Wenzhou Garment Industry is “China’s Button Capital”, but Now Even Attracting Workers Becomes a Problem
Wenzhou clothing is mainly men’s clothing, most of which are medium and high-end suits. Over the past 20 years, the company has accumulated a profound industrial foundation, and the supporting system is very developed, including the follow-up Wenzhou garment inspection. Facing the irreversible transfer trend of the clothing industry, a strong and complete industrial chain constitutes a source of confidence for Wenzhou clothing to cope with competition. However, the industrial base is not indestructible, and its core element is people. Compared with the outflow of orders and the relocation of enterprises, the loss of attractiveness to industrial workers is the biggest problem that plagues Wenzhou clothing.
Speaking from buttons
Qiaotou is a small town in Wenzhou. A town called “China’s Button Capital” has occupied more than 80% of the national button market.More than 400 large and small button factories,the zipper,resin and machinery equipment factories that are extended by the button industry are everywhere.
The button is a small business that is inconspicuous, the cheap one is a few cents , the expensive one is a few dollars. As the largest button production base in China, the output value of the entire Qiaotou is only three or four billion. Today, Qiaotou still supplies more than half of the country’s button market. Every year, tens of billions of buttons are shipped from Qiaotou to garment factories across the country and around the world，which also make Wenzhou garment inspection become the normal state of Qiaotou.
According to statistics, there are more than 2,700 garment enterprises in Wenzhou, including more than 1900 garment manufacturing enterprises, more than 800 trade circulation enterprises, men’s wear accounts for about 70%,women’s wear and children’s wear account for about 30%.Wenzhou clothing has formed several characteristics: mainly men’s clothing, most of which are boutique suits; mainly small and medium-sized private enterprises, scattered in various cities and counties in Wenzhou. Almost all garment factories use the buttons sent by Qiaotou Town. In the past two years,the button business has not been easy to do, and most factory owners are pursuing the idea of losing less.The market is sluggish,downstream garment factories continue to suppress the supply chain,with rising costs, Wenzhou garment inspection is becoming more and more strict,the era of profit-making of buttons has become history. Problems of transfer and? Transformation? plague many business owners.
Another major change in the button industry is the apparent increase in foreign orders. As more and more importers come to China to purchase, the inspection of buttons has become an important step in Wenzhou garment inspection. In the past, Qiaotou mainly received orders from domestic factories. However, in the past two years, foreign orders have surpassed domestic ones, and currently account for about 60%. The button is small in size and easy to transport. It is usually delivered by express delivery.A standard carton can hold more than 100,000 buttons. The logistics cost is not high. The main reason is that the price of the button in Qiaotou is still the lowest. The garment factories in Southeast Asia and Bangladesh are also willing to purchase from thousands of miles. This change reflects the accelerated transfer of China’s garment industry, and Wenzhou clothing faces the same problem.
Go or stay?
In addition to rising labor prices, as well as land, environmental protection, safety, taxation, etc., the comprehensive production costs of garment factories are rising quick factory audit is also often unqualified. In this case, the outflow of the order is irreversible. Outflow orders are mainly foreign trade orders, while the total output value of Wenzhou garments is more than 80 billion yuan, mainly for the domestic market,foreign trade export is about 10 billion. The impact of foreign trade orders on Wenzhou is not large.Although it has indeed accelerated the elimination of small and medium-sized garment factories, Wenzhou people believe that high-end clothing is still the advantage of Wenzhou. It is difficult to transfer it for a long period of time. Wenzhou enterprises have noticed Southeast Asia and Bangladesh very early,but actually not many companies go there to set up factories in these years.
The source of confidence is Wenzhou’s complete industrial supporting system. ” the processing fee of Made in Vietnam is cheap, but a button and a line color still need to be found China, the actual cost is not much cheaper.” Insiders said, “Different in Wenzhou, as long as you book the fabric and the style is fixed,the rest can be solved in Wenzhou. Now I am making a phone call in the conference room, all the accessories suppliers can stand here and dock with you in an hour.You can get the lowest price in the world.”
What’s more, the high-end men’s clothing has high requirements on the production process, which requires a group of mature industrial workers, as well as corresponding management,technical personnel,and professional Wenzhou garment inspection technology. The labor prices in the central and western provinces have also been rising over the years. Compared with the coastal areas, there is no obvious advantage.However,most of the preferential policies given by local governments in order to attract investment can only last for several years.After the enterprises enjoy the policy dividends,there will be problems.Industrial transfer is like the butterfly effect, whether it is to Southeast Asia or China’s Midwest,it is like a gamble for clothing companies.
Transformational concerns
Under the challenge of both internal and external, the transition window for Wenzhou clothing will not be too long. The core element of the industrial foundation of Wenzhou clothing is people. If you want to break through, the key is still people. Wenzhou’s industrial cluster advantage also reflects the fact that there are a number of local people engaged in the clothing industry.Whether you need a lathe, a team leader, a designer, or a button, zipper and tag, you can easily find it locally. However, with the closure and relocation of small and medium-sized enterprises, the industrial base has been weakened, the loss of people has begun to accelerate, and the management talents have gradually lost their appeal. Garment factory production management is also the core of the enterprise.
Many companies have begun to adopt automated production technology. Although it can improve production efficiency and save labor, it is difficult to replace workers on the production line, especially for suits with complicated production processes. Moreover, Wenzhou garment inspection can not be replaced by automation, so the demand for workers becomes even greater.Wenzhou clothing industry may not be able to transfer in a short period of time. While considering the transformation, it is a prerequisite to retain talents first.
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