Brands new to production often receive quotes that vary wildly and struggle to understand why. The reason is almost always the same: some factories include more cost components in their price, some include fewer, and certain cost items are never mentioned at all.
This article breaks down what makes up the cost of producing a garment in China. Which cost components exist, what share each carries, and what actually moves the final price.
We do not quote specific dollar figures — they depend too much on the garment type, fabric, order volume, and current market conditions. Instead: structure and levers.
The Biggest Cost Driver: Fabric (60–70% of Production Cost)
Fabric is the largest single cost component in any garment. Industry data shows fabric accounts for 60–70% of total production cost, which makes fabric selection not just a quality decision but a core economic one.
What drives fabric cost:
- Fiber content. Natural fibers (cotton, wool, linen) and synthetics (polyester, nylon) have different base prices. Certified fabrics — such as GRS recycled materials or organic cotton — cost more.
- Weight (GSM). Higher GSM means more raw material per meter and a higher fabric price. Heavyweight items like hoodies and outerwear use significantly more fabric per unit than basic t-shirts.
- Fabric consumption per garment. Consumption depends on the pattern, number of pieces, and size range. Cutting waste accounts for 5–15% of material — this is factored into the cost.
- Sourcing location. Fabric sourced directly from mills in China costs less than fabric purchased through intermediaries. Consolidated sourcing across multiple styles reduces the per-meter price.
For a closer look at fabric weight and how to choose the right GSM for different garment types, see our article on fabric weight for t-shirts.
CMT: Cut, Make, Trim (15–25% of Production Cost)
CMT (Cut, Make, Trim) is the cost of the actual production operation: cutting the fabric, assembling the garment, and adding finishing components. CMT accounts for 15–25% of production cost.
The three components of CMT:
- Cut. Computer-controlled cutting equipment increases accuracy and reduces fabric waste. Manual cutting is cheaper for one-off items but produces higher waste percentages on production runs.
- Make. The main labor component. Depends on garment construction: more pattern pieces, seams, and operations mean longer sewing time and higher cost.
- Trim. Buttons, zippers, threads, labels, and other components needed to finish the garment.
Construction complexity directly affects CMT cost. A basic t-shirt with a straight seam is significantly cheaper to sew than a jacket with multiple panels, lining, and hardware.
Trims, Packaging, and Embellishment
Beyond fabric and CMT, garment cost includes:
- Trims and notions — 3–5% of production cost. This covers zippers, buttons, snaps, patches, care labels, size labels, and hang tags. Custom trims (embossed metal, custom-shaped hardware) cost more than standard options.
- Packaging — 2–3% of production cost. Polybags, hangers, cartons, garment bags — depending on the brand's requirements.
- Print and embroidery — variable, ranging from zero to 15% or more depending on the complexity and number of decoration placements.
Other Factors That Move the Final Price
Order Volume (MOQ)
Volume is one of the primary levers for reducing unit cost. Larger orders spread setup costs (equipment changeovers, fabric minimums, production preparation) across more units, which lowers the cost per piece.
For a detailed look at how MOQ affects production economics, see the article on how MOQ actually works.
Tech Pack and Technical Documentation
A complete tech pack reduces the number of iterations during sampling and production. Incomplete or inaccurate documentation leads to more corrections — and each correction costs time and money.
What a tech pack should contain is covered in the article what is a tech pack.
Sample Cost
Samples are billed separately and are not included in the cost of the production run. Sample lead time is 5–7 days. For a full overview of the sampling process, see the article on garment sampling.
Quality Control
Built-in quality control at every stage — cutting, sewing, final inspection — is also a cost item. It affects the defect rate and the total cost of the order. How quality control works at the factory is covered in the article quality control at every stage.
Country of Production
Labor costs, logistics, and overhead vary by country. Production in China and Cambodia has a different cost structure; the choice of location depends on the garment type, order volume, and lead time requirements.
Landed Cost Is a Separate Calculation
Factory production cost is only part of the picture. Shipping, customs duties, insurance, and logistics add a significant amount on top of the factory price. How to calculate the full landed cost of imported clothing is covered in the article true landed cost of imported garments.
Getting an Accurate Cost for Your Garment
Cost structure is consistent across most garments, but the actual figures depend on:
- fabric type and fiber content
- garment construction complexity
- order volume
- packaging and branding requirements
- country of production
TYX Manufacturing works on OEM and ODM basis with a minimum order quantity of 200 units per color. Standard bulk production lead time is 25–30 days from confirmed production launch. To get an accurate cost estimate for your specific garment, submit a request — response within 4 business hours.
