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Garment Industry in China
China has the largest garment/ apparel industry in the world and is also the largest exporter of garmentsto the rest of the world. The overall industry including men's wear, women's wear and kids wear hasgrown rapidly over the last 2 decades.China has become the world leader in apparels owing to its policy of economic reform and also due tothe prevailing low labour costs. The government has also helped domestic manufacturers by introducingrestructuring and consolidation programmes. Foreign investments have also helped the Chinese men'sapparel industry grow.After becoming a member of the World Trade Organisation (WTO) in late 2001, the opportunities havebecome even more lucrative for the country to increase its exports. China will also face fiercecompetition in the international markets and lowering of the trade barriers will also result in morecompetition for the domestic market.Most of the apparel manufacturers and dealers pay more attention to women clothing market andneglecting men's clothing markets. This has lead to an underdeveloped market for men's apparels. Withthe coming of foreign companies in China, there has been a shift of focus on the men's apparelsegment. These companies are planning to set up exclusive retail stores for men's clothing in bothcasual and formal wear.Most of the apparels that are exported are designed by foreign customers and these apparels are madefrom high quality imported fabrics. These garments are made for the mass market and are thusmoderately priced. Some manufacturers also manufacture high quality and high- priced clothing for men.
Imports
Some of the largest importers of Chinese men's apparels are:
Japan
Hongkong
USA
Men's Apparel Industry:
Geographic Distribution in China
The majority of apparel manufacturers have factories located in coastal areas, followed by the midlandprovinces, and the smallest number of factories are located in the western provinces.
Factors driving the geographic distribution of Apparel manufacturers in China:
 
Traditionally, the coastal area has been China's best and most suited location for apparelindustry as well as for upstream industries like the textile industry and synthetic fiber industry.There is also large number of skilled labour availability in the region.
 
The first and main Economic Development Zones were opened in the coastal region. Ningbo,Qingdao, Zhuhai, Haikou, Shenzhen, Shanghai, Dalian, Xiamen are all located in coastalareas.
The coastal area has high population density with higher income and people in this region arealso more conscious of fashion than in other areas, thereby leading to better market potential.
Men's Apparel Industry Analysis Strengths
The country is a low cost producer of men's wear 
The country manufactures high quality garments, relative to cost
The manufacturers in the industry require short lead-time, owing to large capacity and well-developed infrastructure
The manufacturers provide flexibility in product offerings
Weakness
 
Manufacturers lay less stress on innovation and R&D;
Slow pace in adopting international standards (e.g. cotton grading)
Manufacturers invest less in brand equity
China's Garment Industry Booms
One hundred years ago, aShanghai newspaper flashed a banner saying "How can they survive if they have no clothes on?"One hundred years later, China has become the largest producer and exporter of garments in the world.In old days, the textile industry was self-ample and everything was done by hand.The country only had 20 cotton mills that had an annual production capacity of 500,000 spindles 80 years ago.During the first few years after the founding of the People's Republic of China in1949, the average annual production capacity was no more than five million spindles.
 
As a result, the government adopted a ration policy by issuing cloth coupons.Over more than 30 years, the annual output of cotton cloth in the country increasedto 15.35 billion meters by 1982, which was barely sufficient to meet the needs of thepopulation. Cloth coupons were abolished the following year.Since the country began its open-up policy and reform in the late 1970s, the garmentindustry has grown at a rate of 15.7 percent annually. The output in the Eighth Five-year Period (1990-1995) totaled 30 billion garment items, equaling the total for theprevious 40 years.Since 1994, China has remained the largest producer and exporter of garments inthe world. The total volume of exports accounts for one-sixth of the world total. In1999, China turned out 10 billion garment items. The country's output of syntheticfibres totaled 52 billion tons a year, which is the largest in the world.Over the century, China has become home to the world's leading textile industry asthe choice of attire in China has changed dramatically.
Garment industry trying to meet foreign demand
Last Updated(Beijing Time):2006-07-2416:44
China National Textile and Apparel Council recently issued its 2005-2006 Annual Report on China'sTextile Industry. The report pointed out the total profit of garment companies above designated sizegrew by up to 33.09 percent in 2005, the fastest-growth-year during the Tenth-Five Year Plan period.Resorting to the advantages of market, resource, brand and technology, some companies or groupswith good performance kept their expansion to become the leaders of the industry and speeded uptheir internationalized steps. Meanwhile, some SMEs, due to their small scales and their dependenceon domestic or overseas middlemen to obtain orders, seriously lack the capability in exploring newmarket and resisting risks.According to the investigation by China National Garment Association, the total actual output of garments reached 46.5 billion pieces in 2005, up 11.2 percent compared with 2004, among which 17billion were weaving garments and 29.5 billion were knitting ones. In 2005, the total exported value of garments increased by 19.9 percent and the total exported volume by 8.1 percent, which indicated theincrease of the value was 11.8 percentage points higher than that of the volume.The "White Paper on China's Textile" pointed out, the overall competitiveness of the textile industryhas been further strengthened and the added value of exported textile products has been improved
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