The domestic market is growing rapidly and high-grade apparel fabrics are popular

Recently, the domestic textile market has experienced a significant boom. Many textile manufacturers and fabric merchants in the textile city have intensified their efforts to cater to domestic garment companies, especially those handling small orders with intricate craftsmanship. This shift is driven by the potential for higher profit margins—often several times or even tenfold compared to regular products—making it an attractive direction for many businesses. At the start of the new year, Xia Rong, General Manager of Shaoxing Golden Beauty Textile Co., Ltd., found himself busier than ever. Customers kept coming in daily, requesting samples and signing supply contracts every few days. However, this year’s orders were different—rather than large volumes of tens of thousands of meters, many orders came in as small as just a few hundred meters. Xia Rong explained, “Don’t be fooled by the small quantities. These are high-end fabrics with complex techniques and exquisite workmanship. The profit margin is much higher than standard products—sometimes even up to ten times. More and more textile companies are now focusing on these types of orders.” Industry experts note that factors such as fluctuating exchange rates and rising raw material costs have increased the risks associated with foreign trade. Traditional products now offer minimal profit margins, pushing many companies to turn their attention to the booming domestic market. While domestic orders often involve smaller quantities, diverse designs, and complex production processes, they can yield profit margins of 50% or even 80%, making them highly desirable. Zhejiang Yizheng Jin Textile Co., Ltd., a major manufacturer of jacquard fabrics, has shifted its focus from conventional products to high-end, specialized orders. According to the company's representative, mid-to-high-end domestic and international apparel brands are now their primary clients. To better serve these customers, the company established a dedicated product development center and brand division, working closely with fashion companies to create tailored fabrics that meet market demands. Their innovative designs have been well-received, leading to a steady increase in orders. According to an official from "Easy Gold," traditional bulk orders often involve large volumes but low margins, with profits sometimes just a few cents per meter. Plus, there’s the risk of currency fluctuations, which can lead to losses. In contrast, small domestic orders may be limited in quantity but carry higher value. Once a new fabric is successfully developed and approved by a clothing brand, it can be recommended to multiple companies, resulting in substantial volume over time. These special orders are rare, technically demanding, and less likely to be imitated, giving suppliers more control over pricing. Lee Star Textile, a textile trading company based in Keqiao, has also shifted its focus to domestic sales. The company’s main target is now garment manufacturers. Over the past year, they haven’t received any major foreign orders, but they’ve built strong relationships with several fashion companies in Shanghai and Ningbo through small transactions. The results have been positive, and the company is now fully committed to this new direction. An industry insider noted that while small orders follow similar processes to large ones, they demand higher quality and technical standards. Larger companies often avoid them, leaving the field open for small and medium-sized enterprises. There are plenty of opportunities here—once a fabric is selected by one fashion company, it often gets attention from others. Some brands even place larger orders if they’re satisfied with the quality, creating long-term partnerships. If a supplier can consistently deliver to several fixed clients, it can become a significant source of revenue.