How to make the global textile industry to a new level? Industrial transfer, intelligent upgrade!

In the past 100 years, the global textile industry has followed the migratory route of global manufacturing almost completely and completed several significant shifts.

At the end of the 19th century, the European industrial countries that completed the industrial revolution transferred the remaining industrial products, technologies, talents, and funds to the United States; after World War II, the manufacturing industries in Europe and the United States shifted to Asia mainly in Japan; in the 1960s and the 1970s, Europe and the United States. Japan and Japan are shifting their labor and technology-intensive industries outward. This time, the ground is still in the Asian region, and the "Asian Tigers" appear quietly. Immediately afterwards, China, with its rapid economic development and broad market, has become an important grounding for the transfer of manufacturing industries. With this shift, the Chinese textile industry has accumulated strong industrial resources, further consolidating the foundation of the industry, and has become a global one. The first textile giant.

In fact, as China’s economic power has increased significantly, “going global” has long since been upgraded into a national strategy. More and more companies have shifted their development goals overseas; at the same time, the “Belt and Road Initiative” advocated by the country is also expanding. "Circle", Southeast Asia, Central Asia, Africa and many other countries have begun to become new investment hot spots, and cost factors and trade factors have become the main reason for the domestic textile enterprises to "go out".

According to the “Special Consultation Report on Opportunities, Challenges, and Countermeasures for the Internet Industry in China's Textile Machinery Industry” by the Industrial Research Institute of Qianshen Industry, the data shows:

In 2014, foreign direct investment in China’s manufacturing industry was US$ 19.33 billion, far exceeding the amount of foreign direct investment attracting during the same period. As of the end of 2014, the Chinese textile industry has invested in more than 2,600 textile and apparel production, trade and product design companies in more than 100 countries and regions around the world, most of which are located in Asia. Since 2004, about 200 garment companies in China have built production workshops in Southeast Asia.

Q1 "outward" or "inside"?

“The textile industry is moving very quickly and ruthlessly.” Hu Keqin, who has been engaged in the textile industry, said that he was looking at Daegu's textile companies and fell. At that time, this part of the market was transferred to Shaoxing and other places in China. “Because we are cheap, The equipment is not bad, they can't compete, customers come here, and the market in Daegu is quickly declining."

Examples such as Daegu in South Korea show that the gradient transfer in the textile industry is a problem that companies must face. Industrial transfer not only occurs between countries, but also the transfer of industries between different regions in China cannot be ignored. In other words, what must be left and what is to be transferred must be clear in the heart of the enterprise.

The new round of global textile industry transfer shows the characteristics of low-end transfer to Southeast Asia and high-end return to Europe and the United States. China's textile industry is facing the challenge of “high and low quality”.

In April 2007, Hongdou Group, together with Chinese and Cambodian companies, began construction of the West-Hong Kong Special Zone with a total planned area of 11.13 square kilometers. Today, among the 109 companies in the West-Hong Kong Special Administrative Region, in addition to Chinese-funded enterprises, there are local enterprises in Europe, America, Japan, South Korea, and Cambodia. These mainly involve labor-intensive industries such as textile and clothing, hardware and electronics, and leather goods, and have created jobs for local people. 16,000 posts.

Bosideng, a manufacturer and marketer of down jackets in China, has also expanded production in Southeast Asia. Bosideng sources said that the ordering party’s demand for a multinational production system is increasing. This has caused the OEM to lose some of its orders. This also shows that the purpose of its transfer production is to reduce manufacturing costs.

However, there are also certain risks and hidden concerns in the move. In the spring of 2014, there was a large-scale anti-China protest against Vietnam’s exploitation of oil in the South China Sea. The factories of Chinese and Taiwanese companies were targeted. Therefore, there are also geopolitical risks such as the supply chain being cut off when transferring production abroad.

In fact, in recent years, more textile companies have turned their sights on the distant side, and turning to the west has also become one of the choices. There, companies can enjoy policy dividends that are unattainable in Central and Eastern China. Nowadays, the development of the textile industry in Xinjiang, which is in full swing, has long been a hot spot for the industry to “move inwards”. However, once the overall cost gap has narrowed, companies will still have to embark on the next shift.

Q2 must be upgraded without transfer

Experience shows that if you are a company that can adapt to market needs and have core competitiveness, you do not have to “go out”. After all, although the transfer of land is good, but it is not at the time of transfer, any problems have been solved. The internal strength of the enterprise is the core, and it is not competitive at home and it is difficult to survive the “going out”.

Transfer + upgrade

Therefore, in recent years, "transfer and upgrade" has become the main theme of the transfer of the textile industry. Whether it is the eastern enterprises “going out” to invest overseas, or shift some of their production capacity to the Midwest, and the Midwest in the process of undertaking the transfer and the construction of new enterprises, most of the investments are accompanied by backwardness, transformation, upgrading, introduction of new equipment, and translation of equipment. Phenomenon is not common, especially in the context of national environmental constraints and sustainable strategies, transfer and upgrade has become an important choice for enterprises since it has become a hot topic of entrepreneurship.

