FW
The premier trade fair for technical textiles, non-wovens, and composites, Techtextil India 2025, commenced today, November 19, 2025, at the Bombay Exhibition Centre in Mumbai, marking its 10th edition. Organized by Messe Frankfurt Trade Fairs India, the event runs until November 21, 2025. This landmark edition connects 215 exhibitors, including 100 first-time exhibitors, to the textile value chain. The show’s dynamic agenda features over 300 brands, showcasing innovations across 12 application-based textile segments. Visitors are offered ample engagement and networking opportunities to discover next-generation solutions and deepen partnerships at this vital B2B event.
Focus on MMF, sustainability, and India's global role
Dignitaries emphasized the growing significance of man-made fibres (MMF) and the need for sustainability. R Lalitha, IAS, opined that the expo weaves together leading innovators, policymakers, and companies to frame appropriate policies for the growing industry. She also stated her belief that man-made fibres is the sunrise sector in the future and that concepts like sustainability and circularity will give rise to better technology that could help speed up research and development in India. On the milestone occasion, Raj Manek commented that the Indian textile industry is witnessing a remarkable transformation driven by government support, technological innovation, and global demand for sustainable materials. He added that Techtextil India 2025 will not only showcase the latest in technical textiles and nonwovens but also serve as a knowledge-driven hub connecting policy with practice. Manek concluded that the synergy between government initiatives and industry platforms like Techtextil India 2025 will continue to strengthen India’s leadership in the global textile landscape, weaving together innovation, collaboration, and opportunity.
Expo highlights and industry support
The 10th edition is recognized as a significant platform for innovation, strategic networking, and opportunity creation for the technical textile sector. The opening day has already experienced robust participation, energized discussions, and promising collaboration. The three-day event will feature in-depth knowledge sessions under the Techtextil Symposium. Topics will range from new avenues for technical textiles and sustainable textiles to India’s activewear future, exploring circular supply chains, and fabrics from waste. Event highlights include a dedicated Sporttech Pavilion and a German Pavilion featuring 13 brands. The expo has garnered support from key industry bodies, including the Manmade & Technical Textiles Export Promotion Council (MATEXIL) and the Indian Technical Textile Association (ITTA). The Department of Textiles (Government of Maharashtra) and the Government of Tamil Nadu are also supporting the event, with Tamil Nadu serving as the Partner State. Techtextil India is part of Messe Frankfurt’s Texpertise Network.
Distinguished dignitaries and industry vision
The show was inaugurated in the presence of distinguished dignitaries. The list included the Guest of Honour, Honourable R Lalitha, IAS, Director of Textiles, Department of Textiles, Government of Tamil Nadu. Other key figures present were Pramod Khosla, Member of Committee of Administration, The Manmade and Technical Textiles Export Promotion Council (MATEXIL), andMahesh Kudav, Chairman, Indian Technical Textiles Association. Messe Frankfurt representatives included Sabine Scharrer, Director, Brand Management, Technical Textiles and Textile Processing, Messe Frankfurt GmbH, and Raj Manek, Executive Director & Board Member, Messe Frankfurt Asia Holdings Ltd.
The world's largest fibre innovation congress, the Dornbirn Global Fibre Conference (GFC) Asia, made a landmark debut in Mumbai this week, positioning sustainability and circularity as the critical engines for India's ambitious textile growth. Held under the umbrella of the Techtextil India Symposium 2025, the conference, themed ‘Shaping the Future: Sustainable Growth in Fibre Solutions and Innovations’, served as a high-level platform for global experts to converge with India's vibrant textile sector.
The event established a direct link between global-standard fibre innovation and India’s urgent national target: elevating its textile and apparel exports to USD 100 billion by 2030. The path to this goal, as highlighted by the conference, runs directly through embracing man-made fibres (MMF), technical textiles, and, most crucially, closing the loop on textile waste.
