Chinese textile giant, Wuxi No.1 Cotton Mill, has signed an investment agreement with the Ethiopian Government to build an integrated textile plant in the country in a move that could create significant linkages in the African nation’s fast-growing textile and clothing industry.
Wuxi, part of the Guolian Development Group, is one of the largest textile manufacturers in China. The new spindle textile production base will be located around 450 km east of Addis Ababa in Dire Dawa, and will help the company in speeding up the pace of “going global”, it said.
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It is understood Wuxi currently has a weaving capacity of 26,000 tons of yarns and 30m metres of grey fabrics annually. The company is known for supplying leading global brands, and 75% of its products are exported to Europe, the US, Japan, South Korea and Southeast Asia.
Wang Quan, Mayor of Wuxi, says the company is speeding up the development of economic restructuring, adhering to the priority of quality and benefit and accelerating the construction of new heights of modern industrial.
That means actively seizing the opportunity of the ‘Belt & Road’ initiative, giving full play to its comparative advantage industry, and supporting more enterprises in going out and participating in the growing of international cooperation and competition.
“Ethiopia, known as ‘the roof of Africa’, has rich natural resources and human resources,” the company says. “In recent years, it has made remarkable achievements in economic development. In the background of friendly cooperation and exchanges between China and Egypt, the trade cooperation between Wuxi and Ethiopia has entered a new stage.”
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By GlobalDataThe project, it says, is another important practice of responding to the ‘Belt & Road’ initiative and promoting international industrial capacity cooperation.
“The implementation of the project can not only accelerate the pace of transformation and upgrading of Wuxi No.1 Cotton, but also build a good example for Wuxi enterprises to “go out””, it added.
Massive developments are taking place to elevate the East African nation of Ethiopia into a compelling new garment and textile sourcing hub for brands, retailers and their suppliers.
