More than 400 participants attended the three-day 2019 International Congress of Textile Innovation for Sustainable Development that was held in Lima, Peru, from April 24– 26. The congress provided a good venue for networking and discussing the US Cotton Trust Protocol with trade and global industry experts. Cotton Council International (CCI) participated as an exclusive sponsor in the fiber category.

Speakers from Germany, Italy, France and the US shared latest industry development news, trends and technologies, challenging the Peruvian textile industry to think about how to compete in the global economy. Andrew Jordan, on behalf CCI, conducted a presentation addressing the US Cotton Trust Protocol and a recent micro-fiber study. The attendees received updates on improvement progress from the U.S. cotton industry, the US cotton industry’s commitment to building on its legacy of stewardship, as well as transparency and trust from the farm to the customer. CCI also shared a presentation on the Cotton USA licensing program and the participating global brands.

Representatives from leading companies such as Creditex, Nettalco, Topy Top, Tejidos San Jacinto, Peru Fashions, Textil Romosa and La Colonial attended the event. In addition, Jordan held seven face-to face meetings with US cotton fiber buyers and export manufacturers during the week in order to listen to them and ask them about concepts related to the U.S. Cotton Trust Protocol and gauge what the industry considers valuable.

The United States has escalated its trade war with China. The higher tariffs will be applied to relevant US-bound goods exported from China. Tariffs on targeted exports have increased from ten per cent to 25 per cent. China has pledged to take counter measures. The tariff hikes could hit growth in both economies and drag down global growth. US importers received just five days’ notice about the sudden rise in penalties. The tariff increase is seen as inflicting significant harm on US industry, farmers and consumers, decreasing the competitiveness of American companies and reducing the efficiency of their global supply chains. A 25 per cent tariff on apparel imports is expected to increase costs for a family of four by 500 dollars a year.

The US’ decision to impose new taxes on Chinese exports comes after the United States accused China of backtracking on commitments made during recent negotiations on trade. China has been accused of unfair trade practices, particularly with regards to access to its giant market, intellectual property and technology transfers.

The dispute has hurt Chinese exporters, damaged some US companies and slowed global growth since it began last July. The risk of a complete breakdown in trade talks has increased. Global stock markets have endured a week of extreme volatility.

In 2018 US textile and clothing imports rose in value terms to their second highest level on record and in volume terms to a record high. Within 2018 total, imports of fabrics, made-up textiles and apparel reached record highs in volume terms. Apparel continued to account for the biggest share of total imports. However, its share was down to its lowest level in several years. By contrast, there were significant increases in the shares of yarns, fabrics and made-up textiles. Meanwhile, the average price of US textile and clothing imports fell for the seventh year in succession to a record low—reflecting primarily a decline in the average price of imports from China.

In terms of fiber type, manmade fibers accounted for the largest share of US apparel imports for the fifth consecutive year. China remained by far the USA’s biggest textile and clothing supplier. Furthermore, its share of total US textile and clothing imports reached a record high in volume terms, although in value terms its share fell. Cambodia and Italy both increased their shares of US textile and clothing imports in value and volume terms but Honduras, Indonesia, Mexico and Pakistan suffered declines. Bangladesh, India and Vietnam, meanwhile, more or less maintained their market shares during the year.

The rapid deterioration of relations with the US has caught Chinese businesses off guard. Many companies find it difficult to shoulder the huge additional costs and lack viable options to immediately modify their supply chains. Some export industries in China will be hit harder than others with electronics, computer circuit boards, computer parts, furniture, floor coverings and automotive parts disproportionately burdened by the increased tariffs.

The US has increased tariffs on $200 billion worth of Chinese products from 10 to 25 per cent. Many businesses in China are already struggling to stay afloat since the US imposed 10 per cent tariffs in September last year. They say, while they tried to share these costs with their US counterparts, they will now have no choice but to pass on a significant proportion of the latest tariff increase to their customers. The uncertainty and volatility created by the trade war has led to businesses delaying investment and expansion plans. Some Chinese manufacturers have adjusted their supply chains by moving manufacturing and warehousing to south-east Asia, Mexico and Canada. But uprooting supply chains is costly, time-consuming and usually requires companies to obtain new approvals, comply with different regulatory regimes, secure real estate, build factories, hire workers and find new suppliers and service providers.

A Chinese firm, Pink Mango, will establish a garment factory in Rwanda. The investment will not only enable the central African country to increase its exports but also reduce imports of clothing as the country has been using fiscal measures to progressively discourage the import of secondhand clothes.

The factory to be located in a special economic zone will produce garments for both the domestic and export market. The Chinese firm is expected to provide 7,500 jobs for Rwandans by the fifth year and create cumulative export earnings of 20 million dollars over the next five years. It is also expected to build capacity and skills transfer to 500 workers of local garment cooperatives, who will also benefit from some of supply contracts through an outsourcing model. The investment of the Chinese firm will upskill Rwandans, giving them access to productive jobs and hence ensuring them have a better standard of living.

The United States has suspended duty-free status for Rwandan apparel products under the African Growth and Opportunity Act. The reason was the African nation’s refusal to lower trade barriers for American-made clothing and shoes. Rwanda was among three East African nations—the others are Tanzania and Uganda--that banned imports of used clothing and shoes from the US.

