Textile and apparel orders are mainly short- and medium-term orders

Affected by rising labor costs and low order completion rates, textile export companies mostly focus on short- and medium-term orders. These short- and medium-term orders directly reduce the export profits of enterprises. In order to increase product prices, textile export enterprises began to focus on brands and move towards the high-end market.
Enterprises dare not take long-term orders
“Recently, labor costs have increased at a relatively high rate. Many textile export companies are afraid to accept long-term orders. They are mainly worried that employees cannot complete orders on time, which will cause losses to the company.” The person in charge of a garment export company in Hangzhou sighed. The reporter learned that rising labor costs and difficulty in recruiting workers have plagued many garment export companies. “The biggest problem is that companies cannot recruit workers.” Mr. Wang, the person in charge of a garment foreign trade company in Guangzhou, said that currently, most of the company’s employees are workers over the age of 35, and there are very few workers in their 20s. “Now, workers’ wage requirements are relatively high. Even if workers’ wage requirements are met, it is difficult to find young employees.” Mr. Wang said.
It is understood that most textile export companies have orders within one month, or short and medium orders of 1 to 3 months. Long orders of more than 6 months are very rare. “Judging from our company’s participation in this Canton Fair, overseas buyers mostly place short and medium-term orders, and there are relatively few long-term orders. These short and small orders can help us adjust our product structure at any time based on market feedback, while large orders It does not have this advantage. Moreover, small order products can better adapt to market changes.” said the person in charge of Hubei Fumeijia Textile Co., Ltd. who just participated in the 115th Canton Fair. In addition, affected by the international market economic environment, consumers’ purchasing power is not strong, market demand is restricted, and overseas buyers prefer short and small orders. ”
​Focus on the brand and move towards high-end
Textile export companies have received a large number of short and medium-term orders. Compared with long-term orders, these short- and medium-term orders have caused a significant decline in corporate profits. In order to increase the export profits of enterprises, more and more textile export enterprises have begun to focus on brand research and development and move towards the high-end market. “At present, my country’s clothing industry accounts for a smaller share of the global market. Coupled with the rising prices of raw materials and labor costs in my country’s clothing industry, various severe situations force us to accelerate transformation and upgrading. Our approach is to strictly focus on product design innovation. We will make every effort to build our own brand.” said the person in charge of Tiantai Maloney Import and Export Co., Ltd. “Our company has its own R&D and design center to build an international brand with national characteristics. In addition, the company is also committed to continuously improving the technical equipment level of the equipment. At present, the company already has a full set of imported CAD (computer-aided design system), fully automatic Cutting systems and other world-class production equipment, the comprehensive equipment level is relatively high.” said the relevant person in charge of Zhejiang Bonidan Clothing Co., Ltd. “Our company has strengthened design and new fabric research and development. Judging from this year’s situation, the order situation in Europe and the United States is not bad.” The person in charge of Lutai Textile Co., Ltd. said.
In order to cut production costs, some textile export companies have transferred orders to areas with low labor costs. Hu Lizhang, head of the foreign trade business of Oriental International Group Shanghai Litai Import and Export Co., Ltd., said in an interview with the media that due to the high cost of manufacturing textiles and clothing in Shanghai, the company has transferred orders to some foundries in Zhejiang with relatively low quotations for processing. Currently, we focus on emerging markets such as South America, and customers in emerging markets such as Brazil are relatively active in placing orders.