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Korean conglomerate Hyosung is setting up a spandex yarn factory in India. The Hyosung is known for its spandex brand Creora, which has about a 50 per cent market share in India. Market demand gas pushed Hyosung to set up a new factory in India. Hyosung sees India among its top five spandex markets with sustained growth. Hyosung grows about eight per cent a month in the Indian market, which has led to more than 50 per cent growth a year.
Hyosung is the largest producer of spandex in the world with its Creora brand. It expects to reach 2,30,000 metric tons by the end of this year. Creora is being used for intimate wear, denim, knitwear, woven garments and swimwear. Creora has many classified products to meet apparel mills’ requirements.
In India, the company is working with manufacturers engaged in producing woven, denim, knitted, narrow fabric elastic, warp knitting textiles and diapers including Vardhman, Ginza Industries, Pratibha Syntex, Maral Overseas and many others. The primary mission of the group is to support the growth of Indian and southeast Asian textile manufacturers through new products, exceptional service and trend presentations.
The spandex market in India is growing continuously as the demand is driven by increasing consumer awareness about healthy lifestyles and the demand for comfort in various kinds of apparel, including denim.
G-III Apparel’s Q2 net sales increased by 21.6 per cent, the jump follows 16 per cent jump in sales for the first quarter of 2018.
The apparel group’s portfolio includes brands such as Donna Karan, GH Bass, Andrew Marc, Marc New York and Jessica Howard as well as licenses operated under brands such as Calvin Klein, Tommy Hilfiger, Karl Lagerfeld Paris, Kenneth Cole and Ivanka Trump.
G-III intends to reduce operating costs through store closures. In its own retail operations, it expects to improve performance through store rationalization, better merchandising and expense reductions. It believes it can mitigate the pressure on its retail results while reaping the benefits of an exciting new phase of wholesale growth as it looks forward to a successful second half of the year.
Going forward, G-III expects to see transitional costs of approximately $8 million related to the Donna Karan acquisition. It also attributed the second quarter’s net loss of $8.6 million, up from $1.3 million in the same quarter in the previous year, to the Donna Karan deal.
The group is positioned to provide exciting new assortments to a range of retailers and to demonstrate leadership in the industry at a critical time.
Gap is shifting focus to growth. It will now leverage its iconic brands and scale to deliver growth in online and mobile channels, US store expansion, and continued market share leadership in loyalty categories. It will simultaneously increase its presence in more profitable value and online channels while continuing to shed square footage in lower productivity specialty locations.
Among Gap’s brands are Old Navy and Athleta. Over the next three years, the company expects to add about 70 net new stores. The company has built a profitable online and mobile business with double-digit sales growth and industry leading capabilities. Gap sites are built on a proprietary e-commerce platform that enables wide-ranging capabilities, including cross-brand shopping, omni-channel services, and an upcoming buy online, pick-up in store service as well as a new personalization engine powered by customer data.
Over the next three years, Gap will accelerate this work with continued investment in areas like direct fulfillment capacity, loyalty, personalization, omni-channel services, artificial intelligence and other data-driven customer experiences.
Taking advantage of Gap’s scale creates an opportunity to drive greater efficiency, speed and profitability. The company will leverage its size and scale, cross-brand synergies and streamline operations and processes. The company plans to reinvest a portion of productivity related savings in its growth initiatives, providing opportunity for margin expansion.
The US may exit Korus, the free trade agreement it has with South Korea. Under Korus the US and South Korea had agreed to cut tariffs on roughly 95 per cent of the consumer and industrial products they trade. Apparently the United States is considering stopping all trade with any country doing business with North Korea. For the year ended June 2017, the US imported roughly $620 million in yarns and fabrics under Korus, which amounts to 28 per cent of total yarns and fabrics the US imported under free trade agreements in the period.
South Korea remains one of the top five sources of yarn and fabric imports, used for manufacturing operations in the US. Over the same period to June, apparel imports under Korus amounted to $186 million, roughly 1.4 per cent of total apparel imports under FTAs, more than two-thirds of which is synthetic apparel.
Though South Korea isn’t among the top sources of footwear for the US, imports of shoes from the country increased upward of 58 per cent between 2011 (before Korus was implemented) and 2016. South Korea also happens to be among the top sources of socks for the US, so that market could take a hit, too.
Yarn Expo will be held in China from, October 11 to 13, 2017. In response to the strong demand for fiber and yarn products in China and the Asian region, Yarn Expo will double its exhibition space and accommodate around 500 global yarn suppliers from 13 countries and regions.
Yarn and fiber manufacturers have endeavored to introduce green products into the early stages of textile production. Yarn Expo, as the leading yarn and fiber business platform in Asia, serves as an ideal stage for these suppliers to gain exposure to buyers looking for such products.
