The global wool industry stands at a crossroads: environmental narratives pressure natural fibers while trade protectionism tests supply chain resilience. The 95th International Wool Textile Organization (IWTO) Congress, which concluded on June 24 in Dalang, Dongguan, sent a clear signal—only through unified standards, transparent data, and full-chain collaboration can the wool sector break through its current challenges and find a path to sustainable growth.
The IWTO Green Paper: A Pivotal Battle for Industry Narrative
The congress’s core achievement was the global launch of the IWTO Wool Green Paper. This document is not a simple industry report but a strategic tool to counter environmental skepticism. According to public industry data, some studies have exaggerated the environmental impact of animal husbandry, leading younger consumers to develop biased views on wool. The Green Paper aims to establish unified carbon footprint accounting standards and durability metrics, using scientific data to prove wool’s low-carbon advantages as a natural, recyclable fiber.
Currently, only a few enterprises have contributed data, meaning the entire industry must speak with one voice and invest resources to build a complete traceability system from pasture to garment. More critically, the Green Paper will serve as leverage in negotiations with policymakers, particularly in the EU, where “green barriers” are rising. Without unified standards, the industry risks losing market access.
China’s ‘Certainty’ and Transformation Pressure
China boasts the world’s largest wool processing capacity, importing large quantities of raw wool annually and exporting a wide range of wool products. Take Dalang, the host town with over four decades of history in wool knitting: its annual trade volume exceeds 72 billion yuan, with garment output surpassing 900 million pieces per year—meaning one out of every five sweaters globally comes from Dalang. These figures underscore the scale advantage China’s textile industry has built by serving global markets and stabilizing global supply.
Yet pressures are mounting. Trade protectionism is disrupting traditional supply chains, while consumer demands for branding, design, and sustainability are forcing industrial upgrades. Dalang’s response is clear: shifting from OEM to culture-driven branding and independent labels, while investing in smart manufacturing and green technology. This is not just a survival strategy for one cluster but a microcosm of China’s wool industry transition from a manufacturing advantage to an innovation advantage.
From the Plateau to the World: New Practices in Supply Chain Diversification
Another highlight of the congress was a case study from Tibet, which leverages highland yak down and local wool resources to explore a “platform + workshop + school” model for rural handcrafts. This reveals an undervalued aspect of the wool industry: the human and ecological stories behind natural fibers. As consumers increasingly care about product origins and ethical production, such models that blend traditional craftsmanship with modern supply chains could become a new competitive differentiator.
Meanwhile, the advancement of the Wool Youth Program demonstrates the industry’s proactive efforts to cultivate the next generation of global talent. Dozens of youth representatives from different countries and regions covered the entire value chain, from raw material sourcing to brand marketing. This kind of talent collaboration holds greater long-term value than any technical partnership.