Sun Ruizhe: Pragmatism, Diligence, Momentum, and Progress—Promoting High-Quality Development of Industry Services


On August 6th, the China National Textile and Apparel Council held a 2021 mid-year work video conference in Beijing. Sun Ruizhe, President of the China National Textile and Apparel Council, delivered a speech themed "Seeking Truth, Diligence, Taking Advantage of Momentum, and Forging Ahead – Promoting High-Quality Development of the Industry." The full text of the speech is reproduced here for readers.
 
  This year marks the 100th anniversary of the founding of the Communist Party of China. Over the past century, the Communist Party of China has led the people in achieving a great leap from "catching up with the times" to "leading the times." At the grand assembly celebrating the 100th anniversary of the founding of the Communist Party of China, General Secretary Xi Jinping solemnly declared: We have achieved the first centenary goal and are striding forward confidently towards the second centenary goal of building a great modern socialist country. This is our new historical positioning and coordinates. With ingenuity to respect the Party, and with brilliance to respect the years. As a major pillar industry of the national economy, the textile industry shares the destiny of the nation and grows together with the country. It is the mother industry of China's industrialization process, a pioneer in opening up and systemic reform, and a vanguard in building a strong Chinese manufacturing nation. Under the leadership of the Party, during the first centenary journey, the industry has grown from small to large, from weak to strong, clothing the world and filling the globe. At the beginning of the "14th Five-Year Plan", a strong textile nation has been basically established. Entering a new development stage, the industry faces a constantly deepening century-old transformation and an increasingly volatile and complex situation. Ninety percent of the journey is completed, but the remaining ten percent is the hardest. How to promote higher-quality development of the industry from a high starting point is an urgent task facing our industry's service. To answer this question, we must not only find the right direction and focus, systematically promoting services and creating certainty in uncertainty; but also grasp the rhythm and intensity, cleverly carrying out work, and finding a balance in the new changes. This requires us to understand the present, face the future, seize opportunities, and be pragmatic and realistic.
  I. Entering a New Development Stage, the Industry Achieves a Good Start
  This year can be called the industry's "hot search year," with every move attracting attention. In March, in response to the widespread social concern caused by international brands such as H&M on the issue of Xinjiang cotton, many Chinese brands such as Anta and Li Ning explicitly supported Xinjiang cotton, and related news filled the entire hot search list; from CCTV's "Thirteenth Five-Year Plan" achievement review to Xinhua News Agency's special report "This is China's Textile Industry," from each leap forward in the aviation industry to the red flag fluttering in space, from the General Secretary's praise of Miao embroidery to the promotion of Qinghai's "wealth blanket," the industry frequently appeared in mainstream media and public view; in July, the Henan rainstorm, the donation actions of brands such as Hongxing Erke also sparked heated discussions online. The textile industry and enterprises have received unprecedented attention from the public. Behind all this is the re-cognition and acceptance of the industry's value at the social level, and the basis of this recognition comes from the industry's value creation and responsibility. In the first half of the year, faced with complex internal and external situations, the industry seized the window of opportunity and achieved steady and positive development. In particular, despite a significant rise in raw material prices, the industry maintained price stability and did not export inflation, fully demonstrating the industry's resilience and responsibility. The healthy development of the industry has made outstanding contributions to stabilizing the economy, protecting people's livelihoods, promoting employment, and preventing risks. The quality and efficiency of the industry's development have maintained steady improvement under pressure. From January to June, the industrial added value of large-scale enterprises in the industry (excluding textile machinery) increased by 9.6% year-on-year; capacity utilization rate increased significantly, with the textile industry and chemical fiber industry reaching 79.7% and 86.1% respectively. Large-scale textile enterprises achieved an operating income of 2343.49 billion yuan, a year-on-year increase of 20.3%; total profit reached 107.89 billion yuan, a year-on-year increase of 41.1%. The role of the industry in domestic circulation continued to strengthen. Domestic sales exceeded pre-epidemic levels. From January to June, per capita clothing consumption expenditure for residents reached 742 yuan, a year-on-year increase of 21.4%; retail sales of clothing, shoes, hats, and textile products above the designated size limit increased by 33.7% year-on-year; new models such as rural e-commerce, cross-border e-commerce, and live e-commerce developed rapidly, with online retail sales of clothing products nationwide increasing by 24.1% year-on-year. Affected by the return of orders, industry exports maintained a good growth momentum. From January to June, the total value of textile and apparel exports increased by 12.1% year-on-year. Among them, textile exports decreased by 7.4% year-on-year, while apparel exports increased by 40.3% year-on-year. From January to May, China's exports of textiles and apparel to Vietnam, India, and Malaysia increased by 48.9%, 92.6%, and 53% year-on-year respectively. Investment confidence in the industry has increased. From January to June, fixed asset investment in the textile industry, textile and apparel industry, and chemical fiber manufacturing industry increased by 15.2%, 5.8%, and 16.6% year-on-year respectively. However, the growth rate shows a slowdown trend. The growth rate of the textile industry, textile and apparel industry, and chemical fiber manufacturing industry slowed down by 1.9, 2.5, and 5.1 percentage points respectively compared to January to May. The market remains cautiously optimistic. In the global and capital markets, the value of the industry is beginning to be re-evaluated. The recently released 2021 Fortune Global 500 list includes nine Chinese companies involved in the textile industry: Hengli Group (67th), COFCO (112th), China National Chemical Corporation (151st), China National Chemical Corporation (161st), Zhejiang Rongsheng Holding Group (255th), Shandong Weiqiao Entrepreneurship Group (282nd), Zhejiang Hengyi Group (309th), Shenghong Holding Group (311th), and China General Technology Group (430th). Among them, Hengli Group entered the world's top 100 for the first time, and Shenghong Holding Group's ranking rose by more than 100 places. The investment value and future potential of industry enterprises are also reflected in the capital market. In the first half of the year, from chemical fiber raw materials to advanced manufacturing to fashion brands, the entire textile and apparel sector performed brightly. Anta's total market value is around 500 billion Hong Kong dollars, surpassing Adidas to become the world's second-largest sportswear brand. The process of integrated development of industry enterprises is accelerating, and the time is ripe for domestic brands to grow into international brands. In the opening year of the "14th Five-Year Plan," the industry has accelerated its pace and presented a new atmosphere. Currently, the epidemic is still evolving, and the recovery of the domestic economy is still unstable. The future development of the industry faces uncertainty and significant pressure. Relying on its scale and system advantages, the industry's industrial chain and supply chain will have sufficient resilience, respond to challenges, and move steadily forward in the future.
  II. Practicing the New Development Concept, the Industry's Work Achieves Real Results
  The China National Textile and Apparel Council upholds the Party's overall leadership, integrates Party history learning and education into the industry's service work, actively practices the new development concept, and has achieved remarkable results in related work in the first half of this year. At the same time, it strictly implements various epidemic prevention and control measures, and work such as vaccination and investigation of personnel from areas with inbound risks is carried out in a standardized and orderly manner, and the China National Textile and Apparel Council's normalized epidemic prevention and control work is carried out persistently and scientifically.
