quote:
Originally posted by Alina:
A lot of brands produce clothes in Asia with a sticker made in Italy to avoid a disappointment in their image

and some brands just say the naked truth...
This is a well known thing in Mexico, not only for clots, but other products:
A very high percent of the jeans fabric it's made in Mexico (don't know currently, but in 2000 were something like the 75 or 80%). A big percent is sent to USA, Asia (Mostly Korea, Taiwan, Indonesia, Hong Kong, Japan and China) and Europe (Mostly France, England and Italy), where is distributed as fabrics or parts of garments to be assembled in other countries
Other percent is send to factories in Mexico where cloths are made. If the made cloths are to be delivered to Mexico or Latin America, then the label says "Made in Mexico", but if the cloths are for the USA or European markets, then the label says "Made in Italy", "Made in France" or "Made in USA"
Same happens with electric, car and car parts:
I've seen Volks Wagen cars and parts made in Mexico with the label "Made in USA", "Made in Spain" or "Made in Brazil" all to be shipped to the market of USA or Latin America, as well as mono-blocks from Toyota and Honda cars or chassis of the same companies made in Mexico but labeled as "Made in Japan" or "Made in USA"
This is a legal trouble since BY LAW, all things made in Mexico SHOULD have the label "Made in Mexico" and NOT any other label saying something different. And has been under discussion from long ago since the AFL-CIO and the independent Unions of workers in Mexico (like the Volks Wagen Workers Union) are arguing that this cheating is damaging their associated workers (and it's true, it does damage them)
Backwards, some factories like "Matell" (children toys), send a lot of parts to be assembled in Mexico (and sometimes not even that: just packed here), and shipped to USA with th label "Made in Mexico"
This is made for several reasons:
- Marketing (people prefers things if they see that are made in USA or France or Italy, rather than if they see "Made in Thailand", "Made in Indonesia" or "Made in India")
- Taxes (there is no free trade agreement between Japan and USA, so they send things to Mexico which has a preferred tax rate agreement with Japan, and then to USA who has a free trade agreement (NAFTA) with Mexico)
- Labor costs (It's cheaper to make thing in Taiwan than in Mexico, and it's cheaper in Mexico than in USA, for the hand labor or workers payment)
- Resources costs (like materials, energy, water, etc), also cheaper in poorer countries than in richer countries
- Subsidies and tax deductions (again, more subsidies and more tax reductions in poor countries than in richer countries)
And other things
All with the aim to reduce production costs and increase the profits...
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Jazz Me....
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