By Li Yi, L Yao, K.W. Yeung
This professional industry file at the becoming denim industries of China and Hong Kong is designed to enrich and complex at the info contained in the international alternate association and overseas denim buying and selling.
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Additional info for The China and Hong Kong Denim Industry (Woodhead Publishing Series in Textiles)
Example text
To encourage textile products exports, the State Administration of Taxation of China increased the rebate rate of textile products in order to boost exports. The tax rebates for apparel and textile machinery were increased to 17 per cent in January 1, 1998, and tax rebates for other textile products were also increased between 1998 and 1999. While the tax rebate rate for garments was raised to 17 per cent, the tax rebates for textile raw materials and fabric were increased to 15 per cent. As China's official value-added tax on exports is 17 per cent, the current tax rebate rate means that exported garments enjoy a full tax refund.
Except for an abundance of denim apparel re-exported through Hong Kong, there is also much low price denim apparel exported to the Hong Kong domestic market. Denim apparel made in is basic rather than of interesting fashion. It was strong in competing in low price markets, but weak in competing in the high fashion, high value-added market. Nowadays, denim apparel has become very popular in China. It was reported that in 35 large China domestic department stores from January to October 1994,the sales volume of denim apparel reached 5 million units 131.
37 million metres of denim fabric came from Shandong in 1995. 7 per cent of Chinese total output. 8 per cent of China denim fabric exports. 7 per cent of it. 8 THE COSTS OF MACHIIWRY In China's denim fabric industry, a large part of the machinery was imported. An imported production line would cost about UD$5 to 7 million. 24 per metre, which was 25 s u m of the total costs from interest, depreciation and maintenance together. In general, manufacturers needed a loan from a bank for equipment purchase and would pay large amount of interest, as interest rates in China were of two digits in most years of the 1990s.