 (1) Effective Party Building Work, Solid Progress in Institutional Construction
  Focusing on Party history learning and education, the Association has deepened its Party building work. Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, the China Textile Federation continues to deepen its Party building work. Party members and cadres have been organized to earnestly study General Secretary Xi Jinping's series of important speeches. Through special Party lectures, themed Party day activities, and other methods, the Association has carried out in-depth learning and education activities on the centenary of the Party's history, guiding broad cadres and employees to learn from history to understand principles, increase confidence, enhance moral character, and act effectively. Three special training classes on Party history learning and education were held with over 260 participants. A themed Party day activity celebrating the centenary of the Party's founding and the 2019-2020 "Advanced and Excellent" commendation activity were held, and mass-based themed publicity and education activities on "Forever Following the Party" were carried out, among others. Grassroots organization building and Party member education and management have been continuously improved. Twenty-six grassroots Party organizations, in accordance with the requirements of the Party committee, carried out diverse Party history learning and education activities. The Party's leading role in the industry has been further strengthened, and the political judgment, political understanding, and political execution of the cadre team and all employees have been greatly improved. Promoting synergy, the Association's institutional construction continues to improve. In accordance with the needs of building new-era industry associations, the China Textile Federation is steadily advancing the association's renewal, decoupling, and reform as a public institution, improving its vitality. Using large-scale industry activities as a link, it promotes cooperation between various units, and various service resources are effectively integrated. In the first half of the year, the Chemical Fiber Association and the Cotton Textile Association completed their renewals; the leadership teams of some units were adjusted and supplemented, and in strict accordance with the requirements for rectifying problems discovered during inspections, investigations, assessments, and announcements were conducted before the renewals and adjustments. The association has strengthened the selection and appointment of young cadres, fully stimulating the enthusiasm, initiative, and creativity of its employees. Personnel management, financial management, property management, and archive management have been continuously standardized and optimized, providing strong support for the development of industry work.
  (2) Top-level Planning, Enhancing the Scientific and Systematic Nature of Industry Services
  Industry statistical work continues to improve. Data statistical analysis and service capabilities continue to improve, providing strong data support for government decision-making, enterprise operations, and industrial research. Conducting industrial investigation and research to grasp the pulse of industry development. In particular, regarding the research on the Xinjiang region, by visiting 57 companies and holding 12 forums, the current state of the industry and prominent issues in Xinjiang were understood in detail, forming a research report and providing constructive opinions to the local authorities. Systematically conducting special research on major industry issues. Based on this, during the "Two Sessions," the China Textile Federation assisted textile industry representatives and committee members in forming proposals, the content of which involves international cooperation in the textile industry chain and supply chain, expanding the consumer market for Xinjiang cotton and its products, developing biodegradable materials, ensuring the supply of industrial raw materials, supporting the green development of the industry, strengthening the new competitive advantages of industrial textiles internationally, guiding the digital development of the industry, accelerating the construction of core fashion and technological innovation platforms, and promoting the optimization and upgrading of industry professional markets and other key areas. Focusing on the long term, and based on the national development situation and the industry's strategic positioning, the China Textile Federation coordinated industry efforts to complete the writing and publication of the "14th Five-Year Plan" for Textile Industry Development and its guiding opinions on technological, fashion, and green development. The plan and guiding opinions have pointed out the direction for the industry's development during the "14th Five-Year Plan" period. Surrounding the "development plan", the China Textile Federation has conducted communication and exchanges with the leadership decision-making layers of 31 provinces, autonomous regions, and municipalities across the country, deepening strategic alignment with regional plans. At the same time, 71 copies of the industry development plan were submitted to relevant central government departments and financial institutions, increasing the understanding of the future development of the industry among all sectors of society and striving for greater development space for the industry. (3) Optimizing Services, Systematically Promoting the High-Quality Development of the Industry
   1. Practicing the concept of innovative development, promoting the modernization and high-end development of the supply system. Technological services continue to deepen. Focusing on the technological development goals of the industry during the "14th Five-Year Plan" period and major national needs, the Federation and its member units, relying on their resource advantages, have organized a variety of academic conferences, technical forums, and technology promotion activities, promoting the application and transformation of technological innovation in the industry. Promoting industry standard research, improving the standard system construction, and in-depth development of intellectual property work. Systematically promoting fashion services. Continuing to research and publish the popular trends of the entire industry chain, guiding product development. Relying on platforms such as the fashion industry's artificial intelligence innovation application demonstration center, the empowerment, value-added, and intellectualization effects of AI and other information technologies on fashion design are enhanced. Fashion is accelerating its implementation in industrial clusters and enterprise services. The construction of a three-level system of industry manufacturing brands, consumer brands, and regional brands continues to advance. The China Brand Development International Forum – Textile and Apparel Industry Brand Building Sub-forum was successfully held. The professionalism and influence of events such as China International Fashion Week and China International University Fashion Week continue to improve. The innovation ecosystem continues to improve. Promoting government-industry-academia-research cooperation, the innovation chain and the industrial chain have achieved better integration. Continuing to promote the construction of national innovation centers, national key laboratories, and other innovation platforms. Strengthening talent cultivation and industrial team building. The selection and recommendation work for the Textile Academic Award, academic leaders, technical leaders, and Textile Youth Science and Technology Award has been launched; preliminary selection work for the China New Generation Fashion Design Award and Sangma Scholars has been carried out.
   2. Practicing the concept of coordinated development, improving the overall efficiency and synergy advantages of industrial development. Strengthening inter-regional coordination and optimizing industrial layout. Aligning with the national regional development strategy, guiding the coordinated, differentiated, and characteristic development of the eastern, central, and western regions. The China Textile Federation, through organizing industry enterprises to participate in regional exchange and docking activities such as the "Bagui Trip," guides the scientific and orderly transfer and acceptance of industries. Continuing to promote cluster construction. Through the construction of platforms such as the China Apparel Science and Technology Innovation Research Institute, the leading role of world-class textile industrial clusters and fashion towns is enhanced. Strengthening inter-industry coordination and promoting the deep integration of the industry with modern service industries. Guiding the digital transformation of the entire industrial chain. Promoting the construction of industry big data centers and industrial internet platforms. Through the creation of platforms such as the Fashion Industry Digital Technology Innovation Alliance, cross-border cooperation of multiple resources is promoted. Supporting and guiding the development of service-oriented manufacturing and other new manufacturing models in the industry. Deepening financial-industrial cooperation, carrying out work such as recommending a list of textile industry companies that are about to be listed, and promoting the docking of enterprises with the capital market. Strengthening intra-industry coordination and promoting the modernization and flexibility of the industrial chain. Continuously improving the industry's supply chain service system, carrying out various forms of industrial chain docking activities, and promoting the integrated development of upstream and downstream enterprises and large, medium, and small enterprises. Continuously improving the efficiency of public service platforms for small and medium-sized enterprises in the industry, and carrying out the cultivation and filing of "specialized, refined, distinctive, and new" small and medium-sized enterprises in the textile industry.
