One out of every five sweaters worldwide is made in Dalang, Guangdong. This cluster, which produces about 900 million sweaters annually and has a total supply chain transaction value exceeding 72 billion yuan, is trying to break its 'OEM' label through a supply-demand matchmaking event in Shanghai. On August 26, 22 Dalang knitwear enterprises gathered at the POP headquarters in Shanghai, presenting a full range from hemp-blend colored yarn, worsted wool, smart temperature-regulating yarn to men's and women's knitwear and even pet sweaters. This is not a simple exhibition but a signal of Dalang's shift from 'capacity output' to 'value output'.
Background
Dalang's industrial foundation is 'full-chain'. The first knitwear factory was established in 1979, and today 150,000 computerized flat knitting machines operate day and night, with over 2,000 yarn enterprises selling millions of tons of yarn annually. The entire chain—yarn selection, knitting, garment production, and quick delivery—is capable. However, in the past, Dalang factories often remained behind brands, earning processing fees. This matchmaking event, with 22 enterprises covering colored yarn, worsted wool, and garments, aims to show that Dalang can not only knit but also design, predict trends, and respond quickly.
Choosing Shanghai as a window is deliberate. The Yangtze River Delta is home to many mid-to-high-end brands and cross-border e-commerce buyers, making it a highland for knitwear consumption and trade. By 'going out', Dalang aims to present its capacity and design capabilities directly to domestic and foreign buyers, shortening the supply chain distance and converting samples into bulk orders faster. This regional direct connection is more targeted than participating in comprehensive trade shows.
Industrial Impact
The trend information released at the event may have greater long-term value than orders. Key stitch techniques, colors, and detail applications for 27/28 knitwear were interpreted, and AI-assisted design and style prediction were shared. This means Dalang enterprises are moving from 'order-based production' to 'trend-based production'. For buyers, this implies Dalang is not just a low-cost supplier but a partner capable of offering development advice. For factories, understanding next year's trending yarns and styles is key to adding value and winning orders.
The debut of pet knitwear is the most cross-border signal. As the pet economy heats up, Dalang enterprises are extending mature techniques like chunky knits, fine knits, and jacquard to pet apparel. One yarn can weave more than imagined. This is not only category innovation but also an optimization of capacity utilization—pet sweaters could fill off-season orders. For cross-border e-commerce buyers, pet knitwear is a high-growth, high-repurchase segment, and Dalang's supply chain can meet demands for small batches, diverse styles, and quick reorders.
From an industrial cluster perspective, Dalang is promoting regional brand upgrading through such events. The government leverages the national foreign trade transformation base platform to guide enterprises toward high-end, intelligent, and branded development. This Shanghai event essentially packages regional capacity and original design capabilities, helping buyers move beyond the 'OEM' stereotype. If this 'cluster grouping + precise matchmaking' model becomes regular, it will help Dalang knitwear establish clearer brand recognition at home and abroad.