What does CMT mean?

What does CMT mean?

CMT stands for Cut Make Trim or Cut Make and Thread. CMT refers to a price component in the cost breakdown of a garment manufacturing price.

In order to understand CMT as price component, lets look at a cost breakdown that includes Fabric; Trim; Accessories; Cut and Make; Profit

1. Fabric is just fabric
2. Trim are extras that stay on the garment when you put it on such as buttons and care labels
3. Accessories are extras that you put in the trash when you put it on: poly-bag, carton box, silica gel
4. Cut and Make is the labor cost including overhead like water, electricity and cost or running factory
5. Then there is profit

There is no official black and white definition of CMT. Personally I think it should just be CM. The Trim or Thread should part of the trim price component.

CM can also refer to a kind of factory. A CM factory is just selling labour. A CM factory does not source fabric, trim or accessories. The buyer is responsible for fabric, trim and accessories. 

In contrast, there are FOB factories that source fabric and are responsible for the fabric. The FOB price includes cost of labour, sourcing fabric, trims and accessories from A to Z. Thai Son S.P Co., Ltd is a family owned FOB sewing factory in Ho Chi Minh city.

If you want to get more information about garment industry in Vietnam, you can contact us via [email protected] or visit our website www.thaisonspgarment.com.

Thank you for watching. Have a great day!

Music Credit: Paul Van Dyke

 

 

Ananto Nowo Nugroho

Garment Merchandiser Manager

2 年

really helpfull. thank you

回复
Mabel Tan

Transfer Pricing Specialist

3 年

Very insightful, thank you

回复
Sabbir Hossain

Merchandiser at TEXIMCO (BD) LIMITED.

3 年

Thanks for this helpful information

回复
Kevin Pan

Product Manager at WOKI FR @ Shanghai Modacrylic Flame Retardant Textiles Co., Ltd.

9 年

Good clarify! Sometimes FOB factory also act as a CM factory in order to work with big buyers.

回复
Mansoor A. Khan

CEO @ AMK ADS |eX Director Marketing Adspace

9 年

Cut,Make,Trim

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