Bonas will be present at Itma, Spain, June 20 to 26, 2019. A total of 10 jacquards will be operating on advanced weaving machines throughout the show. A multitude of colors in both warp and weft can be expertly intertwined to produce top quality flat woven carpet, as will be demonstrated by a Bonas Si21 on top of an Itema R9500-2 rapier machine.

Bonas supplies shedding systems to both the flat weaving and carpet weaving industries worldwide. Another Si21 on top of a Picanol Optimaxrapier will prove the smooth and low vibration running of this 21,504 hook jacquard at high speeds. Both jacquards are driven by the revolutionary smart drive, directly mounted to the loom and eliminating the need for a gear box. Total flexibility in both warp and weft is no longer a dream with the end-to-end control that Bonas will show with the successful Ji5 on a 190cm Smit ONE, without a warp beam. This provides total flexibility in weft and warp yarn composition, raw material and thickness. Difficult yarns in weft and simple yarns in warp without compromising on creativity allow the customer to always run at full speed without warp breakages or tension problems. Individual warp end control gives free rein to creativity.

A new study from DiCentral, a B2B managed services provider, and the Center for Supply Chain Research at Lehigh University, details the supply chain impact felt by retailers and manufacturers in the rapid development of e-commerce. The whitepaper, “Supply Chain Collaboration in Transformative Vertical Industries: Implications of Omnichannel and Dropshipping,” examines the motivations, challenges, benefits and supply chain implications of online shopping and home delivery from the perspectives of some 180 C-level executives and senior managers in retail and consumer product goods manufacturing.

Study participants shared the operational and financial implications associated with the shift from traditional brick-and-mortar stores to online e-commerce. These challenges are particularly acute in home delivery and order fulfillment models, where products are shipped directly from the manufacturers and the retailer no longer carries the physical inventory.

The study also shows efforts being made to keep up with the pace of change, the technological investments necessary to accommodate them, and the benefits and risks associated with this new online retail reality. The study suggests retailers and manufacturers who have adopted a high degree of digital collaboration have benefited most from dropshipping.

Spinnova has developed technology for spinning textile fibers out of wood and waste stream-based cellulose. Unlike the toxic viscose process, this sustainable process involves no dissolving or other complex chemicals. Also, the fiber has a uniquely small footprint and opportunities for circular fiber production are created. Likewise, this ground breaking technology also offers an alternative to the use of cotton, which is a strain to both land and table waters. This is resource efficiency at its best and also creates a value-added product that is attractive to the consumer, while mitigating climate change. In future, the biomass can be used to produce energy and textile fiber. Thus this will cater to the world’s biggest problem, a growing population that requires more and more natural resources to produce food and clothes.

Spinnova, a Finnish sustainable fiber company, is building a bio-based ecosystem for converting agricultural waste such as straw into textiles. Moreover, Spinnova is also in the process of commercialising its virgin wood-based cellulose fiber product with pulp producer Suzano. The new pilot factory marks a major step towards large-scale production of sustainable cellulose fibers. Spinnova has teamed up with clean energy firm Fortum. This has been piloted using innovative raw materials, especially agro residues.

Vietnam’s exports to Eastern Europe account for nearly three per cent of its exports. The potential not with standing, Vietnam has difficulties in exporting to Eastern Europe, including payment issues, inconsistent regulations in these countries, small size of orders, and lack of market information. Eastern Europe is Vietnam’s traditional and important market. The two sides have created solid legal frameworks for bilateral co-operation. Eastern European markets offer great potential to exporters given their relatively high GDP growth and less stringent quality requirements compared to western European countries.

The proposed EU-Vietnam free trade agreement would further boost trade between Vietnam and Eastern European countries, especially key Vietnamese exports such as seafood and vegetables, fresh and processed fruits, electronics and electronic components, textiles and footwear.

Trade between Vietnam and Russia is up 16.4 per cent from 2017 and 58 per cent from 2016. While Russian exports to Vietnam are growing faster every year, in Vietnam’s case it is slowing down. A change in Russian consumption habits and the less competitive prices of Vietnamese seafood are among the reasons. But Russian businesses want to move their garment and textile factories from China to Vietnam. Others are subcontracting Vietnamese clothing and leather shoe companies. This is a good opportunity to increase Vietnamese garment exports to Russia.

Piave Maitex will launch a jersey line combining functionality with sustainable features. The two main elements in the line are the premium stretch fibre Roica EF and perpetual. Both these are premium Global Recycled Standard (GRS) certified sustainable ingredients. Roica EF is part of the Roica Eco-Smart family, constructed with more than 50 per cent pre-consumer recycled content, and perPETual is high-quality sustainable polyester born from a cost-effective process that reverses engineer consumer waste PET bottles.

Piave Maitex is an Italian knitted fashion fabrics producer. Starting from two key high-tech, responsible raw materials, as demonstrated by the GRS certification, the manufacturer has managed to create and deliver three unique functional fabrics, dyeable and transfer printable, that perfectly combine creativity, innovation, real performance and sustainability all at once offering unparalleled comfort, performance, and tenacity. Piave Maitex was among the first textile manufacturers in Europe to get the certification of the quality system for the production and design of elastic fabrics. Piave Maitex is one of the major European producers of elastic fabrics, underwear fabrics and sportswear fabrics. The company’s offer has been enriched to cover a wider range of applications, while staying true to its DNA that revolves around quality, performance and innovation.