UNIQLO Will Invest In New Factories In Indonesia, Southeast Asia Is Attracting More Japanese Clothing Enterprises.

Southeast Asia, which has lower cost of labor and logistics, attracts many Japanese garment manufacturers to invest and build factories.

According to Nikkei Chinese Web news, UNIQLO parent company

A new joint venture plant will be established in Indonesia in November this year with Japanese fiber maker Dongli.

Previously, the news group was in Indonesia.

Most of them are purchased from China. In the future, the group will purchase raw materials for clothing production in Indonesia, and plan to implement a one-stop production system locally.

At present, the production system of UNIQLO centered in China has not changed. About 6 of the main factories are in China, but the number of factories in Vietnam and Indonesia is increasing significantly.

In March 30th, the number of Vietnamese factories increased by 40% compared with that of February 2017.

Labor cost and its stability are the main factors for garment production enterprises to consider the layout of production plants.

Take Vietnam as an example, the statistics of the Japan Trade Promotion Organization (JETRO) have shown that the monthly salary of Vietnam is only about half of that of China, and the sewing ability of workers is also stable. At the same time, because Vietnam has joined the p Pacific Partnership Agreement (TPP), the tariff barrier is low, and it is more concerned by garment enterprises.

Vietnam is becoming the main producer of UNIQLO after China, as young people are willing to work in sewing factories.

From the data point of view, Southeast Asian countries

Exports are also rising.

According to the statistics of Japan Chemical Fiber Association, the clothing export volume of major countries in the world reached 458 billion 500 million US dollars in 2016.

Among them, China's exports amounted to 158 billion 200 million US dollars, accounting for 34%, the largest exporter of clothing products in the world, but 5 percentage points lower than in 2013.

Although China's share is significantly higher than that of Bangladesh (6%) and Vietnam (5%), second, third,

The proportion is rising rapidly.

Besides the fast selling group, cheap Southeast Asia also attracts other Japanese clothing enterprises.

The production plant, which is 6 of Japan's garment enterprise ONWARD HOLDINGS, plans to pfer production to Kampuchea, and has already set up offices in the area. Japan's garment enterprise Adastria has been relying on China for about 8 of its production in the past. At present, it also purchases raw materials and initiates production lines in Vietnam, Thailand and Indonesia, and plans to increase the proportion of Southeast Asian production to 3 in the next 2-3 years.

In addition, because of its low manpower cost and close proximity to Europe and America, Africa also has many Japanese

Enterprises regard it as an export base for European and American markets.

The Japanese leisure clothing enterprise Stripe International has started production in Ethiopia, and according to the Nikkei Chinese language network, UNIQLO will set up the first production base in Africa in Ethiopia. The trial production of shirts and other garments will start as early as 2018.