  3. Practicing the concept of green development, promoting sustainable development under the "dual carbon" goals
  With carbon peaking and carbon neutrality as the direction, the basic situation of the industry and the path to carbon reduction are being researched, and the life cycle assessment of industry products is being systematically promoted. The "Sustainable Future Materials" project and the China Fashion Brand Climate Innovation Carbon Neutrality Acceleration Plan have been launched.太平鸟, as one of the first group of companies, has released its carbon neutrality vision. Carbon neutrality work is accelerating its implementation in industrial clusters. 盛泽 has released its carbon neutrality vision, striving to become a world-leading zero-carbon textile industrial cluster. Promoting the green transformation of the entire industrial chain. Guiding the rapid development of green fiber technology, green manufacturing technology, comprehensive resource utilization, and the recycling and reuse of waste resources. Continuing to expand the market promotion and product docking publicity of "green fiber" certification. Improving the green standard system. A textile industry system of green, low-carbon, and circular development is accelerating its formation. The promotion and application of CSC9000T in the entire industry continues to deepen. The role of social responsibility construction in optimizing global industrial governance has been widely recognized and supported by the international community, achieving good results. The industry's integrity system and trust mechanism continue to improve, and the industrial ecosystem is becoming healthier and more stable.
  4. Practicing the concept of open development, achieving efficient linkage between domestic and international cycles and a dynamic balance of development security
  Taking domestic demand as the strategic focus, promoting the integration of domestic and foreign trade. Giving full play to the key role of exhibitions in smoothing the supply and demand cycle, improving matching efficiency, and unleashing market potential. Successfully held important industry exhibitions such as the Spring Textile Joint Exhibition (yarn, fabrics, garments, home textiles, and knitwear), the International Textile Machinery Exhibition, and the International Industrial Textile Exhibition. Guiding the integration of online and offline multi-business formats, with new models such as cross-border e-commerce and live e-commerce becoming increasingly active. Held the second "626" China Apparel Brand Live Day and other activities. Scientifically guiding international layout. Lancang-Mekong and other international production capacity cooperation projects are continuously improving and upgrading, and China-Sri Lanka and China-Pakistan exchanges and cooperation have made significant progress. Ensuring the safety and stability of industrial chains and supply chains through opening up. The Association has continuously strengthened communication and exchanges with government departments, international organizations, and international brands regarding issues related to Xinjiang, actively reflecting industry demands at the policy and international levels, and safeguarding industry interests. In response to social concerns, the Association issued a statement firmly supporting the development of Xinjiang's cotton textile industry on behalf of the industry, calling on international brands to respect the legitimate rights and interests of China's textile industry and the people of Xinjiang. China Textile Federation has participated many times in relevant meetings on Xinjiang cotton issues organized by the government, providing decision-making support to relevant departments. Leveraging international platforms such as the International Textile Federation, objectively reflecting the reality of Xinjiang cotton and textile industry development, correcting errors, exposing lies, and winning more understanding and support from the international community.
  5. Practice the concept of shared development, so that the fruits of development benefit all people
  Upholding the priority of employment and continuously improving people's livelihood. The Association continues to increase its support and services for small and micro enterprises in the industry, stabilizing their key role in absorbing employment. Continuously strengthening employment support for key groups such as college graduates, migrant workers, and demobilized servicemen. Conducting vocational skills training to improve employment quality. Holding school-enterprise recruitment fairs for graduates to effectively alleviate employment pressure for students. Continuously innovating new models and methods for textile industry poverty alleviation, supporting projects such as the "Clever Wife" project, and making important contributions to consolidating the achievements of poverty alleviation. Serving rural revitalization and new urbanization processes, driving regional development through industrial development. Strengthening the role of the industry in building a new relationship between industry and agriculture, urban and rural areas, coordinated development, and common prosperity. According to the resource advantages and regional advantages of different regions, the China Textile Federation promotes industrial transfer and acceptance and cluster construction. Giving play to the industry's role in creating wealth, helping the development of county economies and rural markets. Promoting textile intangible cultural heritage work, conducting research on Miao embroidery industry, etc., to promote rural revitalization and the development of characteristic industries in border and ethnic minority areas.
  III. Based on the new development pattern, industry service work needs to adapt to new requirements
  The construction of a new development pattern with domestic circulation as the main body and domestic and international dual circulation promoting each other is a strategic decision made by the Party Central Committee with Comrade Xi Jinping at its core based on China's development stage and environmental changes. It is the major environment that the industry must face to achieve high-quality development and the general trend that it must integrate into. "A good player plans the overall situation; a poor player only plans individual moves." Our industry work must start from the requirements of the new development pattern, conduct thinking and improvement.
  Based on the new pattern, promoting the industry's self-reliance and self-improvement should be the focus of our work. Currently, the global economic recovery is unstable and fragile, weak demand has become the norm, and debt risks are accumulating. At the end of the first quarter, the debt level of emerging economies hit a record high, with the debt-to-GDP ratio approaching 60%. Geopolitical friction and great power competition are intensifying. With the Xinjiang issue as an example, the United States and its allies are implementing strategic containment and suppression of China. In July, the United States passed the so-called "Uyghur Forced Labor Prevention Act," prohibiting the import of products from Xinjiang, China. Balancing security and development has become an important issue facing the industry. Only by building a more independent and controllable, safe and reliable domestic production and supply system can we gain the initiative. We must maintain the basic stability of the manufacturing share and continuously consolidate the domestic industrial manufacturing advantages. Accelerate the improvement of the professionalization level and risk resistance of small and medium-sized enterprises, and build a good industrial ecosystem. Based on the new pattern, improving the quality and efficiency of the industry should be the focus of our work. We have entered the stage of high-quality development, but we are still in the primary stage of socialism, and the problems of unbalanced and inadequate development are still prominent. The large-scale supply of products cannot effectively adapt to the personalized, differentiated, and high-quality consumption demand; product innovation and technological innovation cannot match the pace of rapid consumption upgrades; imbalances and mismatches of resources such as technology, capital, and talent cannot effectively meet the needs of industrial upgrading. We must break down the bottlenecks and difficulties restricting the rational flow of resource elements, improve the allocation efficiency of industrial resources, and effectively meet the people's ever-growing needs for a better life through continuous technological upgrading, product upgrading, model upgrading, and service upgrading. Based on the new pattern, promoting the industry's openness and inclusiveness should be the focus of our work. The impact of the epidemic and geopolitical factors have weakened multilateralism based on common principles. Although there are countercurrents in globalization, openness and interconnectedness are still the general trend. The development of digital technology has closely linked the interests of various countries, and global issues such as climate change also prove that the destinies of all countries are closely intertwined. As of mid-June, the global M&A scale reached 2.3 times that of the same period last year. For the industry to achieve more comprehensive development, and for enterprises to grow from domestic brands to international brands, it is necessary to integrate into the global trend with a more inclusive and responsible attitude.
