Since their first overseas order from Japan three decades ago, Sunvim, a major Chinese textile company has built a partnership with over one-hundred Japanese companies. Now, the manufacturer is preparing ten million towels for the upcoming Olympic Games in Tokyo and sees abundant opportunities in the recently signed RCEP free trade agreement. Our Zhou Jiaxin explains.


      At one major textile exporter in East China's Shandong province, a conference call between the local manufacturer and one of its Japanese partners is underway.
Over the years, they've been among traders reshaping the two markets.


      IZAWA SHOJI CEO, IZAWA Towel Co., Ltd. "The Chinese market is no longer about cheap labor. Companies across the world have seen the country offer trading partnerships coupled with high-end technology. For instance, they've offered towels and electronics better than Japan's in terms of quality and technology."


      SUN KEXIN General Manager, Sunvim Group "Japanese market has changed as well. We've upgraded our equipment and R&D abilities to meet the middle and high-end market. Now, we don't wait for orders, we propose customized ideas for potential orders, which has been a success."
      必发集团董事、网站一公司总经理孙可信解释说 “日本市场也发生了变化。为了适应中高端市场,我们不断提升装备和研发水平。现在,我们不再被动接单,而是为潜在订单主动提案,这取得了成功。

      This year, the company's towel export to Japan has increased despite the pandemic and the tariff rates for China far above those for its neighbors like Vietnam.

And the latest and largest trade pact that China has signed with other 14 Asia Pacific countries including Japan, the Regional Comprehensive Economic Partnership, or RCEP, is likely to support some of its trading backflows.

      IZAWA SHOJI CEO, IZAWA Towel Co., Ltd. "When RCEP begins, our trading volume with Sunvim will double in two years. The deal will also ease the negative impact from China-US trade frictions on Japan."


      XIAO MAOCHANG Chairman, Sunvim Group "Besides goods that include imported equipment to China, RCEP is aimed to grow its trading services and intelligent property partnership. We have R&D facilities in Japan where we hope to benefit further from IP cooperation through joint programs. This is a great chance for China's textile industry to showcase its competitive advantage in global trade."

      Though the true effect of the pact remains to be seen, orders of towels for Tokyo Olympic village and the Games' commercials have already been placed.In the coming months, the company's towels will be wiping athletic sweat and being used to cheer on champions. Zhou Jiaxin, CGTN, Gaomi, Shandong province.