As a major global supplier of affordable clothing, Taiwan is actively seeking new opportunities in the Chinese mainland market to establish its presence on the Asian fashion stage. Despite the growing international recognition of some Taiwanese designers, the industry still lacks a significant number of locally developed talents who have truly matured within the local creative ecosystem.
However, this trend may be about to shift. In June, a new trade agreement between Taiwan and the mainland is set to open up more opportunities for Taiwanese fashion designers. The deal will lower tariffs, making it easier for them to enter the mainland market, and also offer stronger legal protections against design plagiarism.
This agreement was largely driven by former President Ma Ying-jeou’s efforts to improve cross-strait relations and foster greater economic cooperation. It reflects a broader strategy to build trust and create a more stable business environment between the two regions.
Huang Chung-chiu, the deputy director-general of Taiwan’s Bureau of Foreign Trade, emphasized that the tariff reductions are a positive development for the island's fashion industry. However, he also stressed the need for Taiwan to move away from mass production and focus more on innovation and niche markets.
Once a dominant player in global textile manufacturing, Taiwan has slipped to sixth place in recent years. This decline is partly due to the mainland’s competitive advantage in low-cost labor, which has led many large brands to shift their production there. In 2009, Taiwan’s textile exports reached $9.4 billion, down 40% from the peak in 1997. The mainland remains Taiwan’s largest export market, accounting for 22% of total exports that year.
Previously, China imposed an 17% import tariff on garments from Taiwan. With the new agreement, these tariffs are being reduced, giving Taiwanese fashion brands a better chance to compete in the vast mainland market. Many Taiwanese designers believe that their work will resonate more with mainland consumers due to shared cultural roots and historical ties.
Additionally, surveys show that a growing number of Taiwanese consumers are showing strong interest in the mainland market, with many believing that it will soon become the most important market for Taiwanese fashion brands.
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