  (1) Adapting to systemic changes under the dual-circulation pattern
  From factors to structure, from supply to demand, the digital economy, green development, and technological innovation are changing the entire economy's production function. Industry services must change their isolated and departmental approaches and promote them in a more systematic and organized manner.
  1. Systemic changes driven by the digital economy
  The development of the digital economy has profoundly changed the connection between the domestic and global economies, promoting efficient coordination and dynamic balance in all aspects of production, distribution, circulation, and consumption. This is a significant characteristic of the dual circulation pattern. New supply and demand relationships: Data, as a new factor of production, has altered the original input-output relationship. The application of general-purpose basic technologies such as artificial intelligence, digital twins, blockchain, and big data is driving industrial equipment upgrades, process reengineering, and organizational restructuring. Mobile and ubiquitous networks have broken down the limitations of time and space, connecting more market entities and business scenarios, and achieving greater market integration. Cross-border e-commerce has become an important driver of efficient connection between domestic and international markets. Under the new supply and demand, the sharing economy, platform economy, and new individual economy are developing rapidly. This requires the industry to accelerate its transformation and better cope with the integration of industry and the digital economy. New cultural ecology: The integration of the digital economy has brought about changes in lifestyles and ways of life, and a digital cultural ecology is emerging. For example, in the gaming industry, 572 domestically approved mobile games were released in the first half of the year, and the proportion of IP products in the top 50 best-selling games reached 64%. Like traditional culture, digital culture has become an important source of fashion. Fashion design is being reflected more in game design, and game IPs are accelerating their extension to fashion IPs. In 2020, there were 516 million gamers, with young people accounting for 69.9%, indicating significant potential for the integration of games and fashion. Currently, policies are increasing the standardization and guidance of digital culture such as the gaming industry, emphasizing original content and cultural awareness, as well as youth protection and prevention of addiction. A gradually regulated and healthy digital cultural ecology will become fertile ground for the long-term development of the industry. On the other hand, technological development has also promoted the development of design and content in the industry. The rise of the scene economy, experience economy, and live streaming economy, the emergence of smart clothing, interest-based e-commerce, and virtual idols have made the entire industrial ecosystem richer. The change from "online" to "on-site" driven by virtual reality technology is opening up new spaces for immersive experiences. In the trend of the rise of digital culture, promoting innovation in the industry is a new topic for us to deepen industry services. New infrastructure: Digital infrastructure and platforms are important supports for promoting digital transformation, intelligent upgrading, and integrated innovation in the industry, determining the quality and scale of digital industrialization and industrial digitalization. Data from the China Academy of Information and Communications Technology (CAICT) shows that in 2020, the industrial internet industry is expected to contribute more than 16% to the growth of the digital economy. Currently, the construction of industrial digital infrastructure and platforms is mainly driven by enterprises, exhibiting fragmented and scattered characteristics. The value of digitalization comes from concentration, the key to concentration lies in the platform, and the success of the platform stems from trust. In the first half of the year, the state continuously issued three-year action plans for the construction of the industrial internet and new data centers, guiding the green, safe, intensive, and efficient development of digital infrastructure. As an industry public service institution, the association has unique identity and resource advantages in promoting the construction of digital public platforms. The association has great potential in areas such as the establishment of relevant standards, the connection of digital platforms, cluster digitalization, and digital clustering. New market rules: Data is crucial, algorithms are the rules, and computing power is power. The development of the digital economy is becoming an important concern of global industrial policies and market regulation. Regarding privacy protection and public safety issues, systems and regulations on data resource ownership, transaction circulation, cross-border transmission, and security protection are being accelerated. The essence of algorithms is the solidification of experience, methods, and logic. With the digital transformation of the economic and social system, algorithms have become an implicit form of market rules and order. For example, recommendation algorithms have become an important means of information filtering, influencing the formation of people's cognition, strengthening the connection between similar groups, and increasing the separation between different groups. The development of the digital economy and the deepening and refinement of its regulation are promoting the formation of new market rules. For example, after the Didi incident, the Cyberspace Administration of China required enterprises with more than 1 million users to undergo cybersecurity reviews before listing overseas. This covers almost all digital enterprises with the ability to go public. The draft "Regulations on Administrative Penalties for Price Violations" released on July 2 proposes a maximum fine of 0.5% of the previous year's sales for e-commerce "big data killing" practices. We need to be prepared to guide the industry to better adapt to the new changes in market rules.
  2. Systemic Changes Driven by Green Development
  The "Global Risks Perception Survey 2021" report shows that four of the top five global risks are environmental risks. The recent rainstorm disaster in Henan also highlights the importance of climate protection in the future economic and social development. Currently, major economies around the world generally regard the development of a green economy as a basic path to solve resource and environmental constraints, respond to climate change, and cultivate new economic growth points. By the end of 2020, a total of 44 countries and economies around the world had formally announced carbon neutrality targets. On July 14, the European Commission unveiled 13 policies under its "Fit for 55" package to ensure that the European continent achieves its 2030 and 2050 carbon reduction targets. Responding to climate change has become a global consensus, and international rules for green economic and trade are accelerating. In the face of the rapidly changing and rapidly developing situation in the field of green development, our industry services must keep pace, continue to maintain a leading edge, and enhance our participation and voice in the formation of green rules. Globally, carbon pricing, centered on carbon trading and carbon taxes, is reshaping the cost structure and competitive advantages of industries. By 2020, a total of 61 countries (or regions) are implementing or planning to implement carbon pricing mechanisms. In March this year, the European Parliament passed a resolution in principle on the "Carbon Border Adjustment Mechanism" (CBAM), planning to levy carbon emission import tariffs on other countries. In the future, goods entering the EU may be included in the EU Emissions Trading System and bear carbon compliance costs. According to Goldman Sachs, if a carbon tax of US$100 per ton of carbon dioxide is levied on the entire carbon footprint, China's total exports to the EU will be subject to a carbon border adjustment tax of US$350 billion annually. We need to pay attention to changes in rules, increase industry services to guide enterprises' green transformation, be wary of some countries' unprincipled expansion of climate issues to unilateral measures in the trade field, and enhance enterprises' ability to cope with the increased costs caused by green barriers. The circular economy is becoming an important direction for industrial transformation and upgrading. In 2018, the total global import of second-hand clothing reached US$4.1 billion. China produces about 6 million tons of waste textiles annually in production and consumption (excluding existing stocks), and is growing at a rate exceeding 10%. In 2020, at least 1.56 billion masks flowed into the ocean due to improper disposal, taking more than 450 years to degrade. This set of data reveals the significant responsibility and vast space for the industry to develop a circular economy. Driven by technological and conceptual innovation, industrial circulation is opening up new ways in product design, material innovation, production and manufacturing, distribution and sales, and exhibition presentation. For example, milk-based fibers and mushroom leather are promoting sustainable fashion from the root. Promoting the industry to build a resource-circular industrial system and a waste recycling system is an important direction for industry services. Green finance is becoming an important driving force for promoting the green transformation of industries. From 2011 to 2020, the number of companies disclosing annual corporate social responsibility reports in the A-share market has shown an upward trend. Companies with high ESG disclosure are more favored by the capital market and have more stable development. The capital market's support for green industries and green technologies is constantly increasing. In 2020, China's outstanding balance of green loans ranked first in the world, and the outstanding balance of green bonds ranked second in the world. The annual investment amount of Chinese VC companies in green-related technologies has also increased significantly. After China announced its vision goal of "carbon neutrality," green transformation is at the forefront of capital and policy, and the field of green development is booming. Our industry services should further strengthen guidance, promote the docking of industry enterprises, key projects, and the capital market. Help enterprises obtain more support from green finance and strive for greater space for green policies.
