The Advantage of Moving to Southeast Asia

Adidas evacuation effect has diffused and Chinese garment enterprises are also making relocation. After Adidas declaration of shutting up the only retail factory soon in China, , the Yang Cheng Evening News journalist learnt from 2012Liuhua Transnational Garments Day and the sixth White Horse Garments Purchasing Day that the domestic clothing industry because of increase of the cost stress has also present clothing factory until the trend of southeast Asia the day before yesterday. Numbers of Guangzhou district senior apparel sector appealed resistance to the negative impact of the economic downturn, they should enhance regional apparel brand superiority. In fact, Adidas is not the first withdrawal, as early as in 2009, Nike closed direct factory in China and moved to the lower-cost production base in Southeast Asia. International footwear giant such as Clarks, K-Swiss, Bakers compete in additional production lines in Vietnam and Indonesia. On the basis of the Nikkei news reports, the Japanese big clothing companies are also speeding the manufacturing center of gravity from China to southeast Asia.
Meanwhile, producers are also making the alike decision. Now many counterparts will move the plants to Southeast Asia. The main reason is that the labor cost there is much lower than the domestic. Such as in Vietnam, hiring a garment worker only needs 500 Yuan a month, in India as lowest as 250 Yuan every month, Bangladesh is 300 Yuan every month. However, in Guangzhou, employing an apparel staff needs to pay at least two thousand five hundred Yuan to three thousand Yuan per month . Some high-end clothing enterprises need to pay their workers a monthly salary of 4,000 Yuan. The Chairman of Vancl forecasts that by 2015 or so the clothing plants stay in China of maybe no more than 30%.
The challenges to the clothing and footwear enterprises are more than the relocation of the factory, what is more worrying is that some consumers began to pursue Southeast Asian manufacturing. A few days ago, in Guangzhou Wanguo square house outlet stores, the reporter saw that many consumer special looked for Nike sports clothes and shoes produced from Vietnam, Indonesia, India. At present some transnational big shops sign through the outlet shops the production of products sales from southeast Asia, and price is lower than domestic products by two-third, so their plan is to go low price line and hope to take up more market share.
But Chinese clothing manufacturing industrial chain superiority would not be replaced by southeast Asia recently. And more significant thing is that Chinese clothing factories should speed to create famous brand by themselves.