One out of every five sweaters globally comes from Dalang, Guangdong. Behind this statistic lies an industrial cluster with an annual transaction volume exceeding 72 billion yuan and a garment output of over 900 million pieces. On June 24, the 95th International Wool Textile Conference opened here, with the theme 'Smart Weaving the Future: Wool Health and Digital Life.' As natural fibers meet digital technology, the growth logic of the wool industry is being redefined.
Industry Foundation: Quality Beyond Scale
Sun Ruizhe, President of the China National Textile and Apparel Council, stated at the conference that China's textile industry provides certainty for global industrial stability. From January to April 2025, profits of textile enterprises above designated size surged 19.3% year-on-year, with an operating profit margin of 2.9%. Meanwhile, retail sales of clothing, shoes, hats, and knitwear by units above designated size grew 8.1% year-on-year, accelerating by 5 percentage points from the previous year. These figures show resilience under pressure.
On the manufacturing front, China processes over 60 million tons of fiber annually and produces more than 70 billion garments, accounting for over 50% of global output. More notably, R&D spending intensity among designated enterprises rose from 1% in 2020 to 1.3% in 2024, while high-performance fiber capacity now exceeds one-third of the global total. This signals a shift from cost advantage to technological edge.
Technological Transformation: Smart and Green as Dual Engines
The conference's 'digital life' theme is grounded in reality. The industry's digitization rate for key processes has reached 63.2%, above the national manufacturing average. In 2024, 30 textile enterprises were listed in the 5G factory directory. For example, Jiangsu Yueda Textile's 'Lighthouse Factory' reduced labor per 10,000 spindles by 70%, boosted overall labor productivity by more than four times, cut unit energy consumption by 15%, and lowered processing costs by 26%.
On the green front, technologies like waterless dyeing and digital printing are accelerating. Anuoqi's ecosystem—from dyes and inks to digital printing, AI design, and IP cultural products—exemplifies the traditional wool industry's pivot toward tech and culture. For buyers, this means improved capacity stability and quality consistency, with small-batch, quick-response orders becoming a new competitive battleground.
Global Shifts: From Cost Advantage to Paradigm Competition
The IMF has downgraded its 2026 global growth forecast to 3.1%, as geopolitical tensions, energy volatility, and shipping disruptions compound market complexity. From January to May 2025, China's textile and apparel exports grew only 0.1% year-on-year, with apparel exports falling 1.6%. This signals diverging external demand, making volume-dependent export models unsustainable.
Meanwhile, artificial intelligence is reshaping industrial comparative advantage. The global AI market is expected to reach $757.58 billion in 2025, with projections exceeding $900 billion by 2026. In textiles, AI has penetrated design, production, and management. Semir's AI-assisted design system boosted design efficiency by 35%, with pattern design improving over 200%. Bosideng's 'AI Aesthetic Brain' reduced sample development costs by over 60%.
For wool enterprises, this means a shift in cost structures—computing power, data, and energy coupling are replacing traditional land and labor advantages. By 2030, global data center electricity demand will be 175% higher than 2023, making energy efficiency a core competitiveness metric.
Regional Sample: Lessons from Dalang
As a renowned wool knitwear town, Dalang's development offers a global window. With a full-chain transaction volume exceeding 72 billion yuan and annual garment output of over 900 million pieces, these numbers reflect open cooperation and industrial agglomeration. The conference's location choice signals that China's wool industry is no longer just a processing base but a hub for technology, branding, and markets.
Companies like Hengli, Weiqiao, Erdos, and Shenzhou International are transitioning from 'product export' to 'capability export' through cross-border M&A and global expansion. This shift demands buyers and exporters to look beyond price, focusing on digitization levels, green certifications, and rapid-response capabilities.
