Fabric Products,Fabric Information,Fabric Factories,Fabric Suppliers Fabric News India’s textile industry will be hit! China announced: 97% of Bangladesh’s goods to China are “zero charged”

India’s textile industry will be hit! China announced: 97% of Bangladesh’s goods to China are “zero charged”



As the world’s second largest textile exporter (after China), Bangladesh’s textile industry accounts for more than 70% of its total exports. However, due to similar geographical location and climati…

As the world’s second largest textile exporter (after China), Bangladesh’s textile industry accounts for more than 70% of its total exports. However, due to similar geographical location and climatic conditions, the competition between Bangladesh and India in the textile industry is indistinguishable.

Recently, my country sent a piece of great good news to Bangladesh. According to the latest announcement issued by relevant Chinese authorities, starting from July 1, 2020, 97% of Bangladesh’s taxable products exported to my country will enjoy the “zero charge” treatment.

Data show that from January to September last year, my country’s total imports of goods from Bangladesh reached US$790 million, a year-on-year increase of 7.2%. Textiles are also the country’s main export product to China. In the 2017-18 fiscal year, the country exported $233 million worth of apparel goods to China. In addition to China, the European Union, the United States, Canada, etc. are also important export markets for the country. As textile orders continue to increase, the country is also very optimistic about its export prospects – Bangladesh has previously set a goal of reaching US$50 billion in apparel exports in 2021.

It is worth mentioning that as my country’s manufacturing industry has sought transformation and upgrading in recent years, many clothing brands have sought to open factories overseas to achieve cost benefits. This also means that after the implementation of the above preferential measures, Bangladesh will be able to attract more Chinese companies to invest and build factories there.

Data show that from January to September 2019, Chinese companies invested US$270 million in Bangladesh, a year-on-year increase of 123.3%. Xinhua reported at the end of last year that the Minister of Commerce of Bangladesh said that China is Bangladesh’s largest source of foreign investment and welcomes more Chinese investors to invest in Bangladesh.

However, this time China extends an olive branch to Bangladesh for cooperation. As its important competitor, India’s textile industry may not have a good time. It is reported that the textile industry is an important industry for India’s manufacturing industry. In fiscal year 2018, textiles and clothing accounted for 12% of India’s exports. However, due to the impact of the epidemic, the Clothing Manufacturers Association of India (CMAI) stated in mid-to-late April that without government support, the textile industry may lay off 10 million people during the year.

What is even more surprising is that seeing its own textile industry facing difficulties, India’s first reaction was not to seek to expand cooperation, but to launch an investigation into other countries’ textile materials. According to an announcement released by the China Trade Remedy Information Network, on May 21, 2020, the Indian Ministry of Commerce and Industry announced its decision to launch an anti-dumping investigation into polyester yarn products originating from China, Indonesia, Nepal, and Vietnam.

Data show that textiles and raw materials are the top three categories of products exported by India to China. Now that our country has reached cooperation with Bangladesh, if India continues to make relevant moves, I am afraid that it will completely lose its advantage in the competition with Bangladesh. </p

This article is from the Internet, does not represent Composite Fabric,bonded Fabric,Lamination Fabric position, reproduced please specify the source.https://www.tradetextile.com/archives/35281

Author: clsrich

 
Back to top
Home
News
Product
Application
Search