Chemical fiber products with innovative, eco-friendly and health and comfort properties are on offer from exhibitors. Visitors can gain insights into product trends in these areas from the 2017/18 China Fiber Trend Area and Innovative Textile Material Forum, both of which feature in the Colorful Chemical Zone.
The Natural Cotton Yarn Zone is another highlight of the three-day show, where exhibitors will showcase their natural cotton yarn and a range of functional products. Around 50 suppliers will also showcase their latest collections in the expanded Fancy Yarn Zone. The Birla Planet Pavilion will feature three of the Birla Group’s fibers – Birla Viscose, Birla Modal and Birla Spunshades.
Bangladesh’s earnings from exports to the US grew 17.94 per cent in July compared to the corresponding month of the previous year mainly due to the good performance of the readymade garment sector. The US is the largest export destination for Bangladeshi products.
During the period, around 26.61 per cent of the country’s total woven garment exports entered the US market followed by knitwear at 9.81 per cent and home textiles at 15.15 per cent. Overall export earnings of Bangladesh in the last fiscal year 2016-17 totaled 34,835.09 million dollars against the strategic target of 37,000 million dollars, which is 5.85 per cent short of the strategic target.
Export earnings from the US, however, witnessed a 6.01 per cent fall during the last fiscal compared to 2015-16 mostly due to the moderate performance of the readymade garment sector. Bangladesh has a target of earning $50 billion from readymade garment exports by 2021. The readymade garment sector is a vital industrial sector of Bangladesh which is immensely contributing to the country’s export earnings, employment generation and value addition. Contributing approximately 80 per cent of the country’s total export earnings, Bangladesh is the second largest apparel exporter in the world, next to China.
Swedish fashion retailer H&M looks to become a pan India player it is stepping up its expansion plans with four new stores slated to open this month in tier-II cities. H&M, which is two years old in the country, currently has 17 stores and looking to end the year with 25 stores.
After metros, H&M is getting into tier-II cities such as Indore, Coimbatore and Amritsar where stores are smaller in size 18,000 to 19,000 square feet about 30 per cent smaller than its stores in Mumbai.
H&M main rival Zara whose parent Inditex has 21 stores in eight cities and plans to open two-three stores a year going ahead.it has a JV with Tata owned Trent, opened its first store in the country in 2010.
According to the company sources, H&M's store in Indore will be opening on September 16 at Treasure Island Next followed by Prozone Mall in Coimbatore on September 22 and Woodburn Central in Kolkata on September 23. H&M will also open its first store in the Mall of Amritsar on September 30.
The report also stated that, H&M posted a net profit of Rs 1.4 crore on net sales of Rs 194 crore for the period October-March 2016. It posted sales of Rs 435 crore for the six-month period from December 2016 to May 2017, which is 161 per cent higher than corresponding period.
"As per recent American Apparel and Footwear Association (AAFA) data, the US apparel and footwear industry contributed $383.6 billion in retail sales to the US economy. According to AAFA, the industry continued to be in a deflationary market for apparel during the past decade, with per capita consumption of apparel in volume terms down 2.5 per cent in 2016. The actual domestic production of apparel and footwear has risen by more than 50 per cent from its lowest point in 2009 but this increase didn't move the percentage share of the total market in ‘Made-in-America’ goods significantly."
As per recent American Apparel and Footwear Association (AAFA) data, the US apparel and footwear industry contributed $383.6 billion in retail sales to the US economy. According to AAFA, the industry continued to be in a deflationary market for apparel during the past decade, with per capita consumption of apparel in volume terms down 2.5 per cent in 2016. The actual domestic production of apparel and footwear has risen by more than 50 per cent from its lowest point in 2009 but this increase didn't move the percentage share of the total market in ‘Made-in-America’ goods significantly.
Many surveys have highlighted Americans prefer ‘Made in America’ products and are willing to pay a premium for them. Cotton Incorporated’s Lifestyle Monitor Survey found more than half of all consumers (55 per cent) say it is ‘very or somewhat important’ that the apparel they buy is made in the US and those in the prime ages for apparel consumption, consumers aged 35-to-70, are significantly more likely to prefer made in America (66 per cent versus 40 per cent).
Globalisation a decisive factor
Rick Helfenbein, President & CEO, AAFA, points out globalisation is a critical factor when looking at these statistics. Around 95 per cent of the planet’s clothes-wearing population live outside of the US. This is a significant consideration when developing sourcing strategies. It is important to remember that apparel and footwear is a global business. Apparel and footwear companies need to determine the best way to source their product. This means keeping in mind the location of materials, the quality of craftsmanship, and the final cost for the end consumer. Through the years, this has meant diversifying supply chains around the world to meet this mix of needs.
Giving a holistic perspective on sourcing, he said when a product is imported from China, it is assumed that 100 per cent of the value of that product went to the Chinese. This ignores the fact that 70 per cent of the value of the product is America-made, be it the design, marketing, intellectual property, etc. The fact that products based on American ingenuity are imported into countries throughout the world, would thus mean that imports are actually very good for the US economy. He further admitted that manufacturing jobs left the US because of the ‘-ations’ – automation, innovation, globalisation, over-regulation. To increase jobs in the US, there needs to be investment in the other ‘-ation’ – education – to prepare for the jobs of the future.
