I、Industry Definition and Scope
The textile industry can be defined as fiber, spinning, weaving, dyeing and finishing, and finished products according to its process technology, which also include the related application technologies, such as materials, textile machinery, production management, pollution prevention, industry information, analytical identification, textile chemicals and other related application technologies so that a complete textile industry is formed.
II、The Analysis of the General Trend of the Textile Industry in 2017
The global change factors affecting the textile industry in 2017 includes: regional economy development, “Made in USA” issues, and the development and promotion of environmentally sustainable textiles.
III、The Ecology of Taiwan's Textile Industry
In 2017, the output value of man-made fiber industry was NT$ 103.85 billion, a negative growth of 0.5% compared with 2016, and the proportion in the output value of the overall textile industry increased from 26.2% to 26.7%. The textile industry was NT$ 264.36 billion, a negative growth of 2.9% compared with 2016, and the proportion in the output value of the overall textile industry fell from 68.3% to 68.1%. The output value of garment and apparel products was NT$ 20.07 billion, a negative growth of 8.1% compared with 2016. Its proportion in the output value of the overall textile industry fell from 5.5% to 5.2%. The total output value of the overall textile industry reached NT$ 388.28 billion, a negative growth of 2.6% compared with 2016 (see Table 1). In 2017, there was no growth in the sub-industries of Taiwan's overall textile industry, and the main reasons for the decline in output value are: (1) Continuing the negative impact of weak downstream demand in 2016, though the international brand implemented destocking strategy in 2017, the overall order quantity was still conservative; (2) In order to accurately estimate the market demand, international brands have postponed their orders. They only ordered 60 to 70% of the original demand, and the order quantity may be added following the market performance, resulting in the compression of the lead time. Limited by the production schedule and machine restrictions, the number of Taiwanese manufacturers that can take urgent orders are also limited, making the trend of supplying raw materials for apparel in Southeast Asia inevitable; (3) Caused by the catch-up of low-cost emerging markets, Taiwan has gradually transformed towards high-value products. Observing the export structure from 2016 to 2017, it can be found, in 2017, the average textile price increased 6.45% compared with 2016, but the quantity decreased 4.67%. Faced with changes in international brands’ orders, the international market sentiment did not have a more obvious recovery till Q3 to Q4 of 2017.
IV、The Future Prospects of Taiwan's Textile Industry