Globalization of Production in the Textile and Clothing Industries:
East European full reintegration into the world economy had already started during the eighties, but the end of the decade and the beginning of the nineties saw a sudden spurt in that direction. This has taken the form not only of a swift trade reorientation towards the West, especially the EU, but also of new forms of inward foreign direct investment (FDI), subcontracting and cooperation agreements with Western enterprises. As a consequence, Eastern Europe has become deeply involved in the larger process of globalisation of production characterizing the international economy, where firms ' operations are becoming much more complex and pervasive than traditional arms-length trade and traditional international investment, including both international production and sourcing. Therewith the process of transition to the market appears to be more and more intertwined with Western firms ' strategies. It is then of some interest to analyse the extent of such relocation, its various forms and the possible impact on both the relocating and the host countries.
International relocation can be analysed from different points of view. The perspective of the present paper is to concentrate on one of the most important trade partners of Eastern Europe - Italy - and on two industrial sectors in which the latter is specialised in production and exports - textiles and clothing, which are also of paramount importance in Eastern Europe 's exports.
A few data on production, employment, investment and foreign trade may suffice to show the enormous importance of these industries for Italy. In 1993 this country produced almost 40% of the entire EU production of textiles, including knitwear. The other major EU countries followed rather distanced: France (17% - including household textiles), Germany (16%) and the UK (11%). The correspondig employment for Italy was 30% of the EU total, taking into account also the firms with less than 20 employees. The second most important country -
International relocation can be analysed from different points of view. The perspective of the present paper is to concentrate on one of the most important trade partners of Eastern Europe - Italy - and on two industrial sectors in which the latter is specialised in production and exports - textiles and clothing, which are also of paramount importance in Eastern Europe 's exports.
A few data on production, employment, investment and foreign trade may suffice to show the enormous importance of these industries for Italy. In 1993 this country produced almost 40% of the entire EU production of textiles, including knitwear. The other major EU countries followed rather distanced: France (17% - including household textiles), Germany (16%) and the UK (11%). The correspondig employment for Italy was 30% of the EU total, taking into account also the firms with less than 20 employees. The second most important country -