The $100 bn imperative and the MMF shift
India, traditionally a powerhouse in natural fibres like cotton, is now at a "transformative juncture" that demands a strategic pivot toward innovation. The shift is not just about increasing volume but diversifying into higher-value technical textiles, which have diverse applications in areas like automotive airbags, hygiene products (e.g., baby diapers), and more.
“India is becoming an epicentre of man-made fibre and the circular supply chain into yarn,” stated Bhadresh Dodhia, Co-Chairman of the Bharat Tex Committee 2025. This pivot is essential for achieving the export goal, cementing India's place as a global hub for technical textiles.
The Critical Challenge: Turning waste into a raw material
While the vision for a 'greener, smarter, and more resilient textiles future' is clear, the conference laid bare a significant challenge—and a massive opportunity—in recycling.
Regarding The Recycling Gap, in India, textile-to-textile recycling is currently below 1%. However, Dodhia did not view this as a gap, but as a "big opportunity to harness this huge pile of waste that has the potential to be the raw material” for the industry.
The discussions emphasized that success hinges on implementing circular economy practices. This includes adopting technologies for collection and sorting to efficiently make feedstock available for the circular supply chain to work efficiently. India is already taking positive steps, leading many developed countries in converting post-consumer waste, such as recycling bottles into yarn and plastic. Furthermore, the implementation of Extended Producer Responsibility (EPR) for plastic waste could significantly speed up the recycling of plastic waste into fibres, helping India realise its potential to become a recycled polyester hub.
Collaboration: The key to unlocking potential
The Government of Tamil Nadu—a state already established in natural fibres—supported the event as a Partner State. Hon’ble Ms. V Amuthavalli, IAS, Secretary – Handlooms, Handicrafts, Textiles and Khadi, Government of Tamil Nadu, highlighted the strategic exchange: “Being a Partner State to the Dornbirn GFC Asia, we are looking towards exchanging knowledge and building Tamil Nadu’s technical textiles industry as well,” emphasizing the need to diversify more into man-made fibres as well.
The industry's ability to embrace change, drive innovation and foster cross-sector collaboration will define its success. As Murugan Thenkondar, President – Marketing & Global Head – Business Development, Aditya Birla – Grasim Industries Limited – Birla Cellulose, noted, this platform is "good for India as it will bring a lot of outside perspective in India".
Uday Paul Singh Gill, Senior Partner, Gherzi Consulting, and Guest of Honour, emphasized the global context, “I believe that there is a huge potential in the Indian industry with diverse applications in baby diapers, automotive airbags, hygiene and more. Globally, circularity, sustainability and AI will impact industry."
The conference, which featured industry leaders like Birla Cellulose, Lenzing, and Oerlikon, ultimately served as a "seminal platform" to propel India's textiles sector into a new era where sustainability and digital transformation are no longer optional. They are essential for maintaining competitiveness.
The Dornbirn GFC Asia, a collaboration between Messe Frankfurt Trade Fairs India and the Austrian Fibers Institute, was designed to bring in this essential global expertise.
On October 29 and 30, the marble halls of Cipriani South Street became the nerve center of a global fashion industry at an inflection point. At the annual ‘WWD Apparel & Retail CEO Summit’, executives from the world’s most influential brands gathered against a backdrop of economic volatility, geopolitical disruptions, and the relentless acceleration of technology. This year’s theme: The Power of Resilience, was less a slogan and more a survival blueprint.
Across two days of rigorous discussions and a star-studded Honors gala, one message rose above the rest: the fashion industry must shed old operating systems and embrace a future defined by data intelligence, AI-powered agility, and a reinvention of corporate culture.
Fashion’s reckoning with redundant data
If there was one topic that dominated the summit, it was the silent yet staggering cost of inefficient data management. In the keynote, ‘Escape the Data Trap’, executives confronted an industry-wide problem that has long been hidden in plain sight: the massive duplication of product information.
