As the incremental dividend from new home decoration peaks, the competitive logic in the home textile industry is being rewritten. The 2026 Autumn Keqiao Curtain and Fabric Fair sends a clear signal: the market no longer rewards mere low-cost capacity but concentrates orders in the hands of enterprises with original design, stable supply chains, and complete supporting services. This shift means that small and medium factories that have survived on volume will face continued share loss unless they upgrade their capabilities.
Shrinking Increment, Tiered Competition Becomes Norm
Industry data shows that in 2026, the incremental volume from new home decoration continues to contract, overall growth stabilizes, and the space for extensive capacity expansion is further compressed. This is not a short-term fluctuation but a long-term trend driven by demographic shifts and real estate cycles. The shrinking incremental market directly leads to clear tiering within the industry: small factories and terminal stores offering homogeneous goods, lacking original design and supporting services, see their living space narrow; while enterprises with R&D capabilities and brand systems steadily capture mid-to-high-end orders, with customer flow and profits concentrating among the top players. For buyers, this means the supplier selection logic must shift from 'lowest price first' to 'comprehensive capability first,' otherwise they face the dual risks of inventory buildup and customer loss.
Product Logic: Functionality and Texture in Parallel
The product trends at the fair show that consumer decision criteria have shifted. Low price is no longer the core factor; product safety, fabric texture, craftsmanship, and space-matching suitability have become key considerations. Multi-functional practical fabrics dominate the market, with features like antibacterial and anti-mite, easy cleaning and no-iron, high shading, and wear-resistant breathability becoming standard for curtains and bedding. The application of natural-fiber fabrics such as cotton, linen, Tencel, and wool has increased significantly, and environmentally friendly, durable, and easy-care processes are favored. Meanwhile, aesthetic demand shows clear tiering: the mass market prefers low-saturation colors and simple, versatile basic styles, while the mid-to-high-end market pursues original patterns, unique textures, and refined craftsmanship. For factories, this means R&D investment is no longer optional but a ticket to enter the mid-to-high-end supply chain.
Operational Upgrade: Whole-Home Solutions and Omnichannel Operations
The evolution of business models is also evident at the fair. The traditional model of single-product wholesale and passively waiting for customers is failing; whole-home package delivery, online-offline customer acquisition, and deep cultivation of existing customers have become mainstream. Consumers no longer accept fragmented single-item purchases; they prefer coordinated, style-consistent whole-home textile solutions. Source factories and terminal stores are improving their full-category supporting systems, shifting from selling fabrics and single items to delivering complete spatial solutions. In terms of customer acquisition, short videos and real-scene displays on online platforms have become normal traffic drivers, while offline experience, after-sales service, and repeat purchases through referrals form a complete loop. This change places higher demands on factories' supply chain integration capabilities—the advantage of single-category production is being replaced by the system capability of whole-home solutions.
Dual Circulation Supports Stability, H2 Outlook Positive
Despite the shrinking increment, the industry is not entering a recession channel. Domestic demand for old home renovation and partial textile replacement continues to grow, coupled with steady export orders, forming a dual-circulation market structure that provides a stable bottom support. The fair signals that the home textile industry in 2026 will maintain a stable trajectory, with no radical changes but steady optimization and benign iteration. Market tiering, product quality improvement, and operational upgrading are the three core trends, as the industry gradually moves away from the extensive low-price competition model toward a stable development stage based on quality, design, service, and supporting capabilities. For practitioners, recognizing and proactively adapting to this trend is more important than waiting and watching.