  3. Systemic Changes Driven by Technological Innovation
  The new technological revolution is profoundly changing the composition and connectivity of the entire economic system in a creatively disruptive way. As the driving force behind industrial upgrading and consumption upgrading, technological innovation determines the quality, content, flow, and form of the dual circulation. Our services need to grasp the development trend and evolutionary laws of technological innovation. We must grasp the trend of cross-fusion of technological innovation. Multidisciplinary collaboration and multi-technology integration fusion innovation are becoming important characteristics of global technological innovation. The fusion of technology accelerates the fusion of industries, reconstructing industrial relations; the multi-path exploration of cutting-edge technologies is giving birth to future technologies and nurturing future industries. For example, flexible display fabrics are redefining smart wearable products; for example, the development of biomanufacturing technology is changing the production processes of industries. The textile industry runs through the primary, secondary, and tertiary industries. Technological breakthroughs in every field, whether it is genetic engineering, nanotechnology, processing technology, or information technology, can drive the development of the industry. This requires us to adopt an open and cross-border mindset to promote diversified innovation cooperation in the industry. We must recognize the highly polarized trend of technological innovation. The focus of global technological competition is constantly shifting forward. China's technological innovation process starts from the application end and gradually traces back to front-end research and basic research. Insufficient basic innovation and original innovation are still bottlenecks restricting China's industries from advancing to a higher level. Statistics from the Ministry of Industry and Information Technology in 2018 show that 32% of key materials in China are still blank, and 52% rely on imports. Currently, global technological innovation resources and achievements are more concentrated around high-end tools, major theories, and comprehensive platforms, showing a highly polarized distribution. To achieve a higher-quality and more efficient internal circulation and to form a strong attraction to global innovation resources, we need to provide more guidance on major basic innovations and win the battle to attack key core technologies. We must leverage the advantages of application scenarios driving technological innovation. Market-driven application innovation is an important direction for global technological innovation. Abundant application scenarios and a diverse industrial ecosystem have become prominent advantages of China's technological innovation. For example, Anta and Tsinghua University have established a research center focusing on the research and development of forward-looking sports technology and the market transformation of innovative achievements. We should carry forward the important experience of market demand driving application innovation and promote the transformation of new technologies into new products, new formats, and new models. We must adhere to an open and cooperative model of technological innovation. Global competition surrounding key technologies, important standards, intellectual property rights, and innovation systems has become increasingly fierce. Against the backdrop of deepening strategic game, some developed economies have intensified their containment and blockade of China's technology. From 2017 to May this year, the US government and its major think tanks have issued 209 policy documents and reports focusing on China's technological development and Sino-US technological competition. The US containment of China in areas such as technology is systematic. In the face of this situation, we need to be even more determined to open up innovation, actively integrate into the global innovation network, improve the globalization layout of intellectual property rights, and promote independent innovation at a higher starting point.
  (II) Adapting to Structural Adjustments under the Dual Circulation Pattern
  Under the new pattern, population distribution, regional patterns, and market demand are all undergoing structural adjustments, and the economic system built upon them will also change accordingly. Industry services should adapt to these adjustments and be tailored to individual needs, regional characteristics, and specific demands.
  1. Structural Adjustment of Population
  Currently, the size, distribution, age structure, education level, and income level of the population are all undergoing structural changes. As a fundamental variable affecting economic and social development, population has a profound impact on the formation of the new development pattern. The 2021 World Population Prospects global report shows that the world's population growth rate is slowing down. Developed countries are experiencing population decline and aging, while developing countries are experiencing population growth and a younger population. This determines the trends and characteristics of the global consumer market. China's working-age population is continuously declining. In 2020, the population aged 15-59 decreased by 6.8% compared to 2010, and the number of migrant workers also saw a decline for the first time. This requires us to expand the demographic dividend, improve human capital, accelerate industrial transformation and upgrading, and enhance total factor productivity. We need to pay close attention to two changes that are taking place. The first change is the change in the main participants in economic activities. IMF data shows that in 2020, China's per capita GDP reached US\$10,484, more than 33 times that of 1990. Measuring the changes experienced by the population using the change in per capita GDP over the same period, China has a huge population that has experienced the most dramatic development and transformation in the world. Such a population has a strong ability and confidence to accept and adapt to innovation. At the same time, the new generation of workers grew up during China's rise and has a good education, international vision, a high degree of national identity, and cultural confidence. With the change in participants, the industry services will face more active human resources, young entrepreneurs with new knowledge backgrounds, more market entities with new economic genes and cultural confidence, domestic brands, and a consumer market with richer needs and formats. The second change is the imbalance in the flow of human resources. "The future is already here, it's just not evenly distributed." Population movement is a good interpretation of William Gibson's famous quote. Imbalance exists between regions. From the national population flow, the population continues to gather in the economically developed eastern coastal regions and urban agglomerations; intra-provincial flow is mainly from ordinary prefecture-level cities to provincial capital cities. The siphon effect of central cities is becoming increasingly significant. Population agglomeration is the agglomeration of industrial vitality, market agglomeration, and innovation agglomeration. Industry services must adapt to this objective change and actively guide the rational layout of the population through industrial development. Imbalance exists among industries. From the perspective of employment preferences and talent distribution, the workforce is shifting from the manufacturing sector to the service sector. This trend weakens the foundation and potential for future industrial development. The industry needs to take active actions, establish a new image, and improve the industry's attractiveness to human resources, especially young people, to promote a positive feedback loop between talent resources and industrial upgrading.
