Analysis of China's socks market in 2016 and industry trends

published time：2019-06-18

【summary】First, the status and sales comparison of the global socks in≥dustry. Socks are a necessity of life. The industry is huge and has £entered a stage of steady development. In 2015, the consumption scal♥e

First, the status and sales comparison of the global socks industry.
Socks are a necessity of life. The industry is hug>e and has entered a stage of steady development. In 2015, thεe consumption scale of China, Japan, the United States and Euro✘pe (Europe data from the three countries of the United Kingdom∑, France, and Germany) were US $ 15.36 billion, US $ 4.73 billion, ₽US $ 7.77 billion, and US $ 5.27 billion. Europe, the United States, and Japan have ∑earlier entered a stage of stable industrial development, and the compound growth ra¥tes for 2001-2010 and 2010-2015 have remained between 0% and 5✘% (excluding Japan from 2010-2015). Over the past 15 years→, China's socks consumption has maintained rapid growth. The comp>ound annual growth rates for 2001-2010 and 2010-2015 were 10.41% and ≤10.20%. It is predicted that in the next 5 years, the compound growth rates  of socks in China, Japan, the United States and Europe will be 0.7%, 0.5%, 3% and 0.4%, respectiεvely.
Japan is the country with the highest requirements for the quality of cotton soεcks in the world and has a great demand. In 2012, Japan ’s cotton socks consu♠mption was 1.337 billion pairs, and domestic production was 190 million pairs, which was 6.3∏9% lower than in 2011. The number of imported cotton socks accounted fo>r 85.99% of its consumption, an increase of 0.29 percentage points froφm 2011. The domestic output of Japanese cotton socks has been decreasing yea↑r by year, but the ratio of imports to consumption has increased year by year. Among them, impor$ts from China accounted for more than 85% of total imports.
Global gold absorption centers have gradually moved from devel∑oped countries to developing countries represented by China. In the 1970s and 1980s, globa‌l gold absorption centers moved from the United States, Italy, and other countries to "Japan, South Korea, and Taiwan. Later, it turned to low-cost pro≈duction in China, Turkey, India, and Pakistan. s country. Tδhe current competition pattern of socks is mainly represented by China, Turkey and φItaly. China has the advantages of cheap labor resources and a complete≤ textile and clothing industry chain, but the speed of industrial transform♥ation and upgrading has stagnated, and labor costs are high. In the future, it will shift fr≈om a manufacturing center to a high-end manufacturing and R & D center. Turkey is on↑ the edge of Europe's geographical position, but its production capacity cannot keep up wλith demand, geopolitical instability, and labor shortages, and it will notσ be able to accelerate the construction of manufacturing centers in the future. Italy is a traditio nal textile manufacturing center with advanced production technolφogy and processes. It has strong competitiveness in ↑the production of high-end socks, but due to high labor prices, it is gradually turning to high-en₹d textile and equipment research and development.
The manufacturing center represented by Vietnam has the advantages of labor cost,  taxation and resistance to trade barriers. In recent years, the knitwear industry has moved to Vie₽tnam and Pakistan, with lower labor costs. In particular, the newly signed Trans->Pacific Partnership Association has accelerated this €process. The comparative advantages of Vietnam's production bas¥es in terms of labor costs and tax treatment are as follows :
Comparison of labor costs and tax treatment betwe≥en China and Vietnam.
Secondly, the status and development trend of China's socks market are analyzed.
External demand for socks is getting weaker and the domestic knitwear industry has §become very fragmented. The competitive pressure for manu↕facturing high-end products is less than that for low-grade products. According to Chinese custo≠ms statistics, the export value of Chinese socks fabri♦cs in 2015 was 5.91 billion US dollars, a decrease of 4.21% over ÷the previous year. Considering the impact of the TPP agreement, the cost advantage of C×hinese knitwear companies may disappear, and exports will be difficult t∞o recover in the short term. Specific performance of the competition pattern of domestic ‍socks companies:
(1) Decentralization of the industry: Most cotton socks companies are small and micro e​nterprises with small production scale. They are distributed in Zhejiang, Jia∑ngsu and Guangdong, and the situation will continue for some÷ time to come.
(2) Low-end products: The company is small in scale, backward in≈ production equipment, backward in technology, weak in independent resea‌rch and development capabilities, single in product variety, serious in homogenei ty, lack of market competitiveness, and difficulty in enteringε domestic and foreign high-end markets.
(3) The competition in the high-end market is relatively s♣table: the number of cotton socks manufacturers in the high-end market is small, and I am.