Yiwu, Zhejiang: China's underwear development building preparation work started
The construction of the China Underwear Development Building has officially begun. The China Underwear Commission will implement a market-driven model, encouraging both enterprises and industry associations to collaborate in its development. The building is expected to include various functional areas such as fashion and creative zones, science and technology R&D centers, information service hubs, and exhibition and trade negotiation spaces. This initiative aims to position Yiwu as a leading hub in the national underwear industry, fostering sustainable and healthy growth within the sector.
According to Pan Zhongshan, head of the China Underwear Commission Secretariat, the development building will be located in the headquarters economic zone of the Yiwu Economic Development Zone. It will leverage the industrial scale of over 200 billion yuan from well-known companies in Yiwu and more than 3,000 enterprises across the country. The project will attract top-tier Chinese underwear brands, along with companies specializing in underwear consulting and planning. The building is planned to have over 30 floors and is expected to be completed within three years.
Currently, the Chinese underwear industry faces challenges described as the “three lows and one highâ€: low technological content, labor-intensive operations, and products mainly concentrated in the low-value segment of the global supply chain. Brand value remains low, with most companies engaged in OEM production for foreign brands, resulting in only 8% of profits retained by Chinese firms while 92% are captured by foreign entities. Additionally, the industry suffers from high energy consumption and pollution, with energy use per unit being 20–30% higher than international standards.
Once completed, the China Underwear Development Building will focus on addressing these issues by promoting innovation, technology exchange, and information services. It will help extend the industry’s value chain and encourage healthy competition and collaboration among local enterprises. By expanding into export markets, fashion design, and information services, the industry’s overall competitiveness will be strengthened. The building will also support enterprise innovation, promote brand strategies, attract top design and R&D talent, increase investment in original product development, and ultimately help create more national and even world-class lingerie brands.
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