Creating jobs
Helfenbein says, if the US has to make more products, there are several groups and companies that have made major strides in automating the supply chain, especially in the footwear space. As for creating more jobs for Americans, the answer lies in employing Americans on the intellectual and information-side of the industry. The better route is to create more jobs elsewhere in the industry, such as design, marketing, logistics, R&D, tech jobs, etc., that are higher paying and play to the strengths of the US job market.
The industry will increase its contribution to the US economy by focusing on two factors: opening new markets to American products by removing trade barriers, and protecting the intellectual property produced and owned by American companies. One must focus on ‘Created in America’ tag rather than ‘Made in America’ and that’s where the real difference would lie.
LYCRA has teamed up with Who What Wear, a leading fashion editorial and shopping website, to showcase the FALL DENIM EDIT featuring 2017’s most fashionable and technically savvy jeans for women. What makes the featured jeans unique is the inclusion of LYCRA dualFX technology, the key ingredient that allows denim to keep its shape, all day, every day. Who What Wear is a leading fashion editorial and shopping website among millennials. It will promote jeans by leading brands including Citizens Of Humanity, Frame and Joe’s Jeans. What makes the featured jeans unique is the inclusion of Lycra dual FX technology, the key ingredient that allows denim to keep its shape, all day, every day.
This unique innovation offers women enhanced comfort and exceptional fit that they desire in jeans across a range of styles and finishes--from distressed vintage to more contemporary skinnies.
Invista is the owner of the Lycra brand and long an innovator in comfort, style and fit. Lycra dual FX technology achieves its long lasting shape retention by combing two Lycra brand fibers into a single resilient yarn. One Lycra fiber adds stretch to denim, and the second lycra fiber ensures it always snaps back to its original shape. The two fibers work in tandem to create stretch denim fabrics that won’t stretch out. Who What Wear knows millennial fashion well and has created a platform that makes it easy to learn about the latest denim fashions and innovations. It even provides links to make an instant purchase on any device.
Asia’s first Fashion Summit aims to make Hong Kong industry sustainable The influential decision makers in the Hong Kong fashion industry came together today to officially announce the Asia’s first and largest sustainable conference dedicated to driving positive and sustainable change in the global fashion industry. Fashion Summit (HK), the largest two-day conference on driving sustainable fashion initiatives opened today, to be held on two days Sept 7-8 at the Hong Kong Convention and Exhibition Centre. The theme of Fashion Summit (HK) 2017 is “Fashion Summit – Zero Impact”, to discuss tomorrow’s sustainability solutions for fashion.
The conference aims to raise understanding and awareness on the role of the Hong Kong fashion industry in leading the charge for revolutionary change, and the critical role Hong Kong can play in driving sustainability. The objective of Fashion Summit is to increase environmental protection awareness of public and provide a sharing platform of sustainable fashion development. It brings together a panel of leading academics, key players from the fashion industry, NGOs, media, decision makers and leaders from across discipline and geographical boundaries to exchange insights on the latest sustainable fashion trends, technology, best practice, solutions and opportunities.
The Fashion Industry’s Impact on the Environment
Fast fashion and a throw away consumer culture are the main culprits when it comes to fashion waste, causing overproduction, overconsumption and excessive refuse. The fashion industry is said to be the fifth most polluting industry in the world after oil, with global consumption of clothing and footwear expected to increase by 63 per cent by 2030, from 62 million tonnes today to 102 million in 2030 . With 150 billion new garments are produced every year, 15 per cent of textiles intended for clothing end up on the cutting room floor . Closer to home, Hongkongers spend an estimated total of HK$25 billion a year on clothes, with the average Hongkonger spending around HK$10,000 a year on clothes . Furthermore, textile garment waste amounts to 110,000 tonnes each year . Shockingly, approximately 20 per cent of industrial water pollution comes from textile dyeing and treatment in China. And in HK, 12,000 garments enter landfills everyday.
Fashion Future Challenge Award
Fashion Summit plays an important role in inspiring and nurturing young generation to involve earlier in sustainable fashion mindset. This will not only target in achieving a more environmental friendly fashion development, but also aim in preventing and protecting our living environment.
The launch of the Fashion Future Challenge Award is also announced, which is targeted at local university students and is set to commence in September this year. Fashion Summit (HK) hopes to tackle the pertinent issues facing the industry in terms of driving sustainable outcomes at each point in the fashion loop cycle as well as foster the spirit of collaboration for fabric makers, manufacturers, brands and academia, bringing them together to effect real, impactful change. In conjunction, the Fashion Future Challenge Award aims to recruit young talents into the cause.
