The China Underwear Development Building has officially kicked off its construction. The China Underwear Commission will implement a market-oriented operation model, where both enterprises and industry associations collaborate in the development process. The building is planned to include several functional areas, such as fashion and creative zones, science and technology R&D hubs, information service centers, and exhibition and trade negotiation spaces. This initiative aims to position Yiwu as a leading hub in the national underwear industry, driving sustainable and healthy growth within the sector.

According to Pan Zhongshan, head of the China Underwear Commission Secretariat, the development building will initially 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 nationwide. The project aims to attract top Chinese underwear brands, as well as companies specializing in underwear information consulting and planning. The building is expected to have over 30 floors and is anticipated to be completed within three years.

It has been reported that the current state of China's underwear industry is characterized by "three lows and one high": low technological content, labor-intensive operations, and products mainly occupying the low-value segment of the global supply chain. Additionally, brand value remains low, with most companies engaged in OEM production for foreign brands, while few have established world-class domestic brands. Profit margins are also low, with foreign companies capturing up to 92% of profits from OEM contracts, leaving only 8% for Chinese firms. Furthermore, the industry is marked by high energy consumption and pollution, with energy usage per unit being 20% to 30% higher than international standards.

Once completed, the China Underwear Development Building will focus on addressing these challenges by promoting innovation, technology exchange, and information services. It will help extend the industry’s value chain and encourage healthier competition and collaboration among enterprises within the industrial cluster. By expanding into sectors such as exports, fashion design, and information services, the building aims to enhance the overall competitiveness of the industry. It will also support enterprise innovation, implement strong brand strategies, attract top design and R&D talent, increase investment in original product development, and ultimately foster more national and even globally recognized lingerie brands.