  2. Regional Structural Adjustment
  The disparities in China's economic development—east-west, north-south, urban-rural, and coastal-inland—remain prominent. In the first half of this year, economic data from 31 provinces and municipalities showed that Tibet's GDP, ranking last, was only 1.62% of Guangdong's, which ranked first; among the 11 provinces and cities with a GDP exceeding 2 trillion yuan, 6 were in the east. During the 14th Five-Year Plan period, promoting balanced and coordinated development of the regional economic structure will be an important direction. The industry needs to accelerate its adaptation to the changing trends in the spatial structure of economic development, actively integrate into major regional strategies, adapt measures to local conditions, actively promote the coordination and connection between industrial planning and regional development, and guide high-quality industrial development, acceptance, and transfer. On the other hand, we should fully tap the resource characteristics, industrial characteristics, and cultural characteristics of different regions and develop characteristic industries based on resource endowments. While promoting the development of traditional clusters, we should also pay attention to the cultivation of advanced manufacturing clusters, fashion design clusters, digital industry clusters, and blue economy clusters. We need to grasp two key points of regional structural changes. One key point is the urban agglomerations centered on central cities. In 2020, the seven major urban agglomerations, including the Yangtze River Delta and the Pearl River Delta, gathered 55% of the country's population and created 63% of the country's GDP. Central cities are accelerating their development into international consumption centers, innovation centers, and fashion centers. With the approval of the State Council, the five cities of Beijing, Shanghai, Guangzhou, Tianjin, and Chongqing have taken the lead in launching the construction of international consumption centers. The scale and brand of urban agglomerations depend to a certain extent on the development of central cities. It is worth noting that the role of manufacturing clusters in driving regional economic integration and development is even more critical. In the first quarter, Shenzhen's GDP accounted for 31% of the Pearl River Delta urban agglomeration, and its freight volume accounted for 14% of the region, while Foshan and Dongguan's GDP accounted for 12% and 11% of the region respectively, but their freight volume accounted for 18% and 19% of the region. In the Yangtze River Delta region, Suzhou's GDP share is lower than Shanghai's, but its freight volume share is higher than Shanghai's. The higher the proportion of freight volume in the region, the higher the level of interaction with regional economic integration. These manufacturing clusters (also textile industry centers) have a greater driving effect on regional integration than their share of regional GDP. Zhejiang, as the only demonstration zone for common prosperity in the country, also has the largest number of textile industry clusters. This is a good example of industrial driving regional integration and balanced development. We should actively guide industries to adapt to the functional structure division of urban agglomerations and make greater contributions to promoting regional integration through their own high-quality development. Another key point is county-level economy. County-level areas connect urban and rural markets and are the supporting force for consolidating the achievements of poverty alleviation, achieving comprehensive rural revitalization, and promoting new-type urbanization. The state is vigorously promoting urbanization construction with county-level cities as an important carrier, and the county-level economy is the vitality and potential for future development. County-level cities and towns are important carriers of our industrial clusters. In 2020, among the 38 counties with a GDP exceeding 100 billion yuan, 36 counties took the textile and garment industry as their pillar industry. The deep integration of the digital economy and the service economy with the industry has also injected new impetus into the rise of the county-level economy. Caoxian, which has successfully become popular with "Beijing, Shanghai, Guangzhou, and Cao," is an important production base for Hanfu and performance costumes, has nurtured 18,000 Taobao stores, and has become a benchmark for digital assistance in rural revitalization. Promoting the rise of the county-level economy through cluster development will be the focus of our future work.
  3. Structural Adjustment of the Market
  Uncertainty is the main theme of the current external environment, and the domestic market has become the strategic focus of industrial development. China's per capita GDP has exceeded US\$10,000, and its 1.4 billion population (more than 400 million of whom are middle-income earners) represents the most promising consumer market globally. The rapid development of new industrialization and urbanization is forming the strategic depth of the future market. In June, the World Bank raised its forecast for China's economic growth from 8.1% to 8.5%, making it the fastest-growing major economy. In the first half of the year, domestic demand contributed 80.9% to China's GDP. On the other hand, the domestic market is accelerating its transition to a stock economy, with increasingly prominent features of product homogeneity and industry involution. The key to how much future space there is lies in whether we can revitalize the stock, expand the increment, and find new breakthroughs.
  To achieve new breakthroughs, we must pay attention to new lifestyles. With the change of consumer groups and social activities, new lifestyles are being formed, and many segmented market areas are emerging. For example, following the rise of "She Economy," the rise of "He Economy" and "It Economy" reflects the pursuit of refined life by male groups and the emotional needs of the "pet economy." Currently, the overall scale of the pet economy has reached nearly 300 billion yuan, with textiles and garments being an important category, such as cat Hanfu and pet blankets. Another example is the healthy lifestyle of sports, which has made sporting goods the most promising area in the industry. According to Euromonitor, the market size of the domestic sportswear industry reached 315 billion yuan in 2020, and the compound growth rate is expected to reach 12.2% from 2021 to 2024. In the next stage, the Winter Olympics, Winter Paralympics, and Hangzhou Asian Games will further bring diversified, high-end, and international opportunities to domestic sports brands. To achieve new breakthroughs, we must pay attention to new application scenarios. The online transformation of physical channels, the physical transformation of online channels, the casualization of sports brands, the sportification of casual brands, the knitting of woven products, and the weaving of knitted products—under the logic of the stock economy, everyone is trying to become each other. Technological and process innovations have made cross-field application expansion possible. For example, wool textiles are being increasingly used in sportswear, and the Allbirds shoes promoted by Silicon Valley are made of wool. A larger scenario is that we are entering an era of "everything can be woven" supported by material innovation. The application boundaries are constantly expanding, and the industry faces the mountains and rivers. Future development should break away from stereotypes, not only focusing on in-depth professional fields but also paying attention to cross-border extensions. To achieve new breakthroughs, we must pay attention to new model innovations. In 2020, the online retail sales of physical goods in China reached 9.76 trillion yuan, accounting for 24.9% of the total retail sales of consumer goods. Under the epidemic, the importance of the online market has been further strengthened. Model innovation is also connecting more market entities and business scenarios. From cross-border e-commerce to rural e-commerce, a wider range of markets is being integrated; from live e-commerce to interest e-commerce, more multi-dimensional business formats are being added. In 2020, China's cross-border e-commerce imports and exports reached 1.69 trillion yuan, an increase of 31.1%. In 2020, the national rural online retail sales reached 1.79 trillion yuan, of which textiles and garments accounted for 28.4%, the largest category. Industry services should focus on new business models, guide the industry to improve its adaptability, and achieve the unification of scope economy and scale economy.
  IV. Systematically Promoting High-Quality Development of the Industry Around the New Blueprint and Doing a Solid Job in the Second Half of the Year
  The "14th Five-Year Plan" for the Textile Industry is a guiding document and strategic blueprint for the industry to promote high-quality development in science, technology, fashion, and green development in the new development stage. The plan clarifies the new positioning of the industry in the national economy during the "14th Five-Year Plan" period, namely, "a pillar industry for national economic and social development, a basic industry for solving people's livelihood and beautifying life, and an advantageous industry for international cooperation and integrated development." With a new positioning and new mission, the industry association, as a strong support for a capable government and an effective market, and a key force in promoting the liberation and development of industrial productivity, needs new thinking and new actions.
