Study Of International Competition Ability Of China Textile And Clothing Industry At Post-quota Era

According to related clauses in Arrangement Of Textiles and Clothing , the countries that have established limits to the imports of textile and clothing products from China would cancle the quota since January 1st, 2005. This means that textile trade gets into liberalism, competition form will be transferred to comprehensive competition ability of product in the international market from quota competition .After quota cancelation, the textile and clothing export appears to soar because cost advantage will be better developed. Buta lot of countries re- establish trade barriers to prevent Chinese textileand clothing products entering into their market. Textile and clothing tradeof China gets into post-quota era.Several years in future, Chinese textile industry will not only face the opportunity of developing comparative advantage continuelly, which brought by global economic growth and the structural adjustment, but also meet challenges such as our low level in global industry chain, decreasing profits in process industry, increasing trade friction, rise of new trade protectionism. Meanwhile, it will be restricted by resources, environment and increasing production cost. In addition to these, it will encounter the sharp challenges of international advanced productivity, the multinational mode of production and the internationalization of local market.On the basis of a set of evaluation indicator system designed by project research team of National Planning Board and domestic and abroad data, we analyze the competition ability of Chinese textile industry from four aspects: competition ability, competition strenghth, competition potential and competition environment. Through the analysis and contrast to other contries such as India, Thailand and America, we find that international competition ability of Chinese textile industry is still powerful, but it appears downtrend year by year. We need to change competition strategy in order to upgrade international competition ability of Chinese textile industry.By using of SWOT method, we analyze competition ability of Chinese textile and clothing industry from strategic management angle. Our advantages lie in abundant labor force and material resources, powerful international competition ability. Our disadvantages are the low level of industrial structure, the increasing production cost, excess of production capacity, lagging equipments and techniques etc. The threats come from foreign trade barriers, special protective measures, green barriers, SA8000 and so on. In the meantime, we are facing the opportunity of market extension and china economy developing at top speed. Strategic matrix is formed according to the SWOT analysis, and strategies for upgrading international competition ability are obtained.This text mainly puts emphasis on features of textile and clothing trade in post-quota era. On the basis of a set of evaluation indicator system for international competition ability , in combination with SWOT analysis, it studies systematically the development strategy for textile and clothing industry in China at the special period of history.