“China's textile and garment industry has to force the industry chain to take a new position in the competition in the international market.” Sun Ruizhe, president of the China National Textile and Apparel Industry Federation, spoke at the 2017 Jiangnan International Fashion Summit on May 21, 2011, in recent years, Vietnam, Countries such as Bangladesh have gradually increased their international market share thanks to their cost advantages and tariff advantages. Since 2010, China’s market share in the EU, the United States, and Japan has continued to decline, and orders have shifted to Vietnam, Bangladesh, Cambodia, and other countries. Therefore, the Chinese textile and garment industry needs to be embedded in the global value chain through new positioning.

For example, through the four levels of product, design, marketing and branding, restart the new connotation of “Made in China” and the cognitive model of high added value, achieve differentiated competition, and gain the status and global premium in global division of labor and trade. .

Sun Huaibin, vice president of the China Textile Industry Federation, previously talked about such a viewpoint at the 2017 National Conference on Textile Industry Transfer and Symposium on Intelligent Manufacturing and Ecological Development: The transfer of the textile industry, in which the cost element is an important driving force for the transfer. However, as far as the current domestic and international environment is concerned, this gap in the cost factor is getting smaller and smaller, the cost-driven shift is gradually weakening, and the industrial transfer should have new impetus, and intelligent manufacturing and ecological development have become more important impetuses.

Can Q3 intelligence foster a never-shifting industry for China?

The situation and task of China's textile industry to break through the low end of the value chain is very urgent.

Cao Ting-rui, head of the Textile Division of the Consumer Products Industries Division of the Ministry of Industry and Information Technology, spoke of the fact that cost-sensitive and labor-intensive textile and garment industries are inevitably subject to cost reduction and policy heights. However, the current shift in the textile industry has entered a new historical period and new developments must be explored. The methods and approaches should be based on smart manufacturing and green development, accelerate the cultivation of new kinetic energy and core competitiveness, and achieve transformation and upgrading in industrial transfer.

The new generation of information technology and production chain integration, industrial robots and full-scale intelligence have achieved breakthroughs in innovation and larger-scale applications. Industrial organization processes, industrial competition methods, and global industrial competition have also caused major adjustments in the textile industry in China and even in the world.

As we all know, the red collar was once a traditional enterprise group, in which the customization business of the garment segment achieved great success. In 2007, the red-collar business set up a new company, Qingdao Cooltech Intelligent Co., Ltd. (hereafter referred to as Cooltech). Cooltech directly connects consumers, producers and designers through the Internet, and custom-made garments can be customized from one. The custom production cycle of traditional clothing is 20 to 50 working days, and Kute has been shortened to 7 working days, achieving mass production. The "Internet+Industry" solution created by Kute's own practice has also been exported from January 2016. Currently, more than 70 companies have already upgraded and reconstructed. "There is no need to invest too much in the original foundation. You can move toward data-driven, personalized customization, mass customization, and smart manufacturing."

In fact, the value of the “Cute Smart C2M Business Model” is not limited to a clothing company, nor is it limited to the traditional clothing industry. It has important value and reference value for the traditional manufacturing transformation and upgrading.

In the industry, the forward-thinking Xiangyang textile industry has gained fame in recent years through its intelligent transformation, especially its proposed “use of intelligence to create a never-shifting industry”, which has caused industry professionals to flock to it.

The Puyang knitting industry took the lead in launching the first smart knitting industrial park in the country, the “Songyang Smart Knitting Industrial Park”. It is reported that the industrial park will establish a "cloud platform" innovation promotion model in the smart knit park to optimize the promotion effect, promote the docking of the park and the cluster, connect the cluster with the professional market, promote industrial transformation and upgrading and coordinated development, and it also aims at international Knit high-end and cutting-edge technologies, and strengthen key areas such as material design and preparation, green textile dyeing and processing, intelligent manufacturing, and deep integration of the two.

In order to strengthen the application of intelligence in the development of industrial parks, the industrial park will also promote model innovations in the Internet, big data, cloud computing, and the Internet of Things in the industry's manufacturing and business areas, and strive to create a platform for the knitting industry's ecological chain. The Internet+" idea is a one-stop platform integrating spot trading, warehousing supervision, logistics distribution, quality inspection, brand promotion and product marketing.

"The future of knitting depends on smart, smart knitting to see Fuyang," the development of positioning, is a self-confidence expression, in fact, it is also a strong sense of intelligence on the role of industrial development, a strong trust.

Looking at the entire industry, the degree of intelligence is not yet high enough. However, no matter whether it is from equipment, processes, or management, the attempt of intelligence has invariably hit the key point of industrial transfer – the common problem of rising industrial comprehensive costs. Industrial transfer is a historical law and capital pursuing profit maximization. However, whether it is a red-collar or Xiangyang, its exploration in the intelligent field has opened up more imaginative space for the sustainable development of China's textile industry. Smart is not a textile industry. The decisive factor of the industry “never shifts” but undoubtedly adds important weights.