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How is the China Textile trends are depleting ?

China is the undisputed giant in the field of textiles and apparel market since after 1980. China has contained 40% of market share in the worldwide textile market. Till 2017 China has done the export of $200 in the worldwide market. There is low manufacturing cost, efficient workforce, low manufacturing cost etc reasons which are responsible for making China a no 1 giant to Indian Textiles. But from some time the condition of China is continually changing after since the 2008-09 slow down.

What are the major reasons of the downfall of the Chinese textile industry ? –
Growth of domestic demand –
The domestic demand of textile and apparel products is increasing at the speed rate of 15% and this growth is seemed to be increasing in the next upcoming years. If the demand of the domestic import will be increasing then it will definitely increase the pressure on the supply chain management system of China and it can definitely affect the export rate of the country. It can be daunting for the country economy and a growing opportunity of the competitor company.

High wage rate –
One of the major reasons of the growth of the Chinese economy is the low manufacturing cost and low per capita individual income. But the increasing expected wage rate can make the opposite situation as well for the chinese economy. Due to low wage rate the interest of people is continually decreasing towards the manufacturing and production field and is increasing towards the other field.


Increasing focus towards the value added segments –
As the manufacturing rate and production cost will be rapidly increasing in the economy then it will be definitely shrink the margin value of the profit and other revenue models. To remain competitive in the long run, they will definitely concentrate on the other alternative areas of technology and artificial intelligence and the export rate will shrink.

Relocating and outsourcing the manufacturing industry –
There are many asian countries like India and other neighbour countries where the manufacturing rates and costs are low. China is predicted to make the official agreements with these countries to cover their manufacturing demand and supply management system and the profit margin of China in the international market will shrink.

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