One out of every five sweaters globally is produced in Dalang, Dongguan, a hub with an annual trade volume exceeding 72 billion RMB. On June 24, the 95th IWTO Congress opened here, gathering representatives from over 20 countries. Beyond the numbers, the core signal is clear: the green transformation of the wool industry has moved from slogans to a battle over standards and narrative power.
Behind the Data: Scale Meets Transformation Pressure
Dalang's wool industry has evolved over four decades, exporting to more than 100 countries with annual garment output exceeding 900 million pieces. Sun Ruizhe, President of the China National Textile and Apparel Council, noted that China holds the world's largest wool processing capacity, importing large volumes of raw wool and exporting finished products. Yet scale advantages face multiple challenges: trade protectionism disrupts supply chains, consumer demand for sustainability grows stricter, and markets like the EU are preparing carbon-footprint-based entry barriers.
The IWTO Wool Green Paper, released at the congress, reveals a critical contradiction: existing public data is accused of deliberately exaggerating wool's negative environmental impact, while urban youth, influenced by biased messaging, generally perceive animal husbandry as environmentally harmful. This means even substantial investment in green upgrades may be wasted without a unified, credible carbon footprint standard and positive narrative.
Event Focus: Green Paper and Youth Program as Strategic Levers
Two specific actions at the congress deserve attention. First, the global launch of the IWTO Wool Green Paper, aiming to build a full-chain traceability data system, region-specific carbon footprint standards, and a natural fiber industry alliance. Currently, only a few companies participate, requiring unified global industry action. Second, the Wool Youth Program debuted to help newcomers build cross-border networks and industry cohesion.
These actions target two pain points: lack of standards prevents green value from being quantified, and talent gaps threaten industry continuity. The Green Paper's advancement means future wool product certifications will rely on traceable hard data rather than fragmented third-party assessments. The youth program aims to cultivate identity among new professionals, countering urban youth's detachment from textiles.
Industry Impact: From Cost Competition to Standard Competition
For buyers, the Green Paper will reshape sourcing logic. Past decisions focused on price, micron count, and hand feel; future decisions will require carbon footprint data and traceability compliance. Orders destined for the EU may face tariffs or market access barriers if suppliers lack Green Paper-aligned carbon reports. This means companies in clusters like Dalang that adopt the unified traceability system early will gain export premiums.
For factories, transformation pressure is direct. Party Secretary of Dalang, Dong Tie, mentioned the town's push for smart, green, and brand upgrades. But green retrofitting requires real investment: from optimizing grazing methods to water-saving equipment in processing and biodegradable packaging in finished goods. Industry data shows only a few leading firms can complete full-chain carbon tracking; small and medium factories risk being squeezed out of supply chains.