SHANGHAI — Nearly two years ago, the Chinese government unveiled a massive plan to overhaul a fledgling national textile industry facing turmoil over rising labor and material costs, the emergence of price-competitive manufacturing bases in countries such as Vietnam and Cambodia and falling exports to ailing economies in the West.
That plan, released in early 2012 by the Ministry of Industry and Information Technology, called for manufacturers to invest heavily in research and development to upgrade the quality of fabrics to increase global competitiveness. The plan also called for the relocation of more factories to interior provinces to tap into a migrant labor force less willing to move to coastal regions to work and for government subsidies aimed at moving industry to more rural areas.
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