FW
Vietnam, Taiwan organise forum to promote textile cooperation
The Vietnam Chamber of Commerce and Industry recently collaborated with the Chinese National Federation of Industries to organise the Vietnam-Taiwan Industrial Collaboration Forum. The event will connect leading enterprises in the fields of textile, light industry, automation, smart city and other applications. At present, the most intimate textile exchange and trade is happening between Taiwan and Vietnam. In future, the two parties will exchange newest international fashion trend, of which, Taiwan will introduce the highest quality nano-fabric researched and developed by Taiwanese firms to Vietnam, promoting the cooperation between two sides to come into reality.
Vietnam is the largest importer of Taiwanese-made fabric while Taiwan is the second largest territory in importing garment products of Vietnam with import turnover at nearly $400 million last year. As the price of Taiwan’s functional fabrics is higher than that imported from China, so export value of products made of Taiwanese functional fabrics will increase, helping Vietnam to hold a key position in global supply chain.
Pakistan: Introduction of sales tax shuts down textile units
The business of wholesalers and retailers associated with textile processing mills has come to a standstill after the government introduced a sales tax of 17 and 20 per cent on the textile sector. APTPMA Chairman Mohammad Arif Lakhani held an emergency meeting which unanimously passed a resolution demanding an extension for sales tax implementation on CNIC basis besides continuing SRO1125 and zero rating till July 31, 2019. The association also asked the government to find a solution for sales tax issue by July 31 after holding negotiations with dyeing and weaving sectors along with textile retailers and wholesalers.
APTPMA former president Zubair Motiwala said imposition of 17 per cent and 20 per cent sales tax along will decline exports by 30 per cent. The Lahore Chamber of Commerce and Industry (LCCI) also warned the government that trading activities will come to a halt if the condition of disclosing CNIC details of sales to unregistered persons is not delayed for at least one year.
Under an amendment introduced by the government in the Sales Tax Act, sellers are required to include the buyer’s CNIC number on the sales tax invoices. However, the business community believes that this condition would result in a potential misuse of CNICs and can be used in fraudulent transactions of billions of rupees as reported from time to time.
DuPont’s Sorona can replace spandex
DuPont Biomaterials’ Sorona fiber has unique stretch applications. Garments today no longer need spandex for athletic movement. Sorona fibers are a replacement for spandex (or elastane), achieving long-lasting, mechanical stretch and recovery with a better-for-the-planet profile. Sorona fibers are bio-based, use lower dying temperatures and are recyclable unlike bamboo or rayon. Sorona can be used as a standalone elastane alternative – one that does not breakdown over time with heat, washing, UV rays, or chlorine exposure and is recyclable in any normal polyester recycling stream. With mechanical stretch and recyclability at its core, the Sorona brand is offering innovative solutions to this industry-wide challenge. Whether incorporated into yoga tights or a luxury gown, Sorona fiber’s versatility and mechanical, long-lasting stretch make it an excellent replacement for spandex.
Companies which are into knit fabrics, denim fabrics or woven fabrics utilise textured yarns to provide the fabrics optimal stretch performance. These fibers are 37 per cent bio-based and can be used in a variety of applications, including seamless knitted T-shirts and other apparel as well as knitted footwear. Australian brand Think Love Live’s Serotonin shorts and Endorphin tights are made from 70 per cent lyocell and 30 per cent Sorona fibers for optimal comfort and stretch.
Pakistan welcomes Chinese investors
Pakistan is attracting Chinese investment in the textile sector. This includes the whole value chain of textiles, from cotton to garments. The Chinese are already cooperating in manufacturing of polyester yarn in Pakistan.
For instance Chinese private textile company Challenge Apparels will establish a state-of-the-art garment manufacturing facility in Pakistan. The aim is to enhance Pakistan’s exports and help generate thousands of new jobs in the country over the next couple of years. Challenge Apparels is among the leading exporters to top brands around the world, especially in developed countries.
Pakistan is facilitating investors through various reforms and hopes to benefit from the US-China trade war. If businessmen from China bring fabrics to Pakistan for making the finished products, and export those to the US, then they will not only able to maintain their client base but Pakistan will also benefit. Enabling Chinese textile exports this way will give a boost to Pakistan’s exports and deal with the balance of payments situation. When Chinese businessmen carry out their exports jointly with Pakistan, making use of the raw materials as well as Pakistan’s human resources, it will add to the earnings of Pakistan. Also China is helping Pakistan's spinning mills become more cost efficient and competitive.
Orta works toward transparency
Orta Anadolu is on a mission toward greater sustainable denim manufacturing. With the help of Better Cotton Initiative, Orta is contributing towards a sustainable shift. The Turkish textile manufacturer is contributing to a more ecologically sound denim supply chain. One of the ways is by using a washing-machine filter that captures micro-plastics, eventually allowing enzymes to consume the collected waste. Stepping outside the larger format of trade shows and forums, the company is connecting with brands on a more personal level. Believing in the power of collaboration, it wants everyone in the entire value chain to work together. The mill is educating its brand partners regarding greener denim throughout the product lifecycle.
As a part of its push to promote an eco-friendly industry, Orta is using technology to facilitate connections along the supply chain and implementing changes to remain transparent. Using a Lifecycle Assessment QR code printed on its labels, Orta leads its brand partners through its denim sourcing, affording greater insight into how its textiles are produced.
Utilizing more sustainable raw materials at the beginning of the supply chain and less harmful processes during production is a major concern for many denim textile manufacturers and jeans brands.
