In the first half of 2026, the textile machinery industry's industrial value-added growth for enterprises above designated size reached double digits, while the average growth for the entire textile sector was only 3.3%. This contrast clearly shows that the recovery at the equipment end is far stronger than terminal demand, driven by the concentrated release of equipment renewal and digital transformation in the textile industry during the opening year of the 15th Five-Year Plan. For equipment suppliers, this means the order structure is undergoing fundamental changes, and the era of relying solely on traditional models is over.
Structural Divergence: Spinning Booms, Weaving and Chemical Fiber Remain Lukewarm
By segment, spinning machinery was the standout performer in H1. Demand for intelligent complete sets such as ring spinning, air-jet spinning, and rotor spinning was robust, driven by two main factors: first, domestic cotton spinning enterprises accelerated intelligent upgrades; second, textile industrial clusters in central and western regions like Xinjiang continued to expand production. These dual drivers directly boosted spinning equipment orders significantly, with leading enterprises operating at full capacity and delivery cycles lengthening. In contrast, the weaving machinery market showed clear polarization—high-end air-jet looms and special fiber weaving equipment were favored, but demand for traditional general-purpose models declined. Chemical fiber machinery, knitting machinery, and dyeing and finishing equipment remained in a slow recovery phase, with downstream investment attitudes conservative and overall recovery pace moderate.
This divergence means that a company's product structure directly determines its growth quality. For small and medium manufacturers still focused on general models, the first half may not have felt the warmth of industry recovery, instead facing more intense price competition. Enterprises with R&D capabilities in high-end intelligent equipment enjoy dual dividends from technology premiums and concentrated orders.
Export Resilience: Emerging Markets Become Second Growth Pole
In foreign trade, domestic textile machinery continued its strong export momentum. Amid global textile supply chain restructuring, domestic equipment leveraged outstanding cost-performance advantages to win more orders in emerging markets such as Southeast Asia, Central Asia, the Middle East, and Africa. Exports of spinning and weaving equipment performed particularly well. Leading textile machinery enterprises accelerated overseas deployment, with technology export and localized service models maturing. Overseas markets have become an important growth pole.
For exporters, this is not just an increase in orders; it means a business model upgrade. Selling equipment alone is insufficient for long-term competitiveness. Providing full-process services such as installation, commissioning, operation training, and spare parts supply can help build barriers in emerging markets. Companies that have established overseas service networks will gain an edge in subsequent competition.
Profit Pressure and Innovation Breakthrough
Despite signs of overall profitability improvement, operating pressure persists. Fluctuations in raw material prices such as steel and motors directly push up manufacturing costs, while homogenized competition triggers price wars in low-end segments, continuously compressing profit margins. Meanwhile, downstream textile enterprises have limited willingness for large-scale expansion, making investment decisions more cautious—the foundation for industry recovery is not yet solid.
In this context, technological innovation has become the core path for companies to break through difficulties. R&D focuses on high-speed efficient production, digital control systems, low-carbon energy saving, and flexible equipment suitable for small-batch, quick-response models. Innovative products such as intelligent spinning lines, AGV warehousing and transfer systems, AI online quality inspection equipment, and low-energy dyeing and finishing equipment are accelerating deployment. Domestic substitution of core components is steadily advancing. Many companies have shifted from single hardware sales to providing full-process complete solutions, with technical service revenue share continuously rising, driving industry value from "equipment manufacturing" to an integrated "equipment + software + operation & maintenance" service model.
Industrial Transfer Drives Replacement Demand
The gradient transfer of the domestic textile industry has also released considerable replacement demand for textile machinery. Capacity continues to migrate to central and western regions, driving equipment procurement for new production lines; eastern coastal enterprises are accelerating the elimination of high-energy-consuming old equipment, marking the start of a new round of equipment renewal. The transition between old and new drivers paves a long-term growth track for the industry.
For equipment manufacturers, this means not only focusing on new capacity but also deeply cultivating the replacement market. New factories in central and western regions have higher demand for automated and intelligent equipment, while eastern renovation projects emphasize energy saving and digital upgrades. Companies need to develop differentiated product strategies for different regions and customer groups.
H2 Outlook: Recovery Continues, but Divergence Deepens
Industry experts believe that opportunities and challenges coexist in the second half. With the traditional autumn-winter peak season approaching, downstream stocking pace accelerates, and textile machinery orders are expected to maintain a recovery trend. However, a broad-based rally is unlikely; market resources will further concentrate among leading enterprises with independent R&D capabilities, high-end complete solution capabilities, and comprehensive domestic and overseas service systems.
This means small and medium equipment manufacturers must accelerate transformation, either by building technical barriers in niche fields or integrating into the ecosystems of leading companies; otherwise, they will face dual pressures of shrinking orders and declining profits. Purchasers, on the other hand, should seize the equipment renewal window, prioritizing equipment with intelligent upgrade potential and long-term service support to meet future challenges of flexible production and green manufacturing.