With an industrial output of 8.094 billion yuan, 159 textile enterprises, and a 60% domestic market share in umbrella fabric, Qiyang, a small city in Hunan, has staged a remarkable textile resurgence over the past decade. While most county-level clusters remain trapped in low-end processing, Qiyang has turned functional fabrics into a national-level specialty cluster and is now pushing toward outdoor end-products.
From a Small Mill to a Global Leader
Qiyang's textile story began modestly. In 2012, Dongjun Textile started in Baishui Town with a small grey fabric mill. A decade later, it operates 4,800 high-speed water-jet looms, producing over 1 billion meters of functional outdoor fabric annually, ranking among the world's top umbrella fabric suppliers. Its growth reflects the broader evolution from scattered plants to a coordinated cluster.
The key to this leap is vertical integration. Dongjun expanded from single-stage processing to 16 processes covering spinning, weaving, dyeing, and finishing, creating a full chain from yarn to finished goods. It also installed five DMF/toluene recovery towers, achieving near-zero emissions. This model boosts value-added and enhances control over quality and lead times.
Strengths and Structural Gaps
By 2025, Qiyang had 159 textile firms, including 41 above-scale enterprises and 25 specialized and high-tech companies. From 2023 to 2025, the industry's output grew at an average annual rate of 11.5%. Baishui Textile Town has become Hunan's only textile-themed industrial town, and the functional fabric cluster has been recognized as a national SME specialty cluster.
Capacity advantages are evident: approximately 6,300 air-jet and water-jet looms, with annual output of 1 billion meters of umbrella fabric and 300 million meters each of bag and tent fabric. Leading enterprises form a clear echelon: Kaisheng produces 11 million pairs of Nike shoes annually, Yian Sports holds 33% of the global high-end helmet market, and Shuofang makes 10 million balls per year.
However, structural weaknesses persist. The industry is "strong in the middle, weak at both ends": upstream raw materials like nylon are insufficient, threatening supply chain stability; downstream high-value outdoor products such as jackets and tents are scarce, limiting brand premium. Auxiliary materials, public testing, and industrial design services remain underdeveloped.
Policy and Location Advantages
The national 15th Five-Year Plan for expanding domestic demand highlights the outdoor economy, providing policy tailwinds. Qiyang's location is also improving: it is within a half-hour drive of Yongzhou, one hour of Changsha-Zhuzhou-Xiangtan, and soon 1.5 hours from the Pearl River Delta, making it a backyard of the Greater Bay Area. Comprehensive factor costs are over 10% lower than coastal hubs, and with customs service stations and enterprise service centers, its appeal for industrial relocation is strong.
Qiyang's policy support has been consistent: from "park affairs handled in the park" in 2020 to flexible industrial land supply in 2021, the customs station in 2023, and tech innovation incentives in 2025. This phased approach addresses the industry's evolving needs, providing institutional backing for cluster growth.
From Fabric to End-Products
Looking ahead to the 15th Five-Year Plan, Qiyang has proposed a "1347" action framework, aiming to build a nationally influential outdoor sports textile and apparel cluster. The core path is to strengthen upstream materials, expand downstream equipment, enhance value, and build brands, while integrating green dyeing and smart manufacturing.
This transformation offers lessons for other county clusters: relying solely on scale in one segment is unsustainable. Instead, clusters must pursue chain integration and scenario-based innovation to convert manufacturing strengths into brand and channel advantages. Whether Qiyang succeeds depends on its ability to break through in product design and brand operations.