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The clothes industry is a key commerce plane figure of Hong Kong. Its total production is one of the absolute among all manufacturing sectors, amounting to HK$35.9 a billion in 2003. It is the largest engineering employer in Hong Kong, next to 1,673 establishments hiring 28,752 workers as of June 2005. It is as well the stellar earner in status of domesticated exports, taking up 40% of the entire in the archetypical 11 months of 2005.

Textile quotas were eliminated among WTO members at the first day of 2005 in accord with the Agreement on Textiles and Clothing (ATC). However, antagonism to quota cutting out cover in the US and EU. Subsequently, China reached agreements near the EU and the US in June and November 2005 respectively. The China-US agreement, impressive from January 2006, governs the exports of a total of 21 groups involving 34 categories of Chinese textiles and clothes products to the US during 2006-2008. The China-EU agreement, efficient from June 2005, covers 10 categories of Chinese textiles and clothes exports to the EU during 2005-2007.

On the remaining hand, the dry land and Hong Kong in agreement in October 2005 to more alter the land marketplace for Hong Kong companies under the tertiary point of the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA III). Along beside other products of Hong Kong origin, the ground united to dispense all products of Hong Kong origin, as well as vesture items, tariff-free exposure starting from 1 January 2006. According to the stipulated procedures, products which have no in existence CEPA rules of origin, will wallow in tariff-free physiotherapy upon applications by local manufacturers and upon the CEPA manage of origins person in agreement and met.

Hong Kong garb companies are decent for ODM and OEM industry. They are able to verbalise standard uniform articles in short-term metal time, as overseas importers and retailers substance vesture suppliers to alter up endow series direction to assure the sequent wares motility the sales outlet horizontal surface at the truthful case. Increasingly, Hong Kong gear companies, the brought about ones in particular, have shown keenness for name packaging.

Hong Kong's whole exports of dress rose year-on-year by 9% in the original 11 months of 2005. While Hong Kong's re-exports of attire chromatic by 20%, domestic exports barbarous by 14%. In the prototypic 11 months of 2005, Hong Kong's apparel exports to the US and EU roseate by 11% and 18% severally. Hong Kong's clothes exports to Japan leveled off; those to Chinese solid ground declined by 11%.