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China's textile and apparel sector dominates the global market

 

Chinas textile and apparel sector dominates the global market

As the second China International Supply Chain Expo (CISCE) unfolds in Beijing, the spotlight shines on China's textile and apparel sector, a critical pillar of the nation's robust supply chain network and a major contributor to the global economy.

China has solidified its position as a dominant force in the textile and apparel industry, boasting the world's largest production capacity and export volume. This success is due to several factors.

Scale: China's textile industry leads with over 40 per cent of the world's 500 major industrial products, holding the top spot in global manufacturing for 14 consecutive years. This massive scale translates into competitive pricing and a vast array of product offerings.

Supporting systems: Over the years, China has created a comprehensive supporting ecosystem for the textile industry, which encompasses raw material production, textile machinery manufacturing, and efficient logistics networks. This integrated approach streamlines production processes and enhances overall efficiency.

Technological advancement: The industry is increasingly embracing automation and advanced manufacturing technologies to improve productivity and product quality. Investments in research and development are driving innovation in areas like sustainable textile production and smart manufacturing.

Table: China’s market share

Metric

Value

Source

Global textile and apparel market share

31.6% (2023)

Sheng Lu Fashion

Total value of textile and apparel exports

$164 billion (2023)

Sheng Lu Fashion

Domestic consumption of textile and apparel production

70-80%

Sheng Lu Fashion

Number of R&D projects in the textile and apparel sector

Over 10,000 (2022)

Statista

Despite facing challenges such as rising labor costs and increasing competition from other low cost countries, China's textile and apparel sector has shown resilience and adaptability. The industry is actively pursuing strategies to maintain its competitive edge.

The sector has shifted focus to higher-value products, moving away from basic garments, like functional apparel and fashion-forward designs. With growing demand for eco-friendly products, the industry is also investing in sustainable practices, such as recycled materials and reducing water and energy consumption. Also, Chinese textile and apparel companies are actively developing their own brands to enhance their global recognition and capture a larger share of the value chain.

China's commitment to further integrating its textile and apparel sector into the global supply chain is evident. The CISCE serves as a platform to showcase the industry's strengths, foster international collaborations, and explore new opportunities for growth. As the world becomes increasingly interconnected, China's textile and apparel sector is poised to remain a vital thread in the fabric of the global economy.

 
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