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In the $3.1 trillion federal budget submitted to congress earlier this past Monday Bush’s proposal will allocate more funding to international trade and import safety programs , also to the enforcement of trade remedy laws.

What does this mean for the fashion industry?

  • Up to $46 million, from $40 million the appropriation for the U.S. Trade Representative’s Office to negotiate deals with other countries and in the World Trade Organization.
  • Up to $66 million from $63 million, for the Commerce Department’s Import Administration, which investigates anti-dumping and countervailing duty trade cases and monitors apparel and textile imports.
  • An $8 million increase, to $49 million, for a Commerce program to help U.S. manufacturers and service providers compete with foreign rivals.
  • Continued funding of $5 million for the Wool Trust Fund, which gives grants to domestic manufacturers of worsted wool fabric.
  • A $6 million rise, to $74 million, for the International Trade Commission, which conducts economic investigations and helps decide anti-dumping and countervailing duty trade cases.

Besides the massive snowstorm that has put a damper on China the past few weeks the death toll is now up to 60. Today is also the Chinese New Year (Year of the Rat 2008) that plus the snow flurry has put many overseas manufacturers at worry that they want be able to ship spring products without a delay or at all before closing for the New Year. (During the Chinese New Year factories shut down for two weeks some even longer)

Considering this is one of the biggest storms that China has received in more than half a century calling this a mere snow storm is an understatement. So far it has caused more than a billion dollars in damage. The storm has slowed down production on major factories due to the major coal shortage, which is more than three-quarters of the countries total electricity supply.

Any of your companies manufacture abroad in China? Have you received confirmation for shipments? Update?

Popularity: 2% [?]

Feb 6th
2008

Umberto Vattani

Last year there were numerous articles on Dobizo about the weakened dollar and how it is affecting the apparel industry as a whole at current exchange rates between US currency and the Euro. Read earlier articles here, and here.

Umberto Vattani said his country’s textile industry has faced doing business with the US by emphasizing efforts on innovative and distinctive product. Although US buyers have faced the problem of purchasing Italian textiles at a much favorable exchange rate for the seller Vattani said during an interview at I-Texstyle at the Premi?re Vision Preview textile trade show in New York last month that exports of Italian textiles have soared.

An increase of 10% from 2006 pushed Italian textile exports to the US to $500 million for the first 11 months of 2007. The key to keeping afloat is being able to adapt to economic pressures and so Italian manufacturers have made cost adjustments to produce textiles under tighter margins.

Popularity: 2% [?]

Magic Online Apparel Trade Show

If you remember the article from late 2007 we spoke on the possibility of MAGIC offering a shorter cycle of days in response to customer demand. Read earlier article

Starting in August the Mens Apparel Guild will now be one day short of its regular four days which has been the standard at Magic for years.

Earlier this afternoon Advanstar (Head of Magic) announced that starting in August, the MAGIC trade shows will switch from a four format to a three days. Project and Pool will also switch to three days. The next trade show will be on August 25-27, 2008.

Popularity: 2% [?]

No. 59 logo

Bloomingdale is pumping up its young men’s contemporary and denim product offering in some of its better performing stores and has plans to invest more into the rapidly growing division that has been neglected for years.

January 25 marked the date for the unveiling of No.59 Metro, which is a fully refurbished-revamped mens contemporary sportswear department at its flagship 59th street New York store. The store has been de-constructed down to the cement floors and expanded from 9,500 square feet almost doubling to 16,500 and thats just the beginning not only have they changed the look, but the overall feel is more hip and ready to seduce its new young mens crowd with music, and an assortment of the latest in contemporary premium brands.

The No.59 Metro Level is just on a list of many renovations that will happen to the men’s department which includes three floors and the space that was once used for denim will be converted into a revamped tailored clothing department. The middle floors will become house to lifestyle shops and the final phase in June 2009 where the assortment of fashion brands will receive a shake up.

Shoe Star Competition

I was hoping this was a contest that any footwear designers could enter, because the exposure would be priceless. In my opinion I think footwear designers or more so entrepreneurs who start footwear companies have it harder than us fashion designers. There is no t-shirt or lower cost means of starting a shoe line..at least not to my knowledge. Footwear is all about design and quality unless your selling to the masses through a Wal Mart, Target type of store, but your chances of receiving orders from them are slim to none without a proven seller.

