Recently, the US announced that it intends to impose a tariff list on China's 200 billion US dollars in exports to the United States. "Previously, the United States increased taxes on China's $50 billion product mainly for high-tech industries. The $200 billion product tax increase list began to involve textiles and clothing related to people's livelihood, which will have a greater impact on China's textile and apparel exports." Analyst An Guang said.

According to the proposed tax increase list, clothes and accessories made of leather or recycled leather, clothes made of fur, accessories for clothing, silk, wool, horsehair yarn and woven fabric, cotton, other plant textile fibers, paper yarn And woven fabrics, chemical fiber filaments, chemical fiber textile material flat strips and the like, chemical fiber staple fiber, batt, felt and non-woven fabric, special yarn, thread, rope, cable, cable and its products , other flooring products for carpets and textile materials, special woven fabrics, tufted fabrics, laces, decorative blankets, decorative tapes, embroidery, impregnated, coated, wrapped or laminated textiles, industrial textiles, knitted fabrics And crocheted fabrics, caps and their parts are all within the scope of tax increase. China's textile and garment industry is heavily dependent on exports. This tax increase will dampen China's textile and garment industry's exports to the United States.

"China's textile and garment exports account for about 13% of China's total foreign trade, while textiles and garments exported to the United States account for about 15.5% of China's total textile and apparel exports. In 2017, China's textile and apparel exports reached US$268.6 billion, which is estimated to be exported to the US market. It’s about $41.6 billion,” said An Guang.

Anguang said that the US dollar strengthened in 2018 and the US launched trade friction. The currencies of some emerging economies continued to depreciate, including Argentina, Turkey, and India. The exchange rate of the Hong Kong dollar against the US dollar was at a low point in the past 35 years, and the renminbi continued to depreciate. "Trade friction is persistent. It is speculated that although the renminbi continues to depreciate, it is good for export-oriented textile and garment industry. However, the US tax on textile and apparel products will lead to the suppression of the export volume of China's textile and garment industry, which may completely offset the depreciation of the renminbi against textiles. The export of clothing is good," An Guang said.

The reporter learned that the textile and garment industry is a labor-intensive industry. In recent years, China's demographic dividend has gradually disappeared, and the textile and garment industry has shifted to Vietnam and other Southeast Asian countries. "If the United States officially increases taxes on Chinese textile and apparel products in the later period, the United States is bound to increase imports of textiles and apparel products from Southeast Asian countries dominated by Vietnam to replace imported Chinese textile and apparel products, just as China has increased imports of soybeans from Brazil and other countries. Partially replace the US soybeans that have risen in price after tax increase. This Sino-US trade friction, Vietnam and other emerging textile and garment exporting countries may be the biggest beneficiaries." An Guang said.

An Guang said that after the announcement of the US tax increase list, a hearing will be held from August 20th to 23rd, and the final result may be announced after August 30th. Textile and apparel products involving the American people's livelihood will directly increase the cost of living for the American people. Zhongyu Information speculates that US stakeholders (importers, business associations) will apply for exemption from taxable products.