This is a very interesting article about dilemma of China's apparel and textile Industry. I believe for those interested to invest in company like Li Heng, Hong Xing, China Sky and the newest on going IPO- Zhongguo Pengjie Fabrics shall have read this.
Full article: http://www.nextinsight.com.sg/content/view/495/1/
纺织服装行业正遭遇严峻考验，业内人士叹道：中国纺织服装业陷入了近十年来最艰难的困境。面临国内持续紧缩的货币政策、国际市场需求相对萎缩、出口退税政策调整、人民币升值明显加快、原材料价格持续上涨、劳动力成本不断上涨、节能减排力度越来越大等恶劣营运环境，目前国内4万多家规模以上（年销售收入500万以上）纺织服装企业，有2/3处在零利润状态；其余1/3略有盈利，平均净利润水平不会超过3％.
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