Reliable exporters: find them and meet them

HONG KONG, Aug. 29, 2011 – China suppliers of apparel are improving the visual appeal and functionality of products and employing environment-friendly practices, as prices climb.

This is according to Global Sources' (NASDAQ: GSOL) China Sourcing Report: Apparel (http://www.chinasourcingreports.com/apparel). The Report covers China's tops (polo shirts, T-shirts, blouses, sweaters and pullovers), bottoms (pants, shorts, skirts and dresses), suits, outerwear and sports apparel.

Publisher of the Report, Livia Yip, said: "China's apparel export sector remains generally positive despite facing higher costs and pricing pressure. Most respondents in our survey are anticipating sales growth in coming months.

"Suppliers will continue to focus on the EU and North America, with steady shipments to non-EU countries and South America as well."

China Sourcing Report: Apparel shows manufacturers using brighter colors and patterns, and incorporating quick-dry, water-resistant, breathability and anti-bacterial properties in new models. R&D teams are creating T-shirts with stylized sleeves, jeans that do not wrinkle, dresses with better drape and luster, military-fashion outerwear, parkas and windbreakers featuring eye-catching stitches, and sports apparel with stronger seams.

To gain an edge, more China manufacturers of apparel are bolstering their product development teams by hiring fashion specialists from trendsetting France, Italy and Japan.

According to the Report, more China suppliers are also embracing "green" production by adopting sustainable natural materials and environment-friendly processes. While cotton, wool and silk continue to be mainstays, new materials such as bamboo charcoal and soybean fiber are gaining popularity. Some of these are grown in soil devoid of chemical fertilizers and pesticides. Other earth-friendly practices include modifying dyeing, washing and printing processes to reduce waste.

Increased expenditure pushing prices higher
China Sourcing Report: Apparel also reveals that most suppliers are boosting prices to counter increased outlay. Eighty-eight percent of respondents acknowledged plans to push up quotes in the months ahead. For two-thirds of these manufacturers, price increases are expected to be limited to 10 percent. For 14 percent of companies, quotes are expected to go up by 15 percent or more.

Key factors prompting the price increases include escalating material costs and higher labor expenditure, as workers demand better wages. The Report notes that by the end of April 2011, cotton rates soared by 70 percent year on year, with nylon and polyester climbing 44 and 34 percent, respectively. The switch to environment-friendly fibers adds to spending.

"Confronted by cost issues from so many angles, the tough task for suppliers is to keep product prices competitive so they can secure existing and new customers," Yip said.

Other industry trends indicated by China Sourcing Report: Apparel include:

• 48% of manufacturers plan to increase capital expenditure
• Design copying/piracy and the yuan-US dollar exchange rate are concerns for manufacturers
• The majority of suppliers continue to consider the EU and North America as the primary markets for China-made apparel

Supplier profiles, price forecasts, and the latest apparel products for export
The 92-page China Sourcing Report: Apparel provides detailed profiles of 33 suppliers with verified manufacturing and export credentials plus contact details of 19 more suppliers. It also includes a Product Gallery featuring 97 of the most popular export models, with key specifications and full-color pictures.

The Report's surveys, price trends and supply forecasts aim to help buyers make better-informed purchasing decisions.

Specialized Global Sources websites, face-to-face events, trade magazines and research reports
China Sourcing Reports are part of Global Sources' sourcing and product information services. These include Global Sources Online (http://www.globalsources.com), China Sourcing Fairs (http://www.chinasourcingfair.com), Online Sourcing Fairs (http://www.onlinesourcingfair.com), Private Sourcing Events (http://www.PrivateSourcingEvents.com) and Global Sources monthly magazines (http://www.globalsources.com/SITE/MAGAZINES.HTM).

For more information about Global Sources' products and services that connect quality buyers with verified suppliers, please visit http://www.corporate.globalsources.com.

China Sourcing Report: Apparel is available for purchase at http://www.chinasourcingreports.com/apparel.

Free information about China suppliers of apparel can be found at http://www.chinasuppliers.globalsources.com/china-suppliers/Apparel.htm.