Where Is The Future Direction Of The Textile And Garment Industry?

Industry is China's traditional light industry, which is divided into textile industry and garment industry.

The textile industry refers to the general name of the production department that processes raw materials such as clothing and other textile products, and the clothing industry refers to the total production of textile products into clothing. From the perspective of the relationship between the upstream and downstream, the textile industry is the upstream industry of the garment manufacturing industry.

The absolute return rate of textile and garment industry in 2016 is -8.69%, which is basically the same as that of A shares. The absolute yield of textile manufacturing is -6.89%, which is better than that of -9.94% of apparel retail.

2017 clothing retail: supply chain integration to enhance efficiency, consumption upgrading brought about structural opportunities and consumption has not been significantly improved under the environment, the following five directions:

The first is the integration of supply chain, reducing the loss of intermediate links and improving efficiency.

The second is the upgrading of consumption.

It also seeks for structural opportunities brought about by quality and personalization.

In terms of supply chain integration, there is huge room for internal management to enhance efficiency and provide third party management services externally.

In terms of consumption upgrading, first of all, the baby industry and the full liberalization of the second child policy will boost the number of newborns, and the industry will continue to boom. Secondly, the domestic luxury consumption will be adjusted periodically, and the first generation will benefit from the luxury.

Third personalized demand promotes the development of designer's brand, while creating platform for designers and consumers to solve marketing, trading and other pain points, the market space is huge.

Fourth overseas brands to expand the Chinese market

It provides broad development space for the operation industry.

Fifth high-speed growth of cross-border import electricity providers, tax reform new deal is expected to reshape the industry competition pattern.

Textile manufacturing in 2017: continue to pay attention to depreciation and cotton price rise. Since the 15 year reform, the depreciation of RMB has been over 11%. Devaluation is expected to increase export revenue and enhance the competitiveness of export commodities.

In the 16 years, domestic cotton prices rose sharply due to the reversal of supply and demand.

With the development of dumping and storage, the impact of national cotton reserves on the market will be smaller, while the market demand for cotton will remain stable in the medium and long term, and the supply area will shrink in terms of planting area and output trend. The medium and long-term cotton prices are expected to grow steadily and benefit the traditional textile leading enterprises.

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The continuous warming of overseas mergers and acquisitions of Chinese enterprises is the result of multiple factors.

At present, Vietnam, Kampuchea, Thailand, Indonesia and other Southeast Asian countries export only 2% to 3% of the EU's textile tariffs, while China's textile exports to the European Union need to impose a tariff of about 12%.

All these have confirmed Chen Cangsong's view that clothing exporters' profits are low.

In such a big environment, overseas mergers and acquisitions will undoubtedly become the helpless choice of some enterprises.

For example, Vietnam's largest textile mill is actually invested by Tianhong Textile Group, a Chinese enterprise.

According to the world clothing shoes and hat net, only in 2016, Shandong's 1 billion 300 million euro (9 billion 670 million yuan) purchase of French light luxury clothing group SMCP's controlling stake, song's 240 million yuan acquisition of Tang Li International 65% stake and the song Li Si 370 million yuan holding French fashion brand IRO three has involved the capital to invest billions of yuan, and Shanghai fashion brand wagnnasi has bought the Chinese consumer very familiar South Korea "Little Bear" Teenie Weenie and so on.

In addition, women's clothing brand Mass Phil, long Zi shares, men's clothing brand Li bang and so on are also in the overseas mergers and acquisitions.

It is not only the survival of a single enterprise but also the health and integrity of the whole regional economy.

At present, China's relatively relaxed overseas M & a policy and China's increasing international influence have also made foreign clothing giants aware of the importance of cooperation with Chinese enterprises.

Meanwhile, the European debt crisis has provided an opportunity for Chinese enterprises to buy European enterprises at a low price.

According to Lin Cai Yi, chief economist of Guotai Junan, some developed economies and Brazil and other emerging economies have suffered a serious recession in the current round of commodity slump. Local equity and asset prices are relatively cheap. This is a good opportunity for Chinese enterprises to "go out" in mergers and acquisitions.

At the same time, at present, the traditional industries in various countries are in urgent need of pformation under the impact of the new round of industrial revolution, which creates opportunities for Chinese enterprises to acquire overseas assets and to copy assets.

For more information, please pay attention to the world clothing shoes and hats net report.