The survival rules for fabric merchants in Keqiao, China Textile City, are being rewritten. As the mass market sinks into price wars, pioneers are breaking upward—Haoli Textile in the Dongcheng Road outdoor fabric zone is carving a niche in premium menswear and light luxury through dual-brand positioning and digital tools. This reflects Keqiao's textile shift from scale-driven to value-driven growth.
Background
Haoli's trajectory began in 2013 when Qiting launched in the East Market, focusing on school uniform base fabrics, building clients and supply chains through quality control. In 2018, as profits in conventional fabrics compressed, a strategic pivot began: developing functional outdoor fabrics while founding Haoli to target premium menswear, forming dual independent brands. This timing aligns with industry cycles—slowing domestic demand and intensifying export competition forced merchants to seek higher-value categories.
Choosing Dongcheng Road was deliberate. As a specialized outdoor fabric zone, it attracts brands, e-commerce sellers, and designers with finer requirements and higher order conversion rates. Haoli's general manager Li Xiongzhen notes it's an ideal platform for premium fabric business. From Phase I to Phase II, two storefronts clearly segment tracks: Qiting serves outdoor functional needs, Haoli targets menswear and light luxury, avoiding internal cannibalization while sharing supply chain resources.
Industry Impact
Haoli's product strategy hits industry pain points: using natural fibers like wool, silk, and Lyocell, replacing chemical dyeing with plant extraction. This not only meets environmental trends but anchors prices at 100-600 RMB, precisely avoiding low-end price wars. For buyers, this means added value shifts from tonnage to taste, making supply chain responsiveness a new competitive dimension.
The integrated factory provides 15,000 sqm of warehousing, with dual stock and custom order modes—small urgent orders are handled quickly, custom lead times are 3-10 days, and fastest shipping can occur within an hour. This agility is crucial for premium orders, as designers and brands often face sample-making and small-batch fast-replenishment pressure. Digital tools further amplify efficiency.
Digital archiving via the AI Fabric mini-program converts core fabrics like waffle, air layer, and pique into searchable data assets. Previously inefficient manual sample matching and color card comparison are replaced by one-click matching of similar fabrics. For remote overseas clients, system matching accuracy improves, saving significant time. Li emphasizes that digitalization is an essential tool for premium fabric business, not an optional gimmick.
The AI Fabric experience hall supporting Dongcheng Road is about to trial operate, featuring smart body measurement, 3D virtual fitting, fabric visualization, and garment simulation, showcasing physical and virtual samples online and offline. This extends fabric display from physical touch to digital twin, potentially reshaping B2B procurement.
Dual-brand synergy is showing results. The outdoor fabric production line uses Italian imported napping equipment, enhancing capacity and bargaining power; export channels cover Europe and America, meeting EU standards for fluorine-free environmental protection. Domestic clients include Qiaodun (8-10 years), Xiaobeibei, and Xiaozhubanna, with two-way referrals opening premium menswear channels. Within two years of transformation, overall performance has improved significantly, and order growth suggests continued momentum.
