An underestimated number is rewriting the narrative logic of the global textile industry: Dalang, a small town in southern China known for wool knitting, has a full industry chain annual transaction volume exceeding 72 billion RMB, producing over 900 million garments annually—equivalent to one out of every five sweaters worldwide coming from here. According to Sun Ruizhe, President of the China National Textile and Apparel Council, this is not only a microcosm of open cooperation but a direct realization of industrial agglomeration effects.
Data-Backed Industrial Resilience
China's textile industry is evolving from a 'scale provider' to a 'system stabilizer' in the global supply chain. China Customs data shows the industry has exceeded $300 billion in exports for six consecutive years, with strong shipments of intermediate goods like chemical fibers and fabrics providing irreplaceable support for downstream manufacturing. From January to May this year, total textile and apparel exports reached $116.73 billion, up 0.1% year-on-year, maintaining positive growth despite external pressures.
More notable is the shift in profit structure. From January to April, while revenue of above-scale enterprises fell 0.3% year-on-year, total profit surged 19.3%, with the operating profit margin rising to 2.9%. This indicates the industry is improving profitability through technological upgrades and cost control rather than simple scale expansion. Meanwhile, retail sales of garments, shoes, hats, and knitwear at units above the designated size totaled 512.13 billion RMB, up 8.1% year-on-year, providing a second growth curve for the industry.
Intelligent and Experience: Two Parallel Transformation Lines
The theme of the 95th International Wool Textile Conference, 'Smart Weaving the Future: Wool's Health and Digital Life,' precisely captures two core directions of industrial transformation. On one hand, the intelligent economy is reshaping the production end. China's textile industry has achieved a 63.2% digitalization rate in key processes, higher than the national manufacturing average. For example, Jiangsu Yueda Textile's 'Lighthouse Factory' reduced labor per 10,000 spindles by about 70%, increased total labor productivity by over four times, cut unit energy consumption by 15%, and lowered processing costs by 26%. AI-assisted design systems have boosted Semir's overall design and development efficiency by 35%, while Bosideng reduced sample development costs by over 60%.
On the other hand, the experience economy is reshaping the consumption end. Consumer stratification is evident, with health, emotional connection, and self-expression becoming core demands. Wool, as a natural fiber, opens new premium space when combined with digital life scenarios. Social media accelerates information dissemination, making product discovery and decision-making increasingly intelligent, requiring brands to shift from 'selling products' to 'selling experiences.'
Dual Focus: Regional Industrial Clusters and Global Brands
Dalang's rise is not an isolated case. From Keqiao's fabrics to Shengze's chemical fibers, from Nantong's bedding to Humen's garments, China's textile regional clusters are forming unique ecological loops. The Dalang model's essence lies in the synergy of the entire industry chain—from raw material procurement, design, and sample making to production and sales. The 72 billion RMB annual transaction volume behind thousands of small and medium enterprises' collaboration not only reduces transaction costs but also enhances resilience against market fluctuations.
At the brand level, Anta and SHEIN have entered the global top 500 brands, while Hengli, Erdos, and Shenzhou International deeply participate in international cooperation through cross-border M&A and global production layout. The global recognition of Chinese design and products is rising, with the trend of 'Guochao' adding cultural value to traditional categories like wool textiles.
