Now that labor rates are climbing in China, companies are looking for greener pastures. WWD.com published an article on labor rates for international textile workers and what you will see is astounding.
Thanks Tom
-The Ed
Archive for the ‘Industry’ Category
Textile Labor Rates
Wednesday, October 13th, 2010Citibank Can Kiss My A$$
Friday, October 8th, 2010Well, I finally have a reason to be happy Citibank sold my car loan. According to a well researched report in the www.theoutdoorwire.com entitled, “The Policies of Credit”, Citibank refuses to extend credit to those companies who make guns.
Elizabeth Fogarty of Citi Public Affairs, provided a statement to author Rich Grassi (editor of The Tactical Wire) that included, “we do prohibit financing merchants in the non-ancillary military equipment industry, including the financing of businesses that manufacture and or sell firearms for military use.” Citibank was bailed out during the financial crisis to the tune of $320 Billion and yet has the temerity to refuse credit not based on financial stability, but because of what a company manufactures. In this case, perfectly legal products; firearms and firearm accessories. Consequently, we fully encourage our readers to use other credit companies than Citibank. We know we will. And oh yeah, don’t use private label credit cards underwritten by Citibank either, that’s how this whole mess started.
Rising Prices
Monday, October 4th, 2010First off, we want to acknowledge Death Valley Magazine for their coverage of this issue. Clothing prices are going to go up.
What essentially has happened is that rising cotton prices have combined with economic progress in China. You see, about one third of Chinese textile (and other manual labor intensive industries) workers failed to return after the Chinese New Year. The reason is simple. They’d rather join a service industry near their homes than travel hundreds of miles from home to work their fingers to the bone. What’s more, those Starbuck jobs at home pay better. Welcome to the American Dream.
This has been an ugly truth in the tactical industry since late Spring and unfortunately there is no answer. The cotton issue isn’t going away as it has been brewing for several years due to poor crops, but companies that have been manufacturing in other countries have a little bit of a leg up. We say little, because the cotton issue is still a factor and most of the high tech infrastructure is in China. Bet you didn’t know that the textile industry had high tech infrastructure, but they do. There are assembly operations that simply cannot be accomplished in the US because it wasn’t cost effective (US workers cost too much) to manufacture here so the machinery was placed in new factories overseas. Generally, in China. You also have to realize that there aren’t a whole bunch of factories that do this sort of work so all of the companies are waiting in line to use these same plants. So, the really gucci gear is built in Chinese factories and there is only so much capacity to go around. Take an adequate number of workers out of the equation and prices begin to rise. So this is an issue even if the clothing is made from advanced materials rather than cotton.
Now, let’s poor some gas on this fire. This affects the ENTIRE textile industry and not just our little microcosm so our companies are jockeying for position with the Big Box retailers as well as mainstream fashion producers alike. Ouch!
To be honest, we are surprised prices haven’t increased already. If you are contemplating buying that tactical tuxedo, we suggest you get mama to pick it up now for Christmas.
PS, this will affect footwear (and those tacticool hats) as well.
Stuff We Didn’t Write About
Saturday, October 2nd, 2010Diamondback Tactical Acquires Assets of First Choice Armor & Equipment
Wednesday, September 29th, 2010D-Back Acquisition Co., parent company of Diamondback Tactical, announced yesterday that it has acquired the assets of First Choice Armor & Equipment, Inc. This transaction unites the quality and exceptional delivery capabilities of Diamondback with the technology and broad product portfolio of First Choice, creating a market-leader in personal and tactical protection products for the domestic and international law enforcement and military markets.
“The addition of First Choice brands and capabilities sets the stage for Diamondback’s growth strategy,†said Lt Gen Greg Newbold, USMC (Ret) of Torch Hill Investment Partners, an investor of Diamondback. “The existing technology and manufacturing know-how acquired from First Choice provides Diamondback with state-of-the-art soft and hard ballistic armor technology development and manufacturing capability allowing Diamondback to offer its strong customer base with new and expanded product lines.â€
Diamondback has also announced the appointment of Dan Walsh, former President of First Choice, as Chief Executive Officer of Diamondback Tactical, overseeing all company operations. In addition, Paul Larkin assumes the role of Executive Vice President Sales and Marketing, Brad Ditchfield continues as Executive Vice President Operations and Dale Taylor as Executive Vice President Product Development.
“The First Choice team is delighted to join forces with Diamondback,†said Dan Walsh. â€Diamondback’s reputation for high-quality tactical gear and its vision and commitment to the domestic and international personal protection markets, creates a potent combination for future company growth.â€
With the acquisition of First Choice’s assets, Diamondback now manufactures a complete range of personal protection products from concealable and tactical body armor, to hard armor plates, ballistic/riot shields and vehicle armor. Diamondback is an ISO 9001:2008 and ANAB accredited certified company that has pioneered the development of innovative NIJ 0101.06 certified concealable and tactical armor and is a global leader in ballistic technology and design.
www.diamondbacktactical.com
Stuff We Didn’t Write About
Sunday, September 26th, 2010782 Gear Welcomes Erik Rockel
Friday, September 24th, 2010Erik Rockel has joined 782 Gear as the Director of Business Development. Erik brings over 10 years in the industry, developing, and marketing products for the military and law-enforcement. He served as the Director of Marketing at Hatch and later Brand Manager for Warrior Wear apparel and Protective Gloves/Gear at BLACKHAWK!. Erik will be on hand at Modern Day Marine demonstrating the 782 Gear Line in Booth #1550 September 28-30.
ADS Supports Soldiers to the Summit 
Tuesday, September 21st, 2010
ADS Inc has donated C.L.S. Protective Combat Uniforms (PCU) by Beyond Tactical for use on the ascent of Lobuche East in the Himalayas. The climb by 12 wounded warriors is being put on by soldierstothesummit.org. ADS will have additional updates as the climb progresses from October 2 – October 21, 2010.
“ADS is committed to supporting our wounded warriors in all facets of their rehabilitation and we also pride ourselves on our expertise in cold weather clothing systems.†said Luke Hillier, ADS CEO. “Nothing could be more fitting than combining our passion for supporting our wounded warriors and our expertise in technical clothing systems to support these brave men and women on their road to recovery.â€
Additionally, ADS is individually sponsoring Cody Miranda, one of the combat veteran climbers. Medically retired from the U.S. Marine Corps, Cody suffers from Traumatic Brain Injury (TBI) and Post Traumatic Stress Disorder (PTSD). He spent 18 years in the Marine Corps on seven deployments including Operation Desert Storm and Operation Enduring/Iraqi Freedom.
Tags: ADS, Beyond Tactical, Soldiers to the Summit
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