The wool textile industry experienced a slowdown in the second quarter this year.

Production of wool yarn and wool fabric saw an increase of three per cent and 46 per cent respectively. The demand for wool fabric has increased rapidly since the beginning of this year. Cumulative production from January to May exceeded production during the same period pre-pandemic, showing a significant year on year increase.

Total Chinese exports of raw wool materials and wool products increased 21 per cent year on year (excluding chemical fiber carpets). The total value of products of all categories enjoyed year on year growth; in terms of export volume, most categories saw growth, excluding wool yarn and wool knitwear. Among them, wool fabric showed a strong rebound from the shrinkage in the previous two years.

Given the growth trend of overall consumption, the consumption of wool products in the key markets has also perked up. From January to May, total imports of the US market increased by 51 per cent year on year. The wool apparel market in the US grew faster than expected and showed high growth for two years.

The overall situation in China is improving and the domestic textile and apparel market trade and consumption are expected to improve.