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Apparel supply chains are in flux with Asia emerging the winning supplier
来源：shippingazette.com 编辑：编辑部 发布：2020/04/23 09:41:45
FACTORIES were running at 60 per cent of capacity by late March. Cargo operations in China were reported to be running smoothly, with normal operations at ports, airports, trucking networks, and cargo terminals.
The bigger problem has been the availability of transportation capacity to and from China as ocean liners cancel sailings and airlines flights.
With China, the largest source of apparel sold in the US, accounting for 42 per cent of imports, some are speculating about how apparel supply chains may change post-virus.
The fact is that they are already in a state of flux -with other Asian nations being the primary beneficiaries of that trend - but that recent business and technological developments could point to more near-shoring of production as well as more domestic sourcing.
Still, "Asia as a whole continues to lead as the dominant sourcing base for US fashion companies," said University of Delaware professor Sheng Lu.
Apparel companies were rethinking their reliance on China as a manufacturing base well before Covid-19 struck, and that process accelerated once US President Donald Trump and his tariffs came on the scene.
According to Prof Lu, "China plus Vietnam plus many" is the sourcing mantra for many in the US apparel industry, with those two, plus India, being the top three sourcing origins. According to a study conducted by Prof Lu on behalf of the United States Fashion Industry Association (USFIA), half of the companies source from ten or more countries, and a quarter source more from Vietnam than from China.
However, China continues in its role as the world's biggest exporter of textiles and apparel - including fabrics for garment makers in places like Vietnam and Bangladesh.
Bangladesh, Cambodia, the Philippines, Indonesia, Malaysia, and Pakistan are some of the other Asian countries high on the list of manufacturers seeking to diversify their supply chains. Workers earn as little as US$63 per month in Bangladesh.
Bangladesh is the number-six sourcing destination for US companies, according to Prof Lu's study. But despite price advantages, Bangladesh doesn't offer the speed to market and production flexibility many are looking for - and also features heightened compliance risk. The study also indicated waning enthusiasm for sourcing from Africa.
The bigger problem has been the availability of transportation capacity to and from China as ocean liners cancel sailings and airlines flights.
With China, the largest source of apparel sold in the US, accounting for 42 per cent of imports, some are speculating about how apparel supply chains may change post-virus.
The fact is that they are already in a state of flux -with other Asian nations being the primary beneficiaries of that trend - but that recent business and technological developments could point to more near-shoring of production as well as more domestic sourcing.
Still, "Asia as a whole continues to lead as the dominant sourcing base for US fashion companies," said University of Delaware professor Sheng Lu.
Apparel companies were rethinking their reliance on China as a manufacturing base well before Covid-19 struck, and that process accelerated once US President Donald Trump and his tariffs came on the scene.
According to Prof Lu, "China plus Vietnam plus many" is the sourcing mantra for many in the US apparel industry, with those two, plus India, being the top three sourcing origins. According to a study conducted by Prof Lu on behalf of the United States Fashion Industry Association (USFIA), half of the companies source from ten or more countries, and a quarter source more from Vietnam than from China.
However, China continues in its role as the world's biggest exporter of textiles and apparel - including fabrics for garment makers in places like Vietnam and Bangladesh.
Bangladesh, Cambodia, the Philippines, Indonesia, Malaysia, and Pakistan are some of the other Asian countries high on the list of manufacturers seeking to diversify their supply chains. Workers earn as little as US$63 per month in Bangladesh.
Bangladesh is the number-six sourcing destination for US companies, according to Prof Lu's study. But despite price advantages, Bangladesh doesn't offer the speed to market and production flexibility many are looking for - and also features heightened compliance risk. The study also indicated waning enthusiasm for sourcing from Africa.