Japan to cancel the most favored nation tariff textile industry can sonorous forward?

Release time:

2019-05-06

As we all know, the General Administration of Customs has notified that the Ministry of Finance of Japan has decided not to grant preferential tariffs on goods exported from China to Japan from April 1, 2019. On the other hand, China exports about 12 billion US dollars of goods to Japan every year, which means that the average tariff on the overall export volume rises by about 3%, and some commodities even rise by as much as 10%. This will undoubtedly add a strong fire to the textile and clothing market of "internal and external troubles.

It is understood that China's textiles and clothing showed monthly growth, but the quarterly decline. In March, textile and clothing exports 18.18 billion US dollars, an increase of 28.4 percent, of which textile exports 9.52 billion US dollars, an increase of 36.4 percent, clothing exports 8.66 billion US dollars, an increase of 20.6 percent. In the first quarter, exports totaled US $56.33 billion, down 1.8 per cent, with textile exports of US $26.9 billion, up 3.9 per cent, and clothing exports of US $29.43 billion, down 6.5 per cent.

"House leakage meets night rain". China's textile and clothing exports are facing multiple difficulties. Not only is there an unfavorable shock environment abroad, but also a series of factors such as strict domestic environmental protection inspections and increased costs. The superposition of export pressure may make this year's textile The peak season of the market no longer exists.

It is understood that in 2018, the top three exporting countries of China's textile raw materials and their products were the United States, Japan and Vietnam, and their total proportion was as high as 61%, accounting for 34%, 15% and 12% respectively. The share of Chinese textiles exported to Japan in the Japanese import market has reached more than 60%, and the consequences of such a high proportion can be expected. However, Japan has retained the GSP treatment of Southeast Asian countries such as Vietnam, Cambodia, Indonesia, and Bangladesh. This will make the import tariff rate of my country's textiles and raw materials in Japan 1.06 to 14.2 percentage points higher than the above-mentioned countries. The market will face a more severe competitive situation.

From 2017 to March 2019, China's exports to Japan as a whole showed an increasing trend, and exports to Japan in March 2019 reached nearly $1.7 billion billion, up 16.8 percent year-on-year. It is understood that Japan did not suddenly announce the end of China's GSP preferences this time. As early as November 2016, the Ministry of Finance of Japan officially announced the readjustment of the target countries of the "preferential tariff" system. The new standard removes five countries, China, Mexico, Brazil, Thailand and Malaysia, from the list of tariff reductions and exemptions for developing countries, and will fully end the GSP policy for my country from 2019. At present, a large number of domestic low-end products into Central and South Asia, textile diversion is more obvious, domestic small and medium-sized textile enterprises continue to face the phenomenon of shutdown and other elimination. The implementation of this policy is reasonable, but it still has an indelible impact on the year of the textile industry in 2019.

China's overall textile product inventory index 47.76 in March 2019, an increase of 2.9 compared to February, with cloth inventories falling 9.26 percent month-on-month in March, reducing inventory pressure compared to the previous month. According to my analysis of agricultural products, the current clothing order rate is slightly higher than the home textile market, and blended gray cloth is more favored by the market. Large weaving manufacturers of raw materials inventory mostly maintained in January-February or so, in the trend of buying with use, gray cloth tired warehouse is more serious, maintained at about 1 month. The market is expected to be weak.

At present, China's textile industry is facing the elimination of backward production capacity, the development of new market situation. For enterprises, first, we should speed up the transfer of factories to developing countries and low-cost countries that still enjoy GSP treatment; second, actively explore emerging markets to fill market vacancies; third, enhance industrial upgrading, scientific and technological development and independent brand building, increase high-quality competitiveness, and transform low-cost advantages into comprehensive advantages such as complete industrial chain, high quality and high service, Increase the gold content of your own brand.