Dalang, a small town in Dongguan renowned for its wool knitwear, is signaling to the global industry that the future of wool textiles is no longer just 'weaving' but 'smart weaving'.
Dalang as a Global Wool Barometer
The choice of Dalang as the venue for the 95th International Wool Textile Conference is itself an industry benchmark. The town now produces one-fifth of the world's sweaters, with an annual garment output exceeding 900 million pieces and an industrial chain transaction value surpassing 72 billion yuan. Behind these figures lies the transformation of China's wool industry from labor-intensive to clustered, large-scale production. Data released by the China National Textile and Apparel Council shows that R&D spending intensity among large-scale textile enterprises has risen from 1.0% in 2020 to 1.3% in 2024, with national-level innovation platforms expanding steadily. China now accounts for over one-third of global high-performance fiber capacity. This means China's wool industry is no longer just the 'world's factory' but also a source of technological innovation.
The Smart Economy: A New Weave for Wool
The conference theme, 'Smart Weaving the Future: Wool for Health and Digital Life,' is more than a slogan—it reflects industrial reality. Artificial intelligence is reshaping every link of the wool supply chain, from AI-assisted design to intelligent quality inspection, digital twins, and flexible manufacturing. Data from a 'lighthouse factory' in Jiangsu shows that implementing smart manufacturing has reduced labor needs per 10,000 spindles by about 70%, boosted total labor productivity by more than four times, and cut unit energy consumption by 15%. These figures underscore that automation is not an option but a necessity for cost reduction and efficiency gains. The widespread adoption of AI agents and digital employees is transforming skill requirements, forcing companies to rethink 'human-machine collaboration' efficiency metrics.
The Experience Economy: Consumer Demand Reshaping the Chain
Global consumer markets are undergoing structural fragmentation. Consumers no longer settle for a warm sweater; they demand health, sustainability, emotional connection, and self-expression. The wool industry must shift from 'selling fabric' to 'selling experiences.' This requires redesigning the entire value chain from farm to finished garment. The accelerated adoption of green technologies like waterless dyeing and digital printing is not just about compliance but meeting consumer demand for sustainable products. With a key-process digitalization rate of 63.2%—higher than the national manufacturing average—China's textile industry provides a technological foundation for wool enterprises to respond quickly to market shifts.
Resilience Amid Pressure: What the Data Says
Despite headwinds from geopolitical tensions, energy volatility, and financial tightening, China's textile industry showed resilience in the first four months of 2025. Profits of large-scale enterprises rose 19.3% year-on-year, while retail sales of garments, footwear, and textiles above a certain size increased by 8.1%. However, divergent fixed-asset investment trends warrant attention: textile sector investment grew 10.8%, while apparel and chemical fiber investment declined by 10.3% and 14.5%, respectively. This indicates varying prosperity across the supply chain, urging wool enterprises to target high-growth segments and avoid blind expansion.