Alleged contract fraud has cost nearly 150 Pearl River Delta garment factories over 1 billion yuan, exposing how thin margins leave Chinese manufacturers dangerously exposed
GUANGDONG – Nearly 150 garment factories across China’s Pearl River Delta have reportedly lost more than 1 billion yuan (around $150 million) in an alleged contract fraud now under criminal investigation, in a case that exposes how thin margins and fragmented supply-chain information can leave manufacturers dangerously exposed.
The case lands amid broader margin pressure across China’s textile and apparel sector.
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