One in every five sweaters globally comes from Dalan, Dongguan—a wool textile hub with an annual transaction value exceeding 72 billion yuan. During the 95th IWTO International Wool Textile Congress, the message was clear: the competitive focus of the wool industry is shifting from price and orders to the rule-making power over carbon footprint accounting, traceability standards, and environmental narratives.
From Trade Game to Standards Game
At the opening on June 24, IWTO Chairman Klaus Steger described wool as 'a core material carrying multiple dimensions of trade, politics, and environment.' The industry reality behind this statement is that the EU is accelerating its carbon border adjustment mechanism and sustainable textile strategy. Wool, as a natural fiber, has not yet been fully recognized for its low-carbon advantages and is instead facing negative public opinion about livestock's environmental impact.
The release of the 'Wool Green Paper' was the most industry-relevant move of the congress. Dr. Paul Swan stated bluntly that existing data 'deliberately exaggerates wool's negative environmental impact,' and a generation of urban youth, influenced by one-sided messaging, generally believes livestock farming is environmentally harmful. This means the wool industry must not only solve technical problems but also win a 'perception war'—and the Green Paper is the first weapon in that battle.
The Dalan Model: China's Certain Supply and Transformation Pressure
Dalan's industrial scale provided the hard data backdrop for the congress. Sun Ruizhe, President of the China National Textile and Apparel Council, disclosed that Dalan produces over 900 million garments annually, with a full industry chain transaction value exceeding 72 billion yuan, and products are exported to over 100 countries. These numbers support a key judgment: amid global trade protectionism, China's wool textile industry remains the most reliable supplier.
But certainty does not mean safety. Zou Jinchao, a member of the Dalan Town Party Committee, stated that Dalan is actively upgrading in three directions: technology, culture, and green development. From OEM to own-brand, from traditional manufacturing to intelligent and green transformation, Dalan's upgrade path is a microcosm of the entire Chinese wool textile industry. The four suggestions from Deng Xiaoding, a second-level inspector at the Ministry of Industry and Information Technology—standards, innovation, greenness, and openness—are the four wheels that Chinese wool textile enterprises must align.
The Practical Gap in Green Transition: Carbon Data and Traceability
Another key message from the congress was that green transition cannot remain at the slogan level; it must be grounded in verifiable data systems. The core function of the Wool Green Paper is to 'customize carbon footprint accounting standards for different production regions' and promote the 'co-construction of a full industry chain traceability data system.'
Currently, only a few companies have participated in the Green Paper pilot. Francesco Botto called for unified global industry voices and resource investment. What does this mean for Chinese wool textile firms? If the EU requires carbon footprint certification for imported wool products in the future, companies without a data system will be directly excluded from high-end markets. This is not a distant risk but a rule evolution already underway.
Youth and Humanity: The Hidden Competitiveness of the Supply Chain
The congress also featured a 'Young Wool Professionals' segment, where dozens of young representatives from different countries introduced themselves. This seemingly casual session actually reflected the industry's anxiety about talent gaps and intergenerational succession.
Thanawat Tiensin, Assistant Director-General of the FAO, offered another perspective: behind every wool fiber is a farming family caring for livestock and protecting the land. The 'platform + workshop + school' model shared by Zhuoma, founder of Tibet Zhuofanlin Culture Co., combines highland yak down and local wool resources with intangible cultural heritage techniques to build a sustainable supply chain. Such cases suggest to buyers that the value of wool products lies not only in the fiber itself but also in the ecological and human stories behind it—a key source of brand premium.
