While most merchants in Keqiao's China Textile City fight over pennies per meter, a two-year "upward migration" experiment is unfolding in the Dongsheng Road district. Qiting, a school uniform fabric maker, and its premium offshoot Haoli Textile have pushed unit prices to 100-600 RMB per meter—several times the industry norm—through a dual-brand, dual-track strategy. Whether this path can be replicated, and what risks it carries, deserves industry-wide reflection.
The Logic of Transformation: Necessity Moves from Red to Blue Ocean
Around 2013, school uniform fabrics were a decent business, and Qiting earned its footing in the East Market through solid quality control. But by 2018, margins on conventional fabrics were squeezed, and competition turned fierce—transformation became a survival issue. Management didn't choose to cut prices; instead, they moved upmarket: developing outdoor fabrics on one track and founding Haoli Textile for high-end menswear on another. This "one store, two brands" approach essentially segments customers by positioning—Qiting handles functional orders, while Haoli targets designers and brands less sensitive to price.
Importantly, Haoli's pricing strategy is not arbitrary. Natural fibers like wool, silk, and Lyocell, combined with plant dyeing, inherently cost more than conventional synthetic products. The 100-600 RMB range covers process costs and filters out low-end clients. For buyers, this means the supplier is no longer just "selling cloth" but offering a traceable eco-narrative—especially appealing to European buyers.
Industry Impact: The Chemical Reaction of Digitalization and Supply Chain
Haoli has also embraced digitalization. Its core fabrics are now catalogued in the AI-Bu mini-program, enabling one-click matching of similar materials. Previously, designers bringing swatches for color comparison meant laborious manual searches; now the system responds in seconds, and remote communication with overseas clients has become smoother. Behind this is a tangible efficiency gain: a 15,000-square-meter shared warehouse, combined with a "stock + custom" dual model, keeps custom lead times at 3-10 days and fastest stock delivery at one hour.
What does this efficiency mean for high-end clients? Menswear designers often need rapid sampling to validate designs; traditional suppliers with weeks-long lead times slow down the entire collection cycle. Haoli's quick response effectively compresses development time—more valuable than a lower fabric price. Meanwhile, the upcoming AI-Bu experience center on Dongsheng Road, featuring smart body scanning and 3D virtual fitting, will further connect physical sampling with digital data, turning fabric sourcing from a skill-based craft into a data-driven process.
Synergy Effects: How Dual Brands Share Resources
Haoli didn't start from scratch. It shares Qiting's Italian-made napping machines, export channels, and client relationships—export fabrics meet EU standard fluorine-free environmental requirements, with domestic partnerships like Jodan lasting over eight years and brands like Xiaobeibei and Little Tiger as clients. This synergy gave Haoli a mature supply chain from day one, avoiding the common "orders but no capacity" pitfall of new brands.
But synergy has its costs. If dual brands lack clear positioning, they risk cannibalizing each other's clientele. Currently, Qiting focuses on outdoor functionality, while Haoli targets business and light luxury—clear separation. However, the high-end market is limited and loyalty-driven; Haoli's sustained growth depends on building reputation within designer circles, not just internal referrals. Last year's performance improvement and current order growth are encouraging, but long-term viability requires independent market traction.