Shirtwaist dresses

	This scoop-necked dress from Wenzhou Tongsheng is made from pure mulberry silk. It has two layers and comes in sizes S to XL.

Driven by clients' changing sourcing habits, suppliers of casual dresses in China are increasing production of ODM designs to help them manage the heightened price pressure.

The slowdown in global economies has made buyers more careful about their purchasing decisions. In the past, between two and three months of negotiations were needed before transactions were confirmed. Now, it can take more than six months before anything can be finalized. To minimize risk, many companies are asking for a 30 percent down payment via TT before processing orders.

Even then, requisitions consist of multiple styles but with fewer pieces for each design. Companies normally set a higher MOQ per model as their fabric suppliers often require more than a few hundred meters per transaction.

Some material providers do accept small orders at a more expensive rate. But buyers have become increasingly sensitive toward any price advances. This has made it difficult for companies to pass on the higher textile cost, forcing suppliers to either shoulder the additional expense or lose the order.

To alleviate the price pressure, makers are augmenting production of ODM models. In fact, exports of such designs increased 5 to 10 percent in the first few months of 2009. They accounted for about 20 percent of total shipments last year.

Unlike with OEM orders, makers have more control over export quotes for in-house designs. Profits are also at least 2 percent higher.

To strengthen their ODM lines, suppliers are fortifying product capability by enrolling R&D team members to fashion and garment design courses. In doing so, the employees are expected to gain the necessary skills that will allow them to translate rough ideas to actual collections.

Moreover, companies are hiring additional experienced designers and creative assistants. Specialists attend trade exhibitions and watch fashion shows regularly, and subscribe to relevant industry publications. But they also study the trends in their major markets carefully before deciding on their collections.

Despite the increased focus on ODM, companies are not likely to augment OBM exports in the next half-year. This is true even for businesses that are already offering their own brands locally or have retail stores. In general, about 50 percent of suppliers in the industry sell branded lines to the domestic market.

Regardless of whether they focus on OEM or ODM, companies are improving sampling capability. The goal is to produce prototypes faster and more accurately.

To achieve this, suppliers are hiring skilled sample makers or transferring qualified workers from the sewing lines to the R&D department. Many of these employees have been involved in women's wear production for at least 10 years.

With the addition of experienced workers, most suppliers have been able to cut sampling cycles by at least three days.

A typical R&D team has five designers, and 10 pattern and sample makers. Prototypes are created with the aid of CAD systems. In most cases, samples undergo several modifications before they are approved for mass production.

The manufacturing process is similar to that of other types of apparel.

Incoming textiles, which often come with colorfastness test reports, are first checked on a fabric stretcher for physical flaws and dimensions. They are also sent to a light box for color comparison.

The fabric is then cut according to the pattern. Piping is sewn to the edges of the cut pieces, if needed. The lining is attached when all of the parts have been stitched together. After this process, button holes are set, and buttons, zippers, strings and labels are attached.

Once done, designs in denim are sometimes washed in the required treatment.

The finished garments are sent to the QC department for physical evaluation. Models are inspected for loose thread, uneven seams, puckering, and proper labeling and sizing. Dresses that pass all tests are ironed and packaged for shipping.

A QC inspector evaluates the output at each production step, regardless of the company's size.

Small factories typically outsource all fabric and accessories. They have no more than 10 sewing lines, each outfitted with locally made machines. Cutting, ironing and packaging are done in-house, but embroidery, printing and washing are subcontracted.

Their QC teams handle inline and final inspection, but materials are evaluated at the fabric mills and accessory factories.

Midsize companies also outsource textiles, trimmings and components, but they have imported sewing machines and can handle embroidery in-house. Printing and washing, however, are subcontracted. QC is carried out at each step, including material evaluation. Apart from fabric stretchers and light boxes, some plants have needle detectors where finished dresses are checked. In addition, they can provide third-party inspection on fabric and metal components on request.

Although many large enterprises outsource fabric, some knit or weave textiles in-house. These are usually companies that specialize in women's wear or denim garments.

Certain factories have printing, dyeing and washing facilities as well. Apart from physical evaluation, plants carry out colorfastness and shrink tests in-house.
Materials & trends
Industry composition

	Bellevue is offering sleeveless dress model SF-03, which has a wool bodice and a 19mm silk skirt.

Casual dresses from China come in a range of fabric, including polyester, cotton, cotton voile, T/C, mulberry silk and linen. Various styles are available, and most have polyester lining.

The dresses can be sleeveless or have short or long sleeves. Lengths fall from above the knee down to the ankles. Many feature allover printed patterns, and some have ruffled or flounced hems. Solid-colored designs are usually paired with a PU leather belt. Round and V-necks are common.

In line with current trends, the latest releases include one-shoulder models in pure rayon.

Often in black, such designs have an empire waist and pleated skirt.

Mini dresses in bold florals are also available. These typically come in 100 percent silk with cotton lining. Most versions have a smocked bodice.

Shirt dresses are made from pure silk as well. Featuring long sleeves and solid colors, models have stand-up collars and button-down closures. Some come with a PU leather belt to cinch in the waist.

Short-sleeved shirt dresses are also available. These often have a color-contrasting top and skirt. The former is usually made from cotton voile.

Little black dresses continue to be popular. Designs in pure polyester chiffon or satin are lined with knitted polyester. Hems and necklines are trimmed with ruffles or flouncing.

A number of releases are fitted with A-line skirts. These generally feature a printed silk satin top and a silk chiffon skirt.

Maxi dresses remain best-sellers as well. These have printed florals and knotted or spaghetti straps, although some are strapless. Models are typically made of cotton voile or silk.

Depending on materials and design complexity, prices range from $4.50 to $50 per piece.

	Model CSHTC-100 from Changshu HTC comes in 75x75d/100x76 polyester. With a ruffled neck and a flounced hem, it comes in sizes 10 to 18.

China is home to about 5,000 casual dress manufacturers, of which two-thirds have direct export capability. The rest focus on the domestic market or process orders for the estimated 2,000 trading companies across the country.

In general, 80 percent of makers are private and locally owned. The rest are SOEs or have outside investment. They are mostly women's wear businesses that offer skirts, blouses, jackets, pants, shorts and tank tops as well.

Some of these companies also have men's and children's lines.

Compared with the previous corresponding period, the supplier base contracted in the first quarter of 2009 because of economic challenges.

Manufacturers are based mainly in Guangdong and Zhejiang provinces, and Shanghai.

The 3,000 makers in Guangdong are located mostly in the cities of Guangzhou, Dongguan, Zhongshan and Shenzhen. At least 10 percent have participation from Taiwan and Hong Kong investors. The rest run private, locally owned operations.

Companies generally offer low-end and midrange designs.

Hangzhou is the main production center in Zhejiang. The city is also one of the country's major hubs for silk fabric. As a result, many of the makers there concentrate on midrange and high-end silk casual dresses.

More than 95 percent of companies are private locally owned businesses.

The majority of Shanghai suppliers are traders exporting midrange and high-end designs.