Research presented at the summit revealed that nearly 89 per cent of product data across brands is identical a redundancy that collectively drains over $100 billion annually through repeated formatting, cleansing, and manual entry. Executives described this not as an IT issue, but a structural roadblock to creativity and growth. “Agility isn't just fast fulfilment, it’s freeing teams from data drudgery so they can make decisions that matter,” one leader said, distilling the urgency of the moment. In a business that prizes speed, personalization, and trend responsiveness, the industry can no longer afford a back-end clogged with copy-and-paste inefficiencies.
From hype cycle to hard ROI
While technology has long been a buzzword at CEO summits, this year marked a turning point. The conversations around generative AI shifted from possibility to profitability. Oz Saar, Chief Innovation Officer at Steve Madden, outlined a near-future where generative AI will sit at the core of product development, forecasting, and supply chain orchestration. According to projections shared at the summit, AI adoption in retail, currently in the single digits is expected to grow to nearly 50 per cent by 2030.
This is not theoretical optimism. Retailers are already using AI to shorten design cycles from months to days; reduce supply chain forecasting errors; automate SKU-level decision-making; personalize consumer journeys at scale
The takeaway was unequivocal: brands that treat AI as an optional tool will fall behind; those that treat it as a strategic co-pilot will define the next decade of retail profitability.
Culture as the ultimate shock absorber
If data and AI dominated the daytime sessions, the evening conversations turned toward the less tangible but equally critical pillar of resilience: corporate culture. Executives from Neiman Marcus Group emphasized a guiding philosophy of ‘leading with love’, a surprisingly human-centric mantra in a luxury sector fighting headwinds. For them, resilience is not just financial stamina; it's emotional intelligence, empathy, and internal trust.
Meanwhile, e.l.f. Cosmetics shared how its culture of “healthy conflict and accountability” paired with issuing equity to every employee has created a workforce where ownership is literal, not metaphorical. The brand’s meteoric rise, executives argued, is inseparable from the cultural fabric behind it. The summit made clear that in an industry shaped by macro disruptions, culture is no longer soft strategy, it is infrastructure.
Leadership on the frontlines
The summit’s roster of speakers read like a who’s who of modern retail influence, each offering a window into the frontline challenges of brand reinvention. In the session ‘Reinventing an American Icon’, Richard Dickson detailed his ongoing mission to revive Gap Inc. It is, at its heart, an exercise in disciplined simplification cutting noise, sharpening brand identity, and rediscovering the authenticity that once made the label a cultural symbol. His message resonated with an industry grappling with the burden of heritage in a hyper-modern world: reinvention begins with clarity. In Forging a Resilient Future’, PVH Corp. CEO Stefan Larsson and Narvar CEO Anisa Kumar argued that supply chain transparency and post-purchase experiences now carry as much weight in consumer loyalty as product design. As customers grow more informed, the end-to-end brand experience becomes a critical differentiator.
Founders Margaret and Katherine Kleveland of the Californian label Dôen, loved for its mission-driven ethos shared the unique balancing act of scaling a boutique brand without diluting its values. Their session, ‘Testing the Limits’ underscored how creative integrity and operational rigor must move in lockstep.
In ‘Navigating Opportunities in Fashion’ designer Narciso Rodriguez offered a perspective on creative endurance. Against the churn of micro-trends and social media cycles, he argued that the only viable path for designers is to protect their creative core while adapting to technology-driven change.
The summit culminated with the annual Honors gala a celebration not just of commercial achievement, but of leadership that models resilience. The prestigious John B. Fairchild Honor went to Brunello Cucinelli, the Italian designer whose luxury empire is built on craftsmanship, human dignity, and a philosophy of ‘humanistic capitalism’. It was a recognition of a business that has consistently defied industry turbulence.
