Zhejiang’s Foreign Trade Growth Changes

China-EU, Sino-US textile agreement implementation, short-term Zhejiang textile exports in terms of clothing, textiles and clothing exports will come down significantly, while the long term, textiles and clothing export growth will be achieved within the specified limit the significant increase efficiency, Zhejiang’s foreign trade growth pattern is the only way.

1. Central Europe, the implementation of the Sino-US agreement.

Zhejiang, China dyeing cloth, silk, silk largest supplier provinces. Since from 200x clothing and textile exports of Zhejiang ranked first, accounting for 21% of textile and garment exports, accounting for 3.4% of world export markets more than 150 countries across five continents and regions. “15” period, Zhejiang vigorously implement the science and technology and trade and brand strategy, and greatly enhance value-added textile exports of traditional products. 200x year, Zhejiang’s textile exports to maintain a good posture, clothing, textile exports reached 13.32 billion U.S. dollars respectively, and 11.11 billion U.S. dollars, up 23.7%, respectively over the previous year and 25%, total economy and the total profit of the textile industry and other indicators in the nation first.

At present, Zhejiang textile industry enterprises above designated size reached 6768, 145 million employees, sales revenue and exports accounted for 23% of the country, 146 million workers employed.

2006 was the “Sino-US textile and apparel trade agreement” to implement the first year. Textiles, apparel exports accounted for more than 30% of Zhejiang Province, its impact should not be underestimated. The implementation of the Sino-US agreement, clothing and textiles in Zhejiang inhibited the expansion of exports. From January to April, the province’s textile, apparel exports 8.133 billion U.S. dollars, up 18.03%, lower than the provincial average growth of 11.85 percent export.

Among them, the garment export growth of 17.5%, 18.6% growth in textile exports. Expected this year and for a time to small profits as the main mode of competition significantly increased pressure on textile and garment enterprises, the province’s textile and apparel exports will not appear similar to the beginning of last year “export rush” brought about rapid growth.

Second, EU, implementation of the agreement to promote Sino-US textile enterprises pay more attention to diversification of export markets. Over the years, Zhejiang textile export markets mainly in Europe and the United States, exports accounted for more than 40% share of the market through high dependence on higher risk industries, textile exports last year’s turmoil has affected the development of the textile industry in Zhejiang.

EU, Sino-US textile agreement reached, the Zhejiang enterprises pay more attention to developing ASEAN, Africa and Latin America export markets, textile export market is more diversified. Exports to these markets this year to increase significantly higher than European and American markets. 1-4 Textiles in the EU, U.S. exports 3.11 billion U.S. dollars, an increase of 7.6%, while exports to the rest of the 5.02 billion U.S. dollars, up 24.1%. In particular, exports to ASEAN 413 million U.S. dollars, up 51.8% of African exports 690 million U.S. dollars, up 21.2% in Latin America exports 547 million U.S. dollars, up 44.4%.

Textile and apparel exports to the Africa, Europe and the United States market share of 61.7% year on year increase of 3 percentage points.

Third, EU, Sino-US agreement would promote the enterprises to change their way of export growth
200x the global textile trade quota system ended, textile and garment exports show a “blowout” type growth of textile exports in Zhejiang and the sustainable development of the country adversely. In the long term, Central Europe, the implementation of the Sino-US agreement on the formation of the government and enterprises, “Forced mechanism”, change the mode of growth of textile and clothing exports greatly increased the urgency.

For the government, in response to U.S. and European restrictions on Chinese textile issue, the State introduced a number of export policy in the last year, this year introduced a series of consecutive new export policy, export policy from the previous “do everything possible to expand exports” to “have to maintain pressure, both encourage and limit” changes, the state export control policies and measures to strengthen gradually introduced.

Zhejiang textile exports should also promptly set up a working group to actively cooperate with the State to take appropriate measures, to take positive measures to actively respond to trade friction, the export trade to create an orderly environment, and promote further implementation of Zhejiang textile industry market diversification, to ensure the stable development of textile industry of Zhejiang.

Zhejiang bid for the textile enterprises, the quota should be subject to appropriate, to ensure that the coming period in 2006 and export profits are not affected, and business consultation in addition to moderate price increases, the main added value through increased exports. Upon reaching the textiles export prices Zhejiang steadily, especially in exports to the EU, the number of exports to the U.S. textile license bidding process, companies bid enthusiastically positive and generally higher bid price, the highest in the price of certain categories of products than even more than 10 times the minimum bid, which fully reflects the enterprise

High expectations for this year’s textile exports. China-EU agreement signed, 200x in June-December Zhejiang textile exports to the EU 3.592 billion U.S. dollars, up 52%, increase over the previous 5 months to improve a 7 percentage points. From the first quarter of this year, the export data, exports to the U.S. in 21 categories in 12 categories, 10 categories of exports to the EU there are eight categories of selling price higher than the same period last year, including the selling price by up bra, the U.S. market 161% for the same period last year, the EU market to 174% over the same period last year.

Zhejiang now encountered more friction in international trade involving products mostly middle and low labor-intensive products, therefore, to accelerate foreign trade growth pattern, and increase added value, the proportion of high-tech products, perfect and enhance their international trade barriers is the most with a solution. After the agreement with the actual export of integration as the base, greatly expand the export of space agreement, EU, Sino-US agreement, a growth rate of 8% -12.5% and 10% -17%, higher than 7.5% of 242 articles to the province’s restructuring of the textile industry provides a certain space.

Textile export enterprises, according to recent research situation, Zhejiang textile enterprises to export the whole optimistic that China and the EU and the U.S. textile exports reached an agreement on Zhejiang as well as the healthy development of China’s textile exports have played a positive role.

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