  (1) Industry Work Should Have a New Methodology Based on the New Requirements of the Situation
  1. Adhering to Ideological Guidance
  Guiding resource allocation with ideology and determining value space. Telling good stories and driving development with ideology are becoming increasingly important. The difference between strong and weak may not lie in the lack of ability, but more in the gap in ideology. As an industry enabler, we must maintain leadership in ideology, make the right moves first, and plan for future industries and the future of industries. Good ideology stems from foresight. We need to stand in the future and look at the present. We need to keep up with the forefront of academia and the market, pay attention to the unknown and the new, and pay attention to the margins and anomalies. We must be able to see the subtle clues to understand the bigger picture, identify risks, and seize opportunities with sharper insight. We must dare to be the first, embed foresight into our current work, and find the intersection with future tracks. Good ideology stems from knowledge and action. We must overcome the aging and solidification of knowledge and abilities, and build a learning organization. We must be grounded in reality and avoid empty discussions and doctrinaire approaches. We must effectively promote the integration of specific work with new strategies, policies, and situations; effectively promote industry services oriented towards new models, new formats, and new practices. We must maintain the advanced nature of knowledge and the leadership of services. Good ideology stems from empathy. Valuable ideologies must be based on truth, goodness, and beauty; ideologies that are warm, responsible, and have a broad vision. Fairness and justice, survival and development, openness and inclusiveness—our industry services must be based on such an ideology, and we must also promote such an ideology. We must proactively guide industry development, empower enterprises to express themselves, and promote the value realization and sustainable growth of more stakeholders.
  2. Adhere to value orientation
  Industry services should start from value, adhere to long-termism, and correctly position the relationship between individuals and collectives, collectives and the industry, and the industry and the country. Do not lose the larger picture for small gains, do not act against righteousness for the sake of profit, and do not worry about temporary gains and losses; be far-sighted and pragmatic. We must serve the strategic value of the country. Broaden our perspective and raise our position; consider and promote industry services in the context of the great rejuvenation of the Chinese nation and the profound changes unseen in a century. We should carry out industry services closely around the Party and country’s deployments and requirements, making industrial development closely connected with and in resonance with national strength, national rejuvenation, and people's happiness. We must serve the common value of the industry. We must constantly deepen our understanding of industrial problems, do more things that benefit the fundamental interests and long-term development of the entire industry, and achieve value creation and shared benefits with the industry. We should protect the industry's development ecology and create a healthy industrial development atmosphere. Industry services should emphasize problem orientation and results orientation, be effective and grounded, and create real value.
  We must serve the personal value of employees. The key to success lies in winning people over. The gathering and growth of talent are the fundamental guarantee and important goals for the high-quality development of the association. We must follow the laws of market development to attract and retain talent, improve the working environment, and enhance the attractiveness of outstanding talents; we must follow the laws of talent growth to cultivate and nurture talent, providing more opportunities and creating more space for employee growth.
  3. Adhere to practice-based principles
  "Strike a stone and you will have fire; without striking, there will be no smoke." The verification of ideology and the transformation of value ultimately depend on practice and implementation. This is a fast-paced era, and forward-looking things must be planned as soon as possible. The empowerment of capital markets, the digital economy, and technological advancements have made innovation cycles shorter and development opportunities fleeting. When encountering new ideas, we should "value speed and avoid unnecessary delays." We must race against time and the market, learn by doing, and verify through practice. This is an era of great integration, and related things must be systematically advanced. Industries are closely related and deeply integrated. Efficiency no longer comes only from professional division of labor, but more from efficient collaboration. Innovation, responsibility, and fashion have no boundaries. We must establish a "one-game" thinking, transform isolated and single work into systematic projects, and improve the overall and systematic nature of services. This is a professional era, and professional things require deep polishing. The more boundless cooperation, the more valuable professionalism. Professional matters require perseverance and in-depth development. Industry work should not be superficial, and business innovation cannot only take one step. We must adhere to the high degree of unity between service and tools, and between ideology and practice, and improve the irreplaceability of services. We must uphold the spirit of persistence and meticulousness, and strive for excellence with dedication and focus.
  (II) The main work of the Federation in the second half of 2021
  Currently, the global pandemic is still ongoing, the external environment is becoming more complex and severe, and the recovery of the domestic economy remains unstable and unbalanced. Faced with new changes and challenges, the meeting of the Political Bureau of the CPC Central Committee held on July 30 made key deployments on how to do a good job in economic work in the second half of the year. Seeking progress through stability is the overall tone of the work, maintaining resilience and stability, and ensuring people's livelihood and security are the main logic. In the second half of the year, we must take this as a guide and steadily advance relevant work around the key directions put forward in the "14th Five-Year Plan".
  1. Strengthen Party building leadership, consolidate the achievements of Party history learning and education, and improve association construction
  Industry associations are an important force in comprehensively implementing the Party's and the state's policies and mobilizing the entire industry to participate in socialist modernization. "Upholding the Party's leadership over all work" is the fundamental requirement. Cadres and staff of China Textile Federation should deeply study and implement General Secretary Xi Jinping's important speech on July 1, deeply understand the significance, scientific connotation, spiritual essence, and practical requirements of the important speech, gain insights into the power of truth and practical wisdom from the extraordinary journey of the Party, and dedicate themselves to the high-quality development of the industry with practical actions. Party building should strengthen management. If people's hearts are united, what is there to worry about? Firm Party leadership can achieve unity of purpose. We should make Party organizational discussions a prerequisite for deciding important matters, further strengthen Party leadership, improve association governance, and, especially during the renewal of the Federation and various professional associations, as well as the selection and appointment of leadership teams of various units and departments, we should always implement the Party's and superior organizations' relevant policies and work requirements, resolutely implement the unified leadership and democratic decision-making procedures of the Federation's Party committee. We should further strengthen the construction of grassroots Party organizations. "Unity, leadership, seeking truth and being pragmatic"—fully play the role of Party branches, Party committees, and grassroots Party committees to guide the complementarity and synergy of industry and departmental work. We must maintain the advanced nature and purity of the Party, strictly enforce the Party's organizational discipline and the management of Party cadres, and carry out regularized learning and education. In terms of selecting and appointing people, we should emphasize the selection and appointment of professional personnel, and the training and use of personnel who are dedicated to their work; in terms of cadre management, we should strengthen education and management of Party members and cadres, adhering to the standards of "loyalty, integrity, and responsibility." In the second half of the year, the Filament Weaving Association, the Clothing Designers Association, the Industrial Textiles Association, and the Home Textile Association will hold elections. We should do our work as required, establish righteous conduct and atmosphere, and unite to form a common force to promote the development of the cause.
