Related News

Home » Business » Manufacturing

Annual growth of 10% set for textile industry

CHINA has urged textile producers to merge, innovate and export more, part of a strategy to strengthen competitiveness of Chinese producers, the central government said yesterday in a stimulus plan for the industry.

Major textile producers should realize added value of 1.2 trillion yuan (US$175 billion) by 2011 with an annual growth of 10 percent. And their exports are to rise 8 percent year on year to US$240 billion by 2011, according to the State Council statement.

"The country's textile industry still has large market space and we must stabilize the international market share and stimulate domestic demands through innovation, technology upgrades and industrial restructure," the statement said.

The central government pledged to further increase export tax rebates and actively explore emerging markets to develop new momentum for sustainable export growth. It also encouraged textile makers to invest overseas and acquire shares in foreign companies to lift China's global position.

China's Cabinet increased the export tax rebate for textiles and garments to 16 percent from 15 percent this month, the fourth increase in almost a year.

The Cabinet will also offer financial support to the industry which will include helping textile makers diversify their financing tools and encouraging financial institutions to strengthen credit loans to textile producers, especially small and medium ones.

A special fund to support the development of small and medium enterprises would provide special access to textile companies to help them consolidate and explore the overseas markets.

In its encouragement of mergers and acquisitions, the Cabinet will help develop some 100 self-branded enterprises and increase the proportion of exports of self-branded products to 20 percent.

"An industry reshuffle is inevitable and the global financial crisis accelerates the pace of the restructuring," said Kong Jun, a China Jianyin Investment Securities Co analyst.


Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.

沪公网安备 31010602000204号

Email this to your friend