Other honorees included: Fran Horowitz, CEO, Abercrombie & Fitch; Tory Burch, Executive Chairman & CCO; Todd Snyder, Founder & President; Naiomi Glasses, Artist-in-Residence, Polo Ralph Lauren; Luxury houses Bulgari and Boucheron; digital native disruptor Bubble Skincare; design-led brand Dôen. Collectively, the honorees represented a cross-section of the industry’s future craftsmanship, creativity, cultural relevance, and digital-native agility.
In a major policy reversal to support the textile industry's global competitiveness, the Ministry of Textiles has immediately rescinded the Quality Control Order (QCO) on Viscose Staple Fibres (VSF). The notification, published on November 18, 2025, reverses the 2022 order that mandated Bureau of Indian Standards (BIS) certification for VSF imports. This strategic move, following a similar rollback for the polyester value chain, directly addresses the industry’s concerns over high raw material costs and supply constraints.
Price war and supply chain relief
The QCO had acted as a non-tariff barrier, granting a 10-12% price premium to the sole domestic VSF producer and causing imports to plummet by 65% since April 2023. The market re-opening will facilitate an immediate inflow of cheaper VSF from global suppliers like China and Indonesia, forcing a convergence of domestic prices with international rates. As VSF—the second-largest Man-Made Fibre (MMF)—becomes cheaper, it increases the competitive pressure on Polyester Staple Fibre (PSF) and makes Poly-Viscose (P-V) blends more cost-effective for garment manufacturers. The overall reduction in MMF costs is expected to significantly improve the global cost competitiveness of Indian textiles, aligning with the Vision 2030 goal of achieving $100 billion in textile exports.
Industry leaders have hailed the decision as a "path-breaking reform," critical for ensuring seamless access to raw materials and driving growth toward the government's target of a $350 billion textile business.
The Rajasthan State Industrial Development and Investment Corporation (RIICO) has granted an administrative approval of approximately $25.0 million (₹221.03 crore) for the development of the Roopaheli Textile Park in Bhilwara. This significant investment is being hailed as a critical step to transition the 'Textile City' from merely a production hub to a state-of-the-art integrated manufacturing and export center, specifically focusing on its dominant synthetic and technical textile segments.
Phasing out bottlenecks with a new Mega-Park
The sanctioned funds are earmarked for developing the new park over 12.48 lakh sq. meters in Hurda Tehsil, providing 181 industrial plots. The plan includes essential infrastructure like fire stations, skill development centers, and common facilities to consolidate spinning, weaving, processing, and garment production. Bhilwara, historically known as a major producer of PV (Polyester-Viscose) fabrics, currently operates around 1,000 textile units with an estimated annual turnover of approximately $2.82 billion (₹25,000 crore), exporting synthetic yarn and fabrics globally. The new park aims to address long-standing challenges such as high electricity costs and the need for modern infrastructure, which the industry has consistently raised in pre-budget demands.
Resilience and the Technical Textile future
Despite global slowdowns and post-pandemic challenges like supply chain disruptions, Bhilwara's textile sector has historically demonstrated resilience, with an annual growth rate averaging 8-10% before major economic shifts. The city accounts for 47% of Rajasthan’s net value added in textiles. A key growth driver is the expansion into technical textiles—fabric used for functional, non-apparel purposes like military tents and industrial applications—a segment where local players are actively diversifying.
Big companies such as Bhilwara Technical Textiles Limited (BTTL), which focuses on this specialized segment, highlight the market potential. While smaller firms face profitability pressures, their presence underlines the strategic shift toward high-value, niche products. This RIICO investment is seen as crucial for providing the supportive ecosystem required for this next phase of value-added manufacturing and realizing the industry's full export potential. This video provides an update on the $25.0 million sanction for the Roopaheli Textile Park in Bhilwara.
Day 1 of the Asia-Pacific Textile & Apparel Supply Chain Expo (APTEXPO 2025) in Singapore redefined the future of fashion sourcing, shifting the industry’s narrative from low-cost labor to sustainable compliance and technology integration. With major buyers like Nike, Lululemon, and VF Corporation driving attendance, the immediate challenge is re-engineering supply networks to be resilient and fully traceable.
