Industry Overview: Overcoming Global Challenges

At the Taipei Innovative Textile Application Show on October 14, industry leaders from major companies (Formosa Plastics, Eclat, Shinkong, and Zig Sheng) agreed that innovation is the key to surviving two major challenges:

1. Overcapacity in China: Low-priced dumping from Mainland China.
2. U.S. Tariffs: Ongoing trade pressures and taxes.

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Key Strategies by Company

1. Formosa Plastics (President: Wu Chia-chao)

The company is focusing on a “self-reliance” strategy through five areas of transformation:

• High-Value Products: Moving away from low-margin competition (the “Red Ocean”).
• Digital & Green Energy: Investing in digitalization and low-carbon energy solutions.

2. Eclat Textile (Chairman: Wang Shu-wen)

• Pricing Power: New products allow the company to negotiate better prices with customers.
• Cost Management: New orders now reflect current costs, including tariffs and exchange rate fluctuations.

3. Shinkong Synthetic Fibers (Chairman: Wu Tung-sheng)

• Long-term View: The textile industry has survived for centuries. The solution is to always create new products and new technologies to find a way out of difficult times.

4. Zig Sheng (Chairman: Su Bai-huang)

• Quality over Quantity: The company is reducing production of low-end products to focus on high-end ones.
• Product Upgrade: They are shifting from traditional PA6 nylon to high-end PA66 nylon, which offers better comfort and durability.

***Photo Reference: https://www.wtin.com/article/2025/march/03-03-25/titas-the-future-of-textile-innovation/***