Premier Wen Jiabao presided over the February 4 a State Council executive meeting to consider and approved in principle the textile industry and revitalize the equipment manufacturing industry adjust planning. Analysts pointed out that the introduction of the national textile industry revitalization plan and to address the financial crisis is not just short-term measures, the entire textile industry is indeed to the industrial upgrading of the time points.

The textile industry is a pillar of China’s traditional industries and an important livelihood, but also internationally competitive industry advantage. 30 years of reform and opening up, especially in the 21st century, in the context of globalization and scientific and technological progress of the background, China’s textile industry has been sustained and rapid development. Industrial restructuring has made remarkable progress. At present, China has become the world’s textile production and export of power. Statistics show that in 2008 China, the number of EU limits, the former in September China’s export growth in 15 EU countries 33.6%, market share exceeds 35%. Over the past 17 years the United States textile and apparel exports to China increased by 8 times, from the share to enhance the contribution of growth to reach 70%. 1991 United States GDP fell 0.2 percent, China’s textile and garment export growth is still 5.5%.

Since 2007 China’s textile industry since the external economic and policy changes in a series of appreciation of the RMB, the export tax rebate cut, liquidity crunch, rise in value of production factors, especially by the United States sub-loan crisis of the international financial crisis, so that China’s textile The situation has obviously been the industrial decline. Statistics show that last year, China’s textile industry experienced a negative growth efficiency, reducing overall production and sales growth, while industry profits fell sharply. In 2008 the first 11 months, above-scale textile industry and negative growth rate of total profits. Industry losses from the previous year into one expanded to seven percent more than last year. Decline as a result of effective enterprise operating difficulties, large-scale textile enterprises engaged for the first time the number of negative growth. Some analysts pointed out that China’s textile and garment production capacity larger of the United States, Europe, the day the three economies have a strong dependence, in this global economic crisis circumstances, the first half of 2009, the sustained economic recession in the United States and Europe Day will China’s textile and garment industry is now facing a severe test.

The textile industry in China’s economic and social life plays a very important role, to attract the largest number of the employed population of traditional manufacturing and labor-intensive industries, the rise and fall of the textile industry directly related to the approximately 21 million industrial workers in employment, and indirectly affect one million migrant workers of their livelihood. China’s textile industry, the actual degree of dependence on overseas 30%, which means that once the textile export setbacks, China’s industrial development and the employment situation will be seriously threatened. The State Council executive meeting textile industry refers to the traditional pillar industry of China’s national economy and important industries, a high degree of people’s livelihood, the meeting pointed out that the prosperity of the textile industry in the markets, expand exports, creating jobs, increasing the income of the farmers, and promote the development of urbanization plays an important role.

And accelerate the revitalization of the textile industry, it is necessary to independent innovation, technological innovation, eliminating the backward, and optimize the layout for the focus, and promote structural adjustment and industrial upgrading, to consolidate and strengthen the employment and support Huinong status, promoting China’s textile industry from large to strong change. From the domestic situation, the rapid development of China’s textile industry in behind there are some problems that can not be ignored, such as technology lags behind, especially in printing and dyeing finishing the situation has not fundamentally changed lag, lack of R & D capability of new fiber can only be followed behind imitation or rely on imports; ability to innovate is not strong, the number of years to form, growing, processing, export-oriented model, destined to follow rather than lead the product development model, difficult to build international brands; not meet the international market short-period, small volume, multi-species trends.

Faced with new opportunities and challenges, China’s textile industry must find a new development path, change the growth mode, quality, and foster well-known brands; focus on innovation, attention to environmental protection, industry realize sustainable development; industry realize the internationalization of the market pluralism, promotion of international exchanges, to enhance early warning, to circumvent international trade risks; in line with international standards, strengthening the standard certification, the realization of industry self-regulation.

Adjust the revitalization of the textile industry planning, the state set up structural adjustment, technological innovation and industrial upgrading, such as special funds to support enterprise development. Revitalization plan also includes: Continue to increase the export tax rebate rate will be textile and garment export tax rebate rate from 14% to 15%; plus Medium Small textile enterprises to support efforts to alleviate the burden of textile enterprises to expand export market diversification. These support policies that the Government has fully demonstrated the concern of the textile industry. Some analysts pointed out that the textile industry was the meager profits of any policies or positive impact on the industry are enormous, if the export tax rebate rate increase of 1 percentage point on the textile industry will bring about four billion yuan of profits.

In fact, after the relevant state departments have for several consecutive weeks improve the textile and garment products in the export tax rebate rate to further ease the export-oriented enterprises cost pressures. In the country to expand domestic demand after the introduction of economic incentives, the textile industry has recommended five areas of the state’s key more than 20 billion yuan of financial aid applications, is currently awaiting approval. These five areas include: high-performance synthetic fibers, functional fibers and the industrial chain of application development; the textile industry, energy-saving emission reduction; natural fiber products with high added value and advanced technology development; 10 complete sets of textile machinery technology and equipment; the textile industry, public services platform. China Textile Industry Association said that China’s textile industry is facing this year, the domestic economic environment, especially the policy environment is doing better than last. Government has proposed a capital expansion of domestic demand growth in a series of transfer institutions such as the face of domestic and international economic environment, timely and flexible response to the decision-making. Last year, China’s economic fundamentals remain healthy, coupled with industrial policy guidance, this year will be the restoration of the textile industry has played an active role in the development of confidence.

There is no doubt that the introduction of industrial planning for the textile and garment industry’s future development will bring about far-reaching effects. With the constant introduction of good policies, the development of the textile and garment industry is expected is expected to improve the inflection point occurred at an early date would also be possible.