Circularity demands reshaping partnerships
The pivotal issue remains environmental accountability. As the global secondhand apparel market is forecasted to grow five times faster than the primary sector, pressure is mounting on Asian manufacturers to embrace circularity. Sharon Lim, President of the Singapore Fashion Council, emphasized the urgent need for verifiable sustainability, stating, “Greenwashing is no longer an option.” Exhibitors like NicheTech Advanced Materials are showcasing bio-based and recycled performance textiles, transforming traditional supplier relationships into deep-rooted sustainability partnerships—a key challenge for Asia’s manufacturing base.
Performance & decentralized growth
The event highlighted the booming specialized apparel segment at the Sports & Outdoor Fashion Forum. Brands like Lululemon, known for its strong athleisure market position and double-digit annual revenue increase, are driving demand for functional, high-performance, and sustainable materials. This retail initiative supports the broader plan for decentralized manufacturing models, a strategy aimed at mitigating supply chain risks (cited as a challenge by 56% of fashion executives in a recent report) and boosting efficiency across the region.
When the US announced a sweeping 50 per cent tariff on Indian textile and apparel imports, the shockwaves reverberated across India’s factory floors and policy circles alike. The move, ostensibly aimed at protecting American manufacturing threatened to upend a sector that employs over 45 million people and contributes nearly 10 per cent of India’s total exports.
In Tiruppur, the heart of India’s knitwear export hub where a third of shipments go to the US, panic spread swiftly. Containers sat idle at ports. Buyers renegotiated contracts or withdrew altogether. Within a fortnight, yarn orders plunged 30 per cent, and many exporters supplying brands like Gap, Tommy Hilfiger, and Ralph Lauren were asked to absorb a quarter of the tariff burden an impossible demand in an industry where margins rarely exceed 7-8 per cent.
“This isn’t just a slowdown, it’s a tectonic shift,” said Raja Shanmugam, former president of the Tiruppur Exporters’ Association. “We’ve faced currency volatility, inflation, and global recessions before. But a 50 per cent tariff changes the fundamental equation.”
The immediate fallout an existential threat
Exports to the US, valued at around $10.7 billion annually, are now expected to fall by up to 40 per cent, according to preliminary industry estimates. The Global Trade and Research Initiative (GTRI) reported that between May and August 2025, India’s overall exports to the US had already declined 22.2 per cent, even before the tariff took full effect.
In the apparel sector, some exporters reported losing 80 per cent of US business. Embroidery and finishing units, heavily dependent on export-linked orders, laid off as much as 40 per cent of their workforce. “We’re seeing daily wage workers returning to their villages,” said an exporter from Karur. “The US market is gone for now. We need new doors to open.”
India suddenly found itself at a severe disadvantage. Competing exporters Bangladesh, Vietnam, and China continued to enjoy lower tariff rates, making Indian goods twice to thrice as expensive.
The Reboot: Building a post-US strategy
Rather than waiting for Washington to reconsider, New Delhi and the industry charted an ambitious recovery plan one rooted in diversification, innovation, and structural reform. The Ministry of Textiles set a long-term goal: triple India’s textile exports to Rs 9 lakh crore by 2030. To get there, the roadmap rests on three strategic pillars:
1. Market diversification beyond the US
Europe and the UK: Negotiations for the India-UK Comprehensive Economic and Trade Agreement (CETA) are entering their final phase. Once ratified, it is expected to eliminate tariffs on nearly all textile categories, giving Indian exporters an edge. Analysts project a 30-40 per cent jump in textile exports to the UK post-agreement.
Meanwhile, the European Union, which accounts for 27 per cent of India’s textile exports, remains a key target. Exports to Germany, the EU’s largest economy, have already grown 11.73 per cent year-on-year during April-August 2025.
