A Study Of Impact Of Vietnam's Entry To TPP On Chinese Apparel's Export

The Trans-Pacific Partnership Agreement has been reached successfully in October,2015.As the biggest free trade area,its trade volume accounts for around one third of the total world.But because of the influence of politics and economics,China has not been able to join the TPP.Clothing is one of the important subjects of the TPP negotiations,at the same time it is also belong to the product of relatively-high-tariff.China is the largest garment exporter in the world,accounting for about 40%of the world's clothing exports.According to the Chinese textile development report,the data show that global clothing exports were $460.27 billion,$422.57 billion,$466.11 billion in 2012 to 2014 respectively,accounting for 37.77%,38.55%,40.04%.Vietnam is the fourth largest exporter of clothing in the world,who is a strong rival.In addition,Vietnam has joined the TPP,enjoying a series of preferential treatments.Therefore,the standard of "zero tariff' will exert an profound influence on Vietnam who has been a member of TPP and China who has not joined the TPP.And Among the TPP countries,Vietnam has signed a free trade agreement with ASEAN,Japan,Australia,New Zealand and Chile,so the effect of TPP on clothing trade between Vietnam and these countries is not very big.However,its clothing export to the United States and Canada will achieve rapid growth because of the standard of "zero tarifff".So it is of important significance to have a research on the development of clothing trade among these countries and the effect that Vietnam's entry to TPP has on the specific clothing of China.Combined with our apparel industry's existing problems,we put forward the specific strategies,which is meaningful to enhance the competitive force for the majority of garment enterprises in China,and reduce the negative effects TPP has on China's garment industry.Based on the related theory,the paper uses the method of combing theoretical analysis and empirical analysis.First of all,we summarized the present situation of garment trade between China and Vietnam and TPP countries through the way of data investigation.After that,we choose the United States and Canada market as the research object and use SMART to analyze the impact of TPP on exporting trade volume of China's specific garment category.Then we propose some suggestions combined with the existed problems in garment industry.Specifically speaking,This paper is divided into five chapters.The first chapter is the introduction,which mainly introduces the research background and significance,the research status,the structure,the analysis methods and the innovation and deficiency of this paper.The second chapter introduces the theoretical basis of the article,including the customs union theory and the free trade area theory.The third chapter describes the general and specific trade situation between China and Vietnam clothing and the TPP countries.Then we use the product similarity index and the index of comparative advantage index to analyze the competitive level of clothing in the United States and Canada.The fourth chapter focuses on the analysis of the impact of TPP on the specific categories of Chinese clothing.Combining with the quantitative analysis and the current problems in China's clothing industry,the fifth chapter mainly summarizes the previous analysis and puts forward the corresponding policy suggestions.The main conclusion of this paper is that the similarity of products between Chinese and Vietnamese clothing is very high in the United States and Canada market,and the competition is very strong.However,the garment export base is very different between China and Vietnam,and thus Vietnam's accession to the TPP will not cause a fatal impact on China's clothing industry.Through the study,we found that relatively large impact on China's clothing category is HS6110(sports shirts,knitted or crocheted sweater,sweaters and vests),HS6104(knitted or crocheted women's suits)and HS6202(non-knitted or crocheted women jacket)these three categories and the garment production enterprises should give priority to industrial upgrading.In general,China should pay more attention to the adverse effects of Vietnam's accessions to the TPP on the Chinese garment industry,increase the investment in Vietnam,produce yarn and fiber which is shortly provided in the TPP region,strengthen brand-building,improve the quality of exported products and accelerate the upgrading of China's garment industry.Only by this,can Chinese garment industry's competitiveness get fundamentally promoted.