Computer printing paper/forms/labels

	Model CSB-PA1071-1 from Wenzhou Chinas is made of 200gsm art paper.

Makers concentrate on raising product value and manufacture to help boost shipment volume and delivery times.

Like most business sectors in China, the logo-application industry was unavoidably affected by the global financial crunch. Many suppliers, in fact, have reported a slowdown in business since the second half of 2008.

The primary factor behind this is the significant decline in exports of promotional items. Due to the economic crisis, manufacturers of premiums are getting smaller orders from North America, Europe, the Middle East and even Asia. As a result, logo-application specialists saw a severe sales slump, with some registering a decline of 30 to 60 percent.

Further, competition has become fiercer, causing makers to operate on razor-thin margins. A large number of small companies were even forced to close down. Many surviving midsize and large factories, meanwhile, have acquired printing machines to boost efficiency. These suppliers are also taking steps to attract more orders.

The average setup charge for silk-screening, for example, was decreased from $43 to $33 per color. Similarly, the cost of laser engraving per 10 seconds went down from $0.30 to $0.15.

Delivery time was also shortened by nearly half. Although one reason behind the speedup is the lower volume, specialists have also taken the initiative to increase efficiency.

Finally, some logo-application companies provide consultation to other manufacturers as a value-added service.

	Acever accepts heat transfer and silk-screen logo printing for the B08 flash drive with custom-shaped silicone case.

About 60 percent of the companies perform silk-screening and offset printing. These two are the most popular and price-competitive design techniques adopted for promotional items. One-fifth boasts heat-transfer printing equipment, while 5 percent have laser engraving capability.

The same percentage of manufacturers can carry out embroidery. The rest focuses on etching, carving or embossing.

The majority of companies are small and midsize. Factories of the former have no more than 30 workers. Some laser engraving specialists, for instance, employ fewer than 10. The latter, meanwhile, boast a workforce reaching 100.

Locally owned businesses make up 90 percent of the total suppliers. Hong Kong-invested and state-owned enterprises account for the rest. These offer mainly offset printing, which entails high capital expenditure.

In addition to specialists, there are numerous promotional item suppliers in China that have design-impression capability. In fact, about half of manufacturers place buyers’ marks and symbols in-house.

The type of logo-application facilities depends on the main product offered. Nanchang Youngsun Knitwear Co. Ltd boasts 10 silk-screening and 10 embroidery machines. The company makes promotional T-shirts. Acever Gifts Industry (Shenzhen) Co. Ltd, which manufactures aluminum-cased emergency chargers and metal keychains, conducts laser-engraving in-house. The machine for this process costs about $45,000.

The quality of the logos applied is mainly determined by the performance of the equipment used.

In offset printing, for instance, high-speed and multifunction Heidelberg presses from Germany

are said to render images with richer colors and sharper details. But compared with domestic equipment, they cost much more. In fact, some are valued at $500,000 to $1.5 million.

While imported presses are preferred, many suppliers also employ machines from the 20 to 50 printer manufacturers in China. Low-end and midrange offset units are priced below $30,000. They, however, tend to have a coarse output.

Another major determinant of logo quality is worker skill. When mixing paint according to the Pantone standards, for example, experienced employees can accurately achieve the specified color in good time. A greenhorn, on the other hand, may require several trials, which consequently prolongs the process and produces more wastage.

Exporting mainly promotional umbrellas, Shenzhen Dingjia Umbrella Co. Ltd conducts silk-screening in-house. Most workers in charge of logo application have more than three years of experience.

	Fuzhou Yunxiang’s GAO-042 promotional hat features 3D embroidery.

China’s logo-application industry flourishes in places with a well-developed promotional items sector, as the former is a vital part of the latter’s supply chain.

Cang’nan in Zhejiang province is the country’s largest hub for offset printing. This small county has 1,000 to 2,000 factories, some of which boast advanced Man Roland and Heidelberg presses.

Specialists in the area capitalize on the sufficient number of skilled workers and lower labor costs. This in turn benefits manufacturers of promotional bags, T-shirts, calendars and gift packaging boxes.

Statistics from the Cang’nan Printing & Packaging Association show that 70 percent of calendars in China are printed there. To cope with the global economic slowdown, companies are boosting R&D and importing advanced printing machines.

While Cang’nan leads in offset printing, Shenzhen of Guangdong province is regarded as the most developed hub for general logo application. All methods of design impression are available in the area.

The city continues to gain from Hong Kong investment in past years. Proximity to the special administrative region allows specialists to access imported machine components and ink, giving them a technological edge.

An estimated 3,000 suppliers are based in Shenzhen. Large companies have more than 1,000 workers, while small factories may have as few as 10. Because of this setup, buyers are quick to find providers of logo application regardless of the size of their orders.

Other production hubs are Guangdong’s Guangzhou and Dongguan, and Xiamen and Fuzhou of Fujian province.