Russia: India is actively courting the Russian market, which imports $12 billion in textiles annually. Recent trade missions and exhibitions in Moscow are part of a broader diplomatic effort to expand India’s footprint in Eurasia.
China & Hong Kong: Despite being competitors, China and Hong Kong have emerged as surprising growth markets. Exports to China rose 19.65 per cent, while to Hong Kong increased 26.19 per cent between April and August 2025, proof that supply chain realignments are opening new corridors for Indian products.
Australia & South Africa: Exporters are also exploring these emerging markets, though industry leaders caution that meaningful trade relationships will take 2-3 years to mature. “The world is realigning its sourcing base. India must become the supplier of choice not just for one market, but for many,” says Ajay Sahai, Director General, FIEO.
2. Strengthening domestic manufacturing
Production-Linked Incentive (PLI) Scheme: The PLI for textiles, focused on man-made fibers (MMF) and technical textiles, offers financial incentives for scale and innovation. The government recently extended the deadline for applications, showing a renewed commitment to help exporters upgrade technology and reduce costs.
PM MITRA parks: The Rs 4,445 crore, Mega Integrated Textile Region and Apparel (PM MITRA) scheme aims to create seven world-class textile hubs integrating the entire value chain from fiber to finished garment under one ecosystem. Tamil Nadu, Gujarat, and Maharashtra have already begun implementation.
Fixing the inverted duty structure: One of the sector’s long-standing bottlenecks the inverted duty structure, is under review. Currently, some raw materials attract higher import duties than finished products a distortion that undermines competitiveness. Addressing this anomaly, particularly in the MMF and viscose segments, could unlock significant cost savings.
3. Leveraging India’s strengths
Kasturi Cotton initiative: India’s new ‘Kasturi Cotton’ brand, supported by traceability and quality certification, aims to position Indian cotton alongside the world’s best. With sustainability increasingly influencing buyer decisions, this initiative could open high-value global segments.
Workforce and skill development: Schemes like Samarth continue to upskill textile workers, ensuring a steady pipeline of trained manpower. Interestingly, Russian and African textile enterprises have expressed interest in hiring Indian technicians, underscoring India’s reputation for skill excellence.
Moving up the value chain: A shift toward high-value and sustainable products organic cotton, recycled fibers, and ethical sourcing is already visible. India’s share in the premium and luxury apparel export category is growing, as global brands seek alternative suppliers to China amid geopolitical tensions.
Table: Export values for textile and apparel commodities April to August 2025
|
Commodity |
Export value (Apr–Aug 2025) |
% change (Y-o-Y) |
|
Readymade Garments |
$6.765 billion |
+5.78% |
|
Cotton Textiles |
$4.865 billion |
-0.62% |
|
Man-made Textiles |
$1.995 billion |
+0.24% |
|
Total Textile & Apparel |
$15.113 billion |
+2.52% |
Source: DGCIS, Ministry of Textiles
Despite the headwinds, India’s overall textile exports grew 2.52 per cent in early FY26 thanks to diversification gains in non-US markets. “This crisis has been brutal, but it’s forcing us to innovate faster than ever,” explains Sanjay Jain, MD of TT Ltd. “We’re digitizing our supply chains, embracing sustainability, and targeting niche markets like athleisure and performance wear.”
Rewriting the global playbook
India’s textile story has always been one of resilience from surviving the quota regime to weathering COVID-19 disruptions. The current tariff shock, while severe, is proving to be a catalyst for long-overdue transformation. Analysts note that if the current reforms and diversification strategies succeed, India could emerge as the world’s second-largest textile exporter by 2030, behind only China. The US tariffs, once seen as a crippling blow, may ultimately redefine India’s global standing not as a cost-based supplier, but as a design-driven, innovation-led textile powerhouse. As one industry veteran put it: “They wanted to hurt us. Instead, they woke us up.”
