Prices Of Textile Raw Materials Have Generally Risen Since 2014.

In December 31, 2014, the Ministry of Finance and the State Administration of Taxation jointly made a profit tax [2014], No. 150, to inform the increase of some high value-added products, corn processing products,

The export tax rebate rate, the cancellation or reduction of the export tax rebate rate of some products, is a national optimization of export tax rebate structure, stable foreign trade development.

In the list of products, the export rebate rate of the 50 chapters, 51 chapters, 52 chapters, 53 chapters, 63 chapters and 94 chapters, and the whole 54~62 export tax rebate rate increased from 16% to 17%, which accords with the international practice of equitable refund and withdrawal, making China's textile and clothing products participate in the competition fairly in the international market.

In the textile and garment export tax rebate rate adjustment, in addition to 1999 clothing and 2001

Cotton and cotton products have reached over 17%, the adjusted export rebate rate has become the most widely used historical high value in the industry, and the highest is only 16% during the financial crisis.

Under the complex background of macroeconomic and market demand slowing down and increasing competition in the international market, it is undoubtedly a good thing for the numerous export enterprises in the textile industry.

In 2014 1~11, China's textile and clothing exports totaled 280 billion 540 million US dollars, up 5.7% over the same period last year, and the growth rate was 5.9 percentage points lower than that of the same period last year.

Although export growth has been rising month by month since February 2014, it has slowed to a single digit growth from two digit growth in 2013, and is expected to maintain growth at medium and low speed.

The export of textiles and clothing has made great contributions to China's export earning, economic growth and the risk of economic globalization. The textile and apparel industry is one of the main adjustment objects this year, which shows the recognition and importance of the country's textile industry, aiming at encouraging the export of the industry and enhancing the export competitiveness.

With the slow growth of the global economy and the low demand of the international market, China's own low cost traditional advantages are weakening. Southeast Asian countries have joined the competition, and their share in the middle and low end market has been increasing, which has a negative impact on the international market share of China's textile and clothing, making China's export competitiveness face more severe challenges.

In 2014 1~10, the proportion of China's import market in the United States and Japan decreased by 0.9 and 3.8 percentage points respectively, compared with 0.6 percentage points in the EU market in 1~9 months.

Under the background of intensified competition in the international market, the export tax rebate rate has eased the pressure of many export enterprises to a certain extent, so that foreign trade enterprises have more room for maneuver when negotiating prices with foreign businessmen, which is conducive to the improvement of our country.

The export competitiveness of clothing is conducive to consolidating the international market share of the industry. It also enables the industry to feel the determination and confidence of the country in stabilizing the development of foreign trade in a period of great economic downward pressure.

Since 2014, the price of textile raw materials has generally risen, and domestic cotton prices are on average higher than 30% of the international market. The price of dye has remained high, and the cost of channels and financing has been increasing. In the first half of 2014, the monthly average income of migrant workers increased by 10.3%. The overall cost pressure of enterprises increased day by day, while the export price index increased only in October 2014, and the profits of enterprises were seriously squeezed.

In 2014 1~10, the total profit of 38 thousand Textile Enterprises above Designated Size reached 268 billion 350 million yuan, an increase of 9.1% over the same period last year, the growth rate was 9.2 percentage points lower than that of the same period in 2013, and the profit margin of sales increased by only 0.1 percentage points over the same period last year.

The export tax rebate rate has increased by 1 percentage points. For the labor-intensive industries with increasingly tight profit margins, it is no doubt a good policy to ease the pressure of survival and boost confidence. It is conducive to restoring export and investment confidence for foreign trade enterprises and facilitating the steady development of the textile industry under the new normal economic situation.