Qinghai'S "13Th Five-Year": Fostering Special Trade Advantages Of Textiles

In the outline of the 13th Five-Year plan, Qinghai province made clear the key work of cultivating new advantages in foreign trade.

In enhancing the export capacity of products, the export commodities are mainly pformed from primary products to high value-added products.

We will actively promote the construction of 13 national and provincial export bases such as Tibetan blankets and Muslim supplies.

In expanding the external marketing network, we are actively developing new markets with distinctive products in Qinghai.

It supports enterprises to develop new trade modes such as cross-border e-commerce and so on.

。

Implementation of "ten million dollar potential cultivation plan" and export

We will support a number of import and export enterprises with over 10 million US dollars in import and export volume and international competitiveness and popularity in the Tibetan carpet and textile industries.

In the effective expansion of import scale, the implementation of "bonded warehousing +"

Exhibition and sale.

We should optimize the structure of imported commodities and expand the import scale of commodities such as textile raw materials from central and South Asian countries.

Related links:

At present, the production cost of China's textile industry has been rising continuously, and the profit margins of enterprises have been narrowed down, and the textile industry has gradually shifted to foreign countries.

After the entry into force of TPP, China's textile industry will accelerate its pfer to TPP members in Vietnam, Malaysia and the United States.

In order to enjoy preferential treatment in the market of TPP member countries and reduce dependence on imported yarn in non TPP member markets, Vietnam and Malaysia urgently need funds and technology to develop their own textile industry. This just caters to the accelerated demand of China's textile industry and the opportunity for China's textile industry to accelerate its pfer to Vietnam and Malaysia.

In the United States, because of the low price of natural gas and cotton materials, plus local tax preferences and subsidies, the cost of the US textile industry is lower than that of our country, and it will also attract more investment from Chinese textile enterprises.

Data from the International Federation of textile manufacturers show that the cost of the spinning industry in the United States is about 30% lower than that in China.

Although the competitiveness of China's textile industry has been maintained at the top of the world, with the rapid increase in labor costs, a significant increase in pollution control and emission reduction costs, the declining international competitiveness is an indisputable fact.

In the 2008~2014 years, China's textile and garment industry revealed a comparative advantage index (RCA), showing a downward trend. The RCA index of textile industry dropped from 3 to 2.7, and the RCA index of clothing industry dropped from 3.5 to 3.2.

After the entry into force of TPP, China's textile and apparel market is at a disadvantage in the treatment of TPP member countries, which will lower the overall international comparative advantage of China's textile industry. In addition, Vietnam, Malaysia and other countries will vigorously develop the textile industry, the investment will increase rapidly, the industrial chain and supporting industries will gradually improve, the comparative advantage of China's textile industry will continue to decline, and the international competitiveness will be aggravated.

After the entry into force of TPP, subject to the rules of origin and the expansion of raw material demand of TPP member countries, the pricing power of China's cotton and chemical fibers will be under pressure.

On the one hand, the pricing power of chemical fiber in China is subject to other countries.

Although China is the world's largest producer of chemical fibers, PX, which is an important raw material for chemical fiber production, is heavily reliant on imports from Japan, Korea and other countries. It has less power to speak, while the proportion of conventional products in the industrial structure of domestic chemical fiber is too high, the proportion of high-tech fibers is too low, and the large enterprises and large groups that lack international influence, China's chemical fiber export pricing has less power to speak.

After the entry into force of TPP, in order to enjoy zero tariff treatment, the origin rules of "starting from yarn" will increase the yarn production capacity of the TPP area and increase the productivity of the chemical fiber at the front end of the yarn, resulting in an increase in the substitution of Chinese chemical fibers and a corresponding reduction in the export bargaining space.

On the other hand, China's cotton demand needs a large number of imports, especially for TPP member countries. The import of cotton from TPP member countries accounts for 35% of China's total cotton imports. The expansion of TPP's domestic textile industry will stimulate domestic demand for cotton and is not conducive to China's cotton import procurement.

In particular, the two largest cotton importers in the United States and Vietnam, China's bargaining power to purchase cotton from these two countries will also be reduced.