China's textile and apparel (T&A) sector is showcasing a decisive shift, with overall exports down just 0.3% in the first three quarters of 2025. This near-flat aggregate hides a fundamental divergence: upstream textile (fabric, yarn) exports rose 2.1%, while the finished apparel exports declined 2.5%.
Engineering resilience against the sourcing shift
The growth in textile exports underscores China's strategy to move up the value chain. As garment manufacturing (the labor-intensive segment) is steadily offshored to countries like Vietnam and Bangladesh—part of the "China Plus One" diversification—Chinese factories are consolidating their global dominance in high-performance, capital-intensive fabric and yarn production.
This structural split is intentional. China remains the indispensable global supplier of sophisticated, value-added inputs, even to its competitors. For instance, while US apparel imports from China fell sharply 9% in Jan-Aug, exports of certain categories of technical textiles and advanced synthetic fibers continue to climb, showcasing market strength in engineering over mere assembly.
BRI market expansion and automation
Companies are relying on two key strategies to maintain long-term financial stability: market diversification and technological upgrade. Exports to key markets like the EU and Japan have shown resilience, increasing by 4.5% and1.1% respectively (Jan-Aug data). Moreover, the Belt and Road Initiative (BRI) markets are a critical focus, providing new avenues for high-volume sales of textile products. The heavy investment in digitalized and automated production lines ensures China retains its cost-of-production advantage for advanced materials, solidifying its role as the world's "fabric engineer".
The Confederation of Indian Textile Industry (CITI) analysis for October 2025 confirmed the deepening crisis stemming from the 50% reciprocal US tariff, with overall Apparel exports recording a sharp 12.88% year-on-year decline. The most critical data confirming the tariff impact is the month-on-month (MoM) collapse of shipments to the US, India’s largest market. Exports to the US plunged approximately 20% between August and September (the first full month of the levy), a drop that wiped out over $1.3 billion in shipment value.
Although US-bound shipments saw a minor MoM recovery in October to $6.3 billion, CITI Chairman Ashwin Chandran warned, "The sustained pressure demands aggressive market recalibration, especially as Textiles and Apparel are among the hardest hit sectors." The T&A share in total national exports dipped to 7.76% in October.
In response to the US uncertainty, the industry is accelerating its pivot towards non-traditional markets. Data for Q2 FY26 showed significant growth in emerging destinations, with exports to Japan rising 19% and the UAE climbing 14.5%. The government's recently approved Export Promotion Mission is intended to provide structural support, especially for MSMEs struggling with affordable finance.
Simultaneously, major integrated firms, like Alok Industries, are prioritizing compliance with looming EU sustainability regulations and investing in technical textiles, a segment forecasted to reach $45 billion by 2026. This focus on "green compliance" is emerging as the industry’s central long-term growth plan, replacing reliance on price competitiveness alone.
While China’s overall personal luxury market saw a contraction of 15-20% in 2024, the Guo Chao (National Tide) cultural movement is fueling a significant boom for local apparel brands that fuse Chinese heritage with contemporary design. This trend reflects a crucial shift where younger consumers prioritize cultural authenticity and value over foreign brand status.
Heritage brands turn performance stars
Domestic powerhouses in the apparel sector are reporting impressive growth, capitalizing on this new cultural confidence. Bosideng, China's largest down clothing company, reported record results for the FY2024/25, with revenue climbing 11.6% year-over-year to 25.90 billion RMB ($3.62 billion). Similarly, sportswear giant Li-Ning reported a 2.3% year-over-year revenue growth in the first half of 2024, significantly outpacing some global competitors.
The ‘Guo Chao’ advantage
These domestic success stories are driven by Neo-Chinese Style product innovation, which incorporates traditional motifs and artisanal techniques into modern silhouettes. For brands like Bosideng, this strategy has involved upgrading their product lines and digital engagement to resonate with Gen Z. This market pivot demonstrates that for luxury and premium apparel, the "Made in China" label now signifies unique design and cultural relevance, forcing global fashion brands to rethink their localization strategies.
