When a cool-touch bird's-eye knitted fabric secured a 30,000-meter cross-border order on the exhibition floor, the market signal went beyond simple "hot sales." It marked a shift in the value anchor of knitted fabrics—from "a few cents cheaper per meter" to "verifiable functionality, available spot stock, and complete eco-certification." The visitor mix at the Dong Sheng Road outdoor functional fabric zone in China Textile City is confirming this shift.
Event Background
During the 2026 Spring/Summer Textile Fair, spot fabric trading in Keqiao showed sharp category differentiation. Ice-silk cool-touch fabrics, breathable bird's-eye knits, and soft milk-silk fabrics for spring/summer coexisted with flannel, coral fleece, and ultra-soft knits for autumn/winter, covering sport T-shirts, yoga pants, sun-protection wear, sleepwear, sofa throws, and bedding sets. Both domestic and export orders grew in tandem, and buyers no longer accepted single-function commodity fabrics—they demanded composites like "cool-touch plus quick-dry," "high-stretch plus anti-deformation," and "warm plus skin-friendly."
This change in demand exposed the shortcomings of the old supply chain. In the past, ordinary knitted fabrics in Keqiao largely used low-cost recycled polyester, resulting in poor elasticity, pilling, and cool-touch effects that faded after repeated washing. The narrow product range forced buyers to source cool-touch and warm fabrics from multiple suppliers, complicating procurement. Small workshops lacked complete dyeing and finishing facilities, leading to color fading and stiff, scratchy textures that failed to meet the requirements of mid-to-high-end sport and home brands. These were not new problems, but they were amplified by upgrading demand into order losses.
Industry Impact
The response from source mills is reshaping the competitive rules of Keqiao's knitting industry. Companies like Gude Textile, a local source factory, integrated raw material procurement, greige knitting, eco-friendly dyeing, spot wholesale, and small-batch sampling into one supply chain. They use only virgin polyester and high-elasticity polyester-spandex, supported by finishing processes such as preshrinking, cool-touch coating, anti-pilling brushing, and reactive eco-dyeing. This means "function" is no longer just a coating label but a traceable result from yarn to finished fabric.
For buyers, this integrated supply model directly reduces hidden costs. Previously, sourcing cool-touch and warm fabrics from different mills caused inconsistent lead times and quality; now, a single source mill with thousands of tons in stock enables small-batch, multi-color rapid sampling. For mills, full-chain integration means stronger control over quality and delivery, making it easier to establish pricing power in niche segments—low-price commodity profits are squeezed further, while companies with functional fabrics and spot capacity negotiate more proactively in both domestic and foreign trade.
Notably, AI digital tools are accelerating this upgrade. The "AI Cloth" mini-program launched by China Textile City can recognize fabric parameters and generate garment effect images and promotional materials in one click, translating fabric specs into design language that apparel brands understand. This bridges the information gap between fabric wholesale and garment design, especially benefiting small-order, quick-response models—buyers can confirm direction at the digital sample stage without waiting for physical samples, shortening development cycles and reducing trial-and-error costs.
Green dyeing and eco-certification are raising industry barriers from another angle. Requirements for certifications like OEKO-TEX have shifted from "bonus" to "must-have" for foreign orders. Investment in eco-friendly and recycled materials is becoming a long-term lever for Keqiao companies to maintain their global supply advantage. In the next two years, competition in functional knitted sport/home fabrics will center on composite functionality, spot and quick-response efficiency, and green compliance—pure price competition will be further marginalized.
