textiles and clothing fell sharply in 2008
while the share of re-exports in total exports reached almost 90%. In the
first half of 2009, sales of Hong Kong textiles and clothing in the US
market plummeted by 76% as buyers switched to China following the
elimination of quota restrictions.
Japan
In Japan, 2008 was a poor year for manufacturers and exporters. Exports to
five of the country's six largest markets fell-as did exports of nine of its
ten biggest selling products. Furthermore, domestic wholesale sales of
textile products fell for the 11th consecutive year. Domestic production,
meanwhile, fell by 8.9% after declining by 5.4% in 2007 and 4.2% in 2006.
Imports also declined.
Korea
South Korean textile and clothing exports fell by a modest 1.0% in 2008, due
to a fall in clothing sales. Textile exports rose by a minimal 0.3% as
weaker demand in the EU and the USA was offset by large increases in sales
to Indonesia, Saudi Arabia and the United Arab Emirates. Despite the drop in
clothing exports, however, production continued to rise in 2008, as a result
of vigorous domestic demand.
Taiwan
In Taiwan,
export demand fell in 2008, having remained steady during 2005-07. The fall
was due, in part, to the global economic slowdown-which led to a reduction
in orders from China and other major Asian markets. Textile and clothing
production, meanwhile, fell at a much more alarming rate. Textile output was
down by 11.5% and clothing output by 19.2%. To combat falling sales,
Taiwanese manufacturers have concentrated increasingly on the production of
specialised textiles with higher added value. |