Thanks to US dollar continued depreciation and increasing labor cost, that China’s textile and garment costs rise result in profit compression in the first half of this year. By the second half year, with the approaching of a once in a blue moon of US financial storm, global economy was seized with panic. No matter garment industry or garment accessory industry, including hangtags, woven labels, seal tags and metal labels, they both suffered a lot in the crisis. China’s textile and garment industry faced a horrible nightmare caused by insufficient foreign market demand. The spreading US financial crisis not only hit domestic consumption, as one of the largest trading countries, it also inevitably dragged down global economic situation.

After RMB exchange rate against euro is at below 7 in early September, devaluation was still not reversed. Meanwhile, those boost economic development of European Union like Germany and UK were in economic recession with obvious declining consumption demand. What China’s textile and garment industry will face is global marketing recession, which slows down exportation. After exportation and investment became weaker and weaker, what China’s garment enterprises should focus on is to expanding domestic demand market. Besides marketable products, enterprises should also emphasize brandbuilding, to enhance extra value and core competitiveness. For example, novelty design woven labels will enhance garments’ degree.

The relationship between garment industry and accessory industry is interdependent and mutual beneficial. If garments lack accessory’s cooperation, an effective combination cannot be achieved. With the gradual development of living standard and culture taste, dressing concept meets something new. In the past, durability and warmness are the point; however, today what people highly praise is business, fashion and sports leisure. Thus, in the wake of brand-new dressing concept, a higher demand on accessory industry is put forward by garment industry. How to cooperate with garment industry and enhance garment industry value for encouraging China’s garment and accessory industry is what garment enterprises should strive to. As for woven labels, an inexpensive advertising accessory, manufacturers must provide a means by which woven labels prop up apparels appreciation and innovation. This is the most urgent affair they should cope with.