of Taiwan Textile Industry
costs have made the apparel industry lose some of its competitive
advantage and have driven many manufacturers to move their operations
overseas to China and ASEAN countries. Imported raw materials and
imported clothing and accessories gradually share an increasing
market while fashion consumption remains stable with an increase
in demand for quality.
The developing market can be seen in that many brand name products
such as Burberrys and Dunhill are opening flagship stores. Not only
high-end products are in the market, others such as French Connection,
Oasis, Scottish House, Top Shop and Miss Selfridge have also opened
stores islandwide to share the market. News trends on fashion shows
in Paris, Milan, London, and New York are widely spread on wireless
and cable TV, newspaper and fashion magazines.
retailing has followed the Japanese model being largely focussed
on department stores that rent out the bulk of the floor space to
concessions. With an increased number of shopping centres opening,
and a growing number of department stores, the retail industry is
developing fast to provide even more opportunities for prospective
retailers. A couple of UK retailers have been targeted to be the
anchor tenants in newly developed shopping malls. 10 new developments
are expected to open in the next 2 years
The Taiwan economy
was in recession in 2001/2002, but consumer spending was not affected.
The SARS outbreak had an adverse effect on consumer spending. However,
of position is expected.
The size of
the international textile show Taiwan International Textile &
Apparel Show (TITAS) held every September has been expanded. It
has changed from export-orientation to being a bridge for both imports
& exports since the late 1990's. The numbers of foreign exhibitors
and seminars have increased. We expect Taiwan to be a competitive
market for fashion retailing.
Characteristics of Market
and apparel industry is well developed, representing 10% of the
nation's total exports, worth over USD10,000 million, and 2.5% of
the total imports, worth over USD2,000 million. The domestic fashion
market is facing increasing competition from imported products.
Imported items shared over 20% in 2002.
The market basically
covers brand name (high-end) fashion, such as Burberrys, Giorgio
Armani, Gucci, Dunhill, LV, Pringles etc.; young fashion, such as
French Connection, Beneton, Nautica, Top Shop etc.; and street wear
products, such as Hang Tang, Giordano, U2 etc.
The main competitors
come from Italy, France, Germany, Japan and the US and are competing
in the mid to high-end fashion, while some others from Hong Kong,
Malaysia, Indonesia and Vietnam etc. are popular at mid-low prices.
There are currently
restrictions on the import of certain garments manufactured in Mainland
China and these have deterred some UK retailers. Following Taiwan’s
accession to WTO, some of these restrictions have to be lifted,
such as leather products are allowed in.
of Taiwanese companies are operating licenses to produce European
clothes locally. They can sell the garments in Taiwan, as an imported
brand, or even re-export. The latter trend is developing rapidly.
Some of the
British brands of clothing are represented in Taiwan through branch
offices of Japanese or Hong Kong agents. Some brands are already
merged with Japanese companies, but still maintain the image of
British style, and have fared better in Asia than in the UK. These
types of companies are usually not interested in being representatives
for more British clothes.
winning marketing strategy is to develop a strong branding and open
stores aggressively. Store openings with fashion shows and a period
of promotions appear too be the best way to effect a market entry.
Federation (TTF) and China Textile Institute (CTI) can also do product
promotions by holding seminars or a specific exhibition if requested.
TTF focuses more on the product marketing side. CTI focuses on the
technical side, e.g. particular functions of a product.
UK Trade And Investment)