According to the report of the French textile newspaper, the average level of China's minimum wage will increase by 21% in 2008 from the latest information from the UK Breakingviews economy and the US Citibank.

If the information is accurate, according to the US Werner international textile authority statistics, the textile service industry has broken five years' record in one year, wages in the mainland will rise by 34%, and the coastal areas will rise by 23%.

According to observers, this phenomenon will accelerate the change based on the following three points: the implementation of the new labor contract law; the rapid rise of inflation and the strong voice of large numbers of labor force demanding higher wages.

The report said that the change in labour force and low wages began at the end of last year, and has not yet significantly affected China's competitiveness.

Nevertheless, with the improvement of China's labor wages, some European and French enterprises suppliers and subcontractors have been alerted to taking precautions and starting to pay attention to more attractive places, such as Vietnam, Bangladesh and India.

Vietnam's clothing exports were developing rapidly. In 2007, exports surged over Mexico to become the second largest importer of clothing in the United States. In the same year, exports to France increased by 50%.

There are also plans to develop new regions such as Turkey's Kurdish region and sub Saharan African countries as textile and garment factories.