Abstract
Hong Kong is the world' s third largest exporter of garments, behind China and
the EU, and a major exporter of textiles - reflecting its favoured position as
one of Asia' s most prominent trading hubs. Textile and clothing exports stood
at US$40 bn in 2008, representing 11% of total exports from the territory.
Most of this trade, however, comprises re-exports of goods originating in
mainland China and other low cost Asian countries.
Hong Kong' s domestic textile and garment sectors have been declining due to
high manufacturing costs. In particular, labour and land costs are
significantly higher than in most other Asian countries. Not surprisingly,
there has been a strong trend, evident since the late 1980s, for manufacturers
to subcontract operations to lower cost countries, especially mainland China.
Even so, Hong Kong still retains an important garment manufacturing industry
which is the territory' s largest manufacturing activity. There is an emphasis
on producing goods for the luxury market where innovation and fashion are
essential attributes in attracting sophisticated international consumers.
Important links have been established with some of the world' s most famous and
exclusive brands.
Moreover, the textile and garment industries remain at the centre of the
territory' s economy. The industries employ around 147,000 people, of whom
117,000 are involved in the export/import trade. Looking ahead, Hong Kong will
face growing competitive pressures as the textile and garment industries in
other Asian countries expand and build up their design and manufacturing
capabilities - and these pressures will need to be accommodated. On the other
hand, business opportunities are being boosted by the ever closer business and
economic links which are being developed between Hong Kong and mainland China.
| 
View Cart