Footwear News, Nine West and in association with the Fashion Institute of Technology are putting seven promising designers to the test in the first Shoe Star contest. The contestants were chosen from among the school?s accessories design seniors after a rigorous judging process conducted by the Footwear News staff. I really wish they would have made this available to all footwear designers and it would have most likely made for a better competition.

From the site:

Dane Chandler Dead

Hurley International is a clothing line that focuses on the surf/skate industry and was also in attendance at the ASR Fall 2008 Trade show where international marketing intern Dane Chandler was found slumped in an alley following the planned event.

Dane’s body was found wrapped in a blanket about seven miles away from the convention center where the ASR show was held this past Tuesday morning. No causes of death or trauma were disclosed as of press time. Police have not ruled out a possible homicide as of yet due to the fact it could take up to six weeks for further toxicology tests and the autopsy was inconclusive.

RIP

Popularity: 1% [?]

Feb 4th
2008

Green Pavilion ISS Show

Well not entirely, but they are definitely shifting their focus to highlight some innovations within the decorated apparel industry that were developed with the “green” movement in mind.

With the 2008 ISS Orlando show will launch the Green Pavilion, which will highlight exhibitors with their “Green” product developments. Mostly were developed out of increased customer demand from the decorated apparel industry.

What can you expect to be green:

  • Inks
  • Chemicals
  • Recycled fabrics
  • Organic fiber products
  • And much much more!

The Green Pavilion is at no extra cost to exhibitors or attendees so expect to see many of the usual manufacturers showing off their environmentally friendly products.

Popularity: 1% [?]

Raymond Chu the owner of a sewing contracting company by the name of Divine Couture that does work for couture companies, pled guilty to charges that he was involved in a $480,000 tax evasion scam earlier this month.

According to court documents filed in a Manhattan federal court the period lasted from 2002-2005. Now this blog is about teaching how to start a clothing line not how to evade taxes so the following is for informational purposes only.

Raymond Chu cashed checks through a secondary service (check cashiers) instead of depositing revenue into a bank account during the above period of time. Instead of filing taxes on money earned he would use cash to pay wages to workers without social security or any income tax being withheld from the cash earned during each period. The complaint said that as part of the scheme Chu asked some customers to issue checks of less than $10,000 to Divine Couture. I read that any check cashed over $10,000 is automatically investigated by the IRS so that is probably why Raymond asked customers to issue any check below that amount to him personally.

YSL Logo

L’Oreal a leader in cosmetics and beauty proposed to acquire YSL Beaute Holding for $1.68 billion. If they are acquired the transaction will include the Robert & Gallet subsidiary. YSL is partly owned by the PPR subsidiary Gucci Group.

Though not directly related to the fashion industry, but couldn’t have been done without the original fashion house and acquiring licensing and distribution for their beauty and fragrance division and something every designer will hopefully one day aspire to have a full empire grown from the idea of a clothing company.

Popularity: 3% [?]

Pitch Control is a New York based full-service boutique agency specializing in the lifestyle, fashion and entertainment arenas. As of now they’re looking for spring and winter interns who are detail oriented, self starters and willing to adapt while working in a fast pace environment.

In order to be a candidate you must have excellent computer skills, plus good written and verbal communication skills.

Some of your responsibilities will include:

  • All daily public relations activities
  • Reaching out to media publications
  • Building contact list
  • Writing press releases
  • Tracking clothing samples
  • Assist during various Fashion Weeks
  • Also work on music and film events (Great for networking)

According from the article there is definitely room for growth in the company considering it is fairly new and up and coming. If this sounds of any interest to you then forward your resume and availability to erodrigues@pitchcontrolpr.com and put INTERN in the subject heading.

Last week at the Jacob Javits Center where over a record crowd of 18,000 retailers gathered to discuss none other than the retail industry everyone in attendance had one thing on there mind…recession. Because that is what the retail industry as a whole has been experiencing for the last few months and after the long discussion many retailers and colleagues had last week it isn’t looking to get any prettier for at least six months more within the year.

The retail industry this year is looking to post the slowest gain in five years growing only 3.5 percent. According to analyst and economist the slowing economy and decrease in consumer spending is due to high energy cost and the fallout from the housing slump, sluggish employment and income growth all play an integral part in the recession taking place amongst the retail industry.

Specifically for the apparel industry consumers just seem to not be as excited about what retailers have to offer and with that said most fashion retailers can expect modest to average gains in the apparel sector unless some major trend or fashion “must have” emerges.