Germany to host cellulose fiber event next February
A conference on cellulose fibers will be held in Germany, February 11 to 12, 2020. The conference will cover the entire value chain of cellulose fibers from lignocellulosic feedstock, dissolving pulp, cellulose fibers – such as rayon, viscose, modal or lyocell and new developments – to a wide range of applications, woven textiles (clothing) and nonwovens (wipes and technical applications), as well as micro- and nanocellulose for food, cosmetics and pharmaceuticals. The aim of the event is to gather together technology providers and developers, academia and industry, pulp, fiber and equipment suppliers, retailers and textile brands, policy makers and investors to debate recent market dynamics, in other words, all developers, producers and players in the value chain of modern cellulose fibers.
Cellulose fibers are a success story within the textile market with a cumulated annual growth rate of at least ten per cent over the last ten years. This makes them the fastest growing fiber group in the textile industry and also the largest investment sector in the bio-based economy worldwide. The high growth rates are driven by the demand for natural fibers (and bottlenecks in cotton), the microplastic problem and possible bans for plastic fibers. All three drivers will continue to play a significant role in the future development of the sector
Forever 21 downsizes stores in the US
Forever 21 is downsizing some of its biggest stores at malls across the US. Its store count swelled from 480 stores in 2010 to 600 stores in 2014 to 800 stores in 2018. The once-hot retailer is grappling with a sales slump as mall traffic declines and teens gravitate toward other fast-fashion outlets and online-only retailers. Sales dropped by 20 per cent or 25 per cent last year. The average size of a Forever 21 is now 21,000 sq ft, which is nearly half the average of 38,000 sq ft still listed on its website.
As Forever 21 supersized its stores, it filled them with a growing array of merchandise, expanding into children's, men's, plus sizes, intimates and athleisure. However, the company struggled to gain traction among a wider group of customers. In an effort to be everything to everyone, it ended up being nothing to anybody. It also cannibalized sales from some of its existing stores while adding to its fixed overhead costs.
Customers complain there aren’t enough employees on the floor available to help and that they often find entire sections of dressing rooms closed off and cash registers that have been shut down. The company pulled the plug on its China operations earlier this year. It has also been closing stores in the United Kingdom.
Flag clothing gains popularity in USA
Even though Nike has recalled its “Betsy Ross” American flag sneakers, shoppers looking for flag-adorned clothing in stores have plenty of other options as the trend of flag clothing is quite popular in the USA. Nike had intended to release a pair of Air Max 1 Quick Strike sneakers for the fourth of July that featured a 13-star flag, commonly linked to Philadelphia seamstress Betsy Ross, but later halted distribution based on concerns that it could unintentionally offend and detract from the nation’s patriotic holiday.” But when shopping for their Independence Day outfits, consumers should also remember a little known fact: Under the U.S. Flag Code, any clothes with the flag on it are technically illegal.
However, Nike’s idea for a flag-adorned shoe is very much on trend with fashion as there has been a growing interest in classic apparel that can be worn for a long time. Consumers are buying apparels with the flag or its colors for a timeless look. Last week, Gap-owned Old Navy unveiled a collection of purple T-shirts with a flag across the front. The color of the shirts is a blend of blue and red, meant to symbolise unity between the country’s political parties. The brand has also relaunched its flag tees that were originally launched in 1994.
Tommy Hilfiger also plans to relaunch seven pieces from its 90s collection, with items featuring its iconic flag logo and red, white and blue color panels.
Fast Retailing teams up with UN Women to launch empowerment program
Fast Retailing in partnership with UN Women will champion women’s rights and empowerment in the apparel industry. This is the first formal alliance between UN Women and a clothing company based in Asia. Under the new partnership, Fast Retailing and UN Women will together promote safe and secure work environments, and advance empowerment for all women and girls. The scope of the partnership is to jointly implement a program for female workers in garment factories in Asia, Fast Retailing’s main production hub. The partnership also comprises a management training program to further diversity at the company. The project will target partner factories in Bangladesh, China and Vietnam, to identify specific local gender-based challenges that female factory workers face. A support program will be developed to provide specialised training for female workers selected from 200 partner factories in the three countries.
Women comprise the majority of workers in the garment sector, but too often they are segregated into lower paying jobs that offer little chance for advancement. Men occupy the majority of leadership roles, such as line supervisors and managerial positions. Moreover, female workers are often hampered by gender occupational segregation, pay wage gaps, and gender-based recruitment bias, making it more difficult for them to develop sustainable and fulfilling careers.
Companies quit Vietnam over costs
Vietnam’s labor costs are rising. Hence, international apparel makers are slowing down and in some cases, completely halting expansion in the country. Some are now focusing on Indonesia, which is expected to become a significant production base in three to five years.
Manufacturers are worried the US-China trade war will further push up labor costs since tech giants are shifting production out of China to avoid US tariffs. Vietnam has traditionally attracted foreign manufacturers due to its low-cost labor and availability of natural resources but its low cost appeal is waning. Its minimum wage grew at an average of 8.8 per cent a year between 2015 and 2019, making it one of three countries with the highest minimum wage growth in southeast Asia. This, together with robust economic growth and the rising costs of living risks exacerbating regional wealth inequality, has emboldened workers to demand for higher minimum wages. Vietnam raised its minimum wages by an average of 5.3 per cent last January. Along with rising costs, one of Vietnam’s weaknesses is the lack of skilled workers. It is far behind China, Singapore, Malaysia, and Thailand in this aspect at a time when developing a highly skilled workforce is critical for attracting FDI into value-added industries.












