Dalian clothing industry's joy and worry

Since the start of this year, the clothing industry in Dalian has shown strong economic growth. In the first three quarters, large-scale enterprises generated sales revenue of 13.66 billion yuan, reflecting a 19.8% increase compared to the same period last year. The industrial added value reached 9.07 billion yuan, rising by 28.4%, while export delivery value hit 11.4 billion yuan, up 6.3%. Despite these positive trends, companies are also facing new challenges that require attention. To support the industry’s development, the Z28 Fashion Silicon Valley Creative Publishing Center was launched in early September, just before the Dalian Fashion Festival. This public service platform provides an essential resource for companies looking to publish fashion collections and promote their products. During the event, several key activities took place, including the “Dalian Cup” young designer competition, the local brand exhibition, and the professional skills contest organized by the Dalian Garment Association. Jiang Weijie, executive vice president of the China Garment Industry Association, emphasized that the opening of the Dalian Fashion Innovation and Publication Center will further boost the city’s garment industry, serving as a vital platform for connecting businesses, facilitating communication, and supporting global expansion. In addition to external support, Dalian's garment companies have been focusing on deepening their presence in the domestic market. They have adjusted product structures, implemented sales transformations, and expanded their marketing networks. For instance, Dayang Group now evenly distributes its sales across the domestic, Asian, and European and American markets. Sang Fulan Fashion Co., Ltd. has continuously introduced new products and adopted self-operated stores and supermarket partnerships to enhance its distribution channels. According to data from major shopping centers like Dalian Friendship and McKayle, local brands such as Genesis, Happy Women, Fuge, and King Arthur consistently rank among the top-selling items. Building strong brand identities has become a priority for many companies. This year, three new provincial-level brands—Special Brands, Ren Ping, and Sheng Zhuo—were added, bringing the total number of well-known brands in the industry to nine. Many firms have established branches, specialty stores, or mall counters in major cities across the country to promote their original brands. Some leading companies have even started online direct-to-consumer models. For example, Dalian Huaying Garments (Group) Co., Ltd., which was once solely focused on exports, launched the “Nethersfaire” brand this year, targeting young Chinese women. These efforts highlight a shift in the industry’s strategy, moving away from over-reliance on exports and embracing both domestic and international markets through strong brand presence. Despite the overall positive performance, some companies are struggling with new challenges. While most have seen increased orders, many are hesitant to take on new ones due to rising costs and labor shortages. A significant portion of enterprises face a labor shortage of 20% or more, and production costs have risen sharply, with fabric prices up by 20%, electricity costs by 3%, and wages by 15%. To overcome these obstacles, companies must focus on innovation and rely on government support to create a more sustainable environment. With continued investment in creativity and policy assistance, Dalian’s garment industry is well-positioned to maintain its upward trajectory.

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