Against the backdrop of reshaping the global economic landscape and upgrading domestic consumption, China’s apparel wholesale market, as a core hub connecting trillion-yuan-level production and sales, is undergoing a profound transformation from “scale expansion” to “value reconstruction.”
Market Size & Forecast: Saying Goodbye to High Growth and Entering a Key Period of Refined Operations
In the coming years, the market will maintain moderate-to-low growth. Consumption demand is shifting, profit margins are tightening, and changes in traditional supply chain ordering strategies are driving the overall apparel wholesale market into a stable yet crucial transformation phase.
I. Overall Market Growth Slows Down
From 2019 to 2024, the total size of the apparel wholesale market has entered a relatively stable stage, with both production and sales maintaining steady performance.
- Market transaction fluctuations have eased
- The women’s apparel wholesale market is expected to reach 741.48 billion RMB by 2030
II. Policy Support and Economic Recovery Boost Market Growth
1. Policy Support
The Ministry of Industry and Information Technology and the Ministry of Commerce released the “2025 Textile & Apparel Quality Supply and Consumption Upgrade Initiative”:
- Emphasis on high-quality product supply
- Strengthening original design capability, digital transformation, financial and insurance resources
- Supporting high-quality industry development
2. Macro-economic Recovery
- China’s economy continues to recover, with GDP expected to reach 140 trillion RMB in 2025
- According to mid-year government data, China’s GDP grew 5.3% in the first half of 2025, showing stable and positive momentum
3. Consumer Upgrade
Consumption upgrading is reflected in three areas:
- Service consumption: tourism, culture, entertainment continue to grow
- Upgraded product consumption: strong sales in home appliances, furniture, communication devices
- Online spending: online retail sales increased by 9.2% YoY
III. Key Drivers Behind the Market Transformation
1. Changing Consumer Demand
- Online purchasing penetration reaches 55.93%
- Traditional wholesale markets experience reduced foot traffic
- Live-stream commerce increases demand for flexible supply chains
2. Profit Margin Pressure
- Industry total profit dropped by 14.2%
- Rising rents, labor costs, and digital traffic costs continue to squeeze margins
3. Supply Chain Adjustments
- Out-of-stock rate rises to 35%
- Unsold-inventory rate reaches 20%
- The market requires stronger forecasting and inventory-risk control capabilities
IV. Core Upgrading Needs of Apparel Wholesale Enterprises
- High-frequency new arrivals
- Flexible production models
- Trend forecasting capability
- Live-commerce collaboration
- Resilient and reliable supply chain
- Small-batch, quick-turn manufacturing
- Digital supply chain transformation
- Inventory optimization and management
Industrial Chain Transformation – Omnichannel Integration & Small-Batch Quick Response
China’s apparel wholesale market is undergoing a shift driven by changes in value distribution and the strategic role of wholesalers.
I. New Landscape of the Apparel Wholesale Industry Chain
Upstream (Design, Fabric, Raw Materials, Production)
- Raw material production remains stable with rising added value.
Midstream (Garment Manufacturing, Fabric Processing)
- Enterprises face challenges in efficiency, cost, and revenue, but small-scale flexible manufacturing is expanding.
Downstream (Wholesale Markets, B2B Platforms, E-commerce)
- Leading brands intensify competition; personalization and cross-border logistics continue to grow.
II. Role Shift: From Suppliers to Service Providers
Wholesalers are gradually evolving from simple suppliers into service-oriented partners.
Upstream Upgrade
- Moving toward integrating design, trend forecasting, and supply chain coordination, participating earlier in product development.
Downstream Upgrade
- Providing data analysis, SKU selection, visual merchandising, and operational guidance, transforming from suppliers into comprehensive service providers.
According to CHIC 2025 industry trends, regardless of whether the upstream supply chain is stable, wholesalers will increasingly take on the role of service providers.
III. The Impact of the “Small-Batch Quick Response” Model
Reshaping the Production Chain
Traditional “10,000-piece” mass production model → “Hundred-piece” flexible production lines
Traditional large-volume production (tens of thousands of units) is gradually being replaced by small-batch production in quantities of hundreds or even dozens.
Upgrade Requirements
1. Integration of Supply Chain Resources
New-generation wholesalers can no longer be simple “middlemen,” nor just product suppliers.
The “one-stop supply chain” and “value chain integration” capabilities will become essential service offerings for B2B clients.
2. Stronger Market Responsiveness
The small-batch quick-response model requires wholesalers to respond to market demand more rapidly and more precisely.
This raises expectations for early trend judgment, design, production, and inventory turnover.
Value Redistribution Within the Industry Chain
Wholesalers with strong rapid-response capabilities and data analysis skills will gain more value within the industry chain by enabling flexible production and reducing operational waste.
Typical Characteristics of the Wholesale Market
I. Regional Clustering
China’s three major apparel wholesale clusters contribute over 70% of the national transaction volume.
Yangtze River Delta Cluster
Represented by Hangzhou Sijiqing, Changshu Garment City, and Haining Leather City.
Pearl River Delta Cluster
Represented by Guangzhou Thirteen Hongs, Guangzhou Baima, Humen, and Dongguan Humen.
Bohai Rim Cluster
Represented by Shenyang Wu’ai, Beijing Zoo Wholesale Market, and Dalian’s various commercial districts.
II. Product Specialization
Market segments are clearly divided, and category positioning is highly distinct.
- Mid-range women’s fashion: representative market – Guangzhou Baima
- Fast fashion: representative market – Guangzhou Thirteen Hongs
- High-end designer brands: representative market – Shenzhen Nanyou
- Internet-famous “factory-to-consumer” brands: representative market – Guangzhou Shisanhang
- Children’s wear: representative market – Huzhou Zhili
- Export-oriented trade: Changshu NSS New Foreign Trade Village
- Casual wear: representative market – Hangzhou Wulin Garment Zone
III. Online-Offline Integration
Traditional wholesale markets are rapidly undergoing digital transformation.
Two major digital pathways adopted by leading wholesale clusters:
1. Traditional Markets Migrating to Online Wholesale & Live Commerce
- Hangzhou Sijiqing promotes the “open 24 hours” live-stream wholesale model
- Guangzhou Baima encourages merchants to livestream selections from suppliers
- Many industrial belts nationwide have pushed livestream commerce to exceed 430 billion RMB in transaction value
Digitalization has become a shared direction among all major wholesale clusters.
Hangzhou Sijiqing, Changshu Garment City, Guangzhou Baima, and other leading markets have achieved significant results in livestream commerce.