  Party building should promote reform. Decoupling is a general requirement for the state to promote market-oriented reform and development, and it is also a necessary condition for the industry to achieve standardized development. The purpose of decoupling is to establish and implement a modern social organization system with de-administerialization and separation of government and society as opportunities, making association organizations and functional forms more market-oriented. We must uphold Party leadership and systematically advance decoupling and institutional reforms, achieving decoupling without derailing. Improve the modernization level of the association's service system and service capabilities. On the one hand, association work should be closer to the market and the industry, giving full play to its professional expertise and fully stimulating its vitality; on the other hand, association development should serve the country and the overall situation, promoting the full integration of a capable government and an effective market.
  2. Adhere to a "national one-game" approach and promote the integration of industrial planning and regional development
  Based on the overall development and regional differences, we should continue to promote the alignment of the industry's 14th Five-Year Plan with the development strategies of 31 provinces, autonomous regions, and municipalities. We should adopt localized and differentiated policies, strengthening the synergy between industrial transformation and upgrading and regional development strategies. Through industry conferences, large-scale exhibitions, fashion weeks, and other activities, we should precisely match the industry's and region's advantageous resources, enabling better integration of industry development into regional development. We should further develop and provide services for clusters and parks, using the construction of modernized, digitized, and low-carbon industrial clusters to promote the construction of new towns and rural revitalization. We should promote the leading development of eastern provinces, continuing to leverage their advantages in innovation element aggregation to build new advantages in opening up, developing advanced manufacturing, high-end design, and brand building, creating international R&D centers, design centers, brand centers, and smart manufacturing demonstration bases. We should accelerate the cultivation of world-class textile industry clusters and fashion towns. We should actively promote the integration of the industry with major regional strategies such as the Guangdong-Hong Kong-Macao Greater Bay Area and the Yangtze River Economic Belt; deepen cooperation with Zhejiang's construction of a common prosperity demonstration zone and Shandong's integrated pilot zone for transforming new and old kinetic energy. We should guide central, western, and northeastern provinces to undertake industrial transfers based on their resource endowments and expand employment. We should promote central provinces to expand and strengthen advanced manufacturing, enhance their independent innovation and green development capabilities, and build inland opening-up highlands. Driven by major projects, we should facilitate the orderly transfer of supporting industrial chain links. We should support western provinces in strengthening ecological protection and developing characteristic advantageous industries. Focusing on Yunnan, Guizhou, Guangxi, Xinjiang, and Tibet, we should explore ethnic and intangible cultural heritage for industrial application and transformation. We should actively integrate into the construction of the western opening-up corridor and the Belt and Road Initiative. We should use industrial development to promote the construction of the Chengdu-Chongqing economic circle. Integrating into the comprehensive revitalization of the northeast, we should use industrial development to help form a balanced industrial structure. We should actively promote the research and application of high-tech such as carbon fiber, develop large-scale customized service manufacturing, and cultivate single-item champions and characteristic clusters.
  3. Based on dual circulation, improve the quality of supply and create a more resilient industrial system
  We should further promote the upgrading of industrial foundations and the modernization of the industrial chain, consolidate scale advantages and system advantages, and improve the stability and robustness of the industrial chain. We should improve the industrial ecosystem of large, medium, and small enterprises, and production, supply, and sales synergy, promote the integration of industrialization and informatization, and the integration of industry and finance, accelerating the intensive development of the industry. We should strengthen technological innovation capabilities. We should increase guidance and support for major innovations in materials, processes, and equipment, win the battle to overcome key core technologies, and improve the overall efficiency of the industrial chain. We should do a good job in science and technology awards and the promotion of achievements, and continuously promote the industrialization of technological innovation. We should optimize the scientific and technological innovation system and support the construction of platforms such as the national manufacturing innovation center. We should strengthen fashion development capabilities. We should guide enterprises to strengthen research on fashion trends and improve product R&D systems. We should focus on "masters, big brands, and big events," promote the development of platforms such as China International Fashion Week, and enhance their professionalism and influence. We should deepen the intangible cultural heritage work in the industry and promote the construction of industry brands. Taking the Tokyo and Beijing Winter Olympics as opportunities, we should promote the international development of brands. We should vigorously develop the digital economy. We should promote the construction of industry information infrastructure such as the industrial internet and new large-scale data centers, guiding enterprises to "go to the cloud, use data, and empower intelligence." We should develop service-type manufacturing and create a smart supply chain. We should promote the development of new models and formats such as cross-border e-commerce, rural e-commerce, live e-commerce, and content e-commerce. We should ensure smooth circulation in both domestic and international markets, expanding market space. We should actively promote both internal and external circulation. Based on the strategic focus of expanding domestic demand, we should accelerate the promotion of the integration of domestic and foreign trade. We should create full industrial chain and international brand exhibitions, organize the Shanghai Joint Exhibition and the Greater Bay Area Exhibition, and actively expand the exhibition market in central and western regions. We should promote the innovative development of digital exhibition trade. We should actively promote international exchanges and cooperation in the industry. We should strengthen the tracking, cultivation, and service work of professional markets.
  4. Maintain a leading advantage and comprehensively promote the industry's "carbon peak and carbon neutrality" work
  Faced with new changes and requirements, the industry must both follow the general trend of green development and adhere to seeking truth from facts. Based on the clear bottom-line responsibilities, we should comprehensively and orderly carry out carbon peak and carbon neutrality work. We should adhere to the principle of "establishing first, then breaking," selecting appropriate paths and rhythms based on the development stage, the current foundation, and the capability advantages, resolutely avoiding a campaign-style "carbon reduction." In accordance with scientific and market laws, we should steadily promote the green and low-carbon transformation of the industry.
  We should conduct in-depth research on the targets and action plans for carbon peak and carbon neutrality in the textile industry, continue to promote the "China Fashion Brand Climate Innovation Carbon Neutrality Acceleration Plan," and select 30 key brand companies, 60 manufacturing companies, and a number of key industrial clusters to carry out carbon neutrality pilot demonstration projects. We should continue to conduct research and promotion on carbon accounting methods and emission reduction roadmaps. We should promote the optimization and upgrading of the energy structure and support energy efficiency leaders. We should continue to conduct the screening, pilot testing, and promotion of green technologies. We should promote the construction of a resource recycling system for waste textiles and clothing. We should continuously innovate social responsibility construction systems and tools, expanding the applicable entities and fields. We should deepen international exchanges and cooperation in social responsibility.
  5. Balance safety and development, focus on key areas, and ensure stable and healthy development
  We should incorporate safe development into all areas and the entire process of the industry, firmly grasping the initiative in development. Focusing on technology and raw material guarantees, we should promote the resolution of fundamental, fundamental, and strategic safety issues in the industrial chain. We should optimize the global allocation of resources and guide the open cooperation and diversified layout of the textile industry chain and supply chain. We should properly handle the relationship between domestic development and international transfer, maintain an appropriate industrial scale, and meet the basic needs and emergency supply of residents. We should strengthen the analysis and judgment of the international situation and improve the ability to identify and warn against environmental risks. We should consider the "Xinjiang issue" within the context of industrial safety and pay close attention to the development trend. We should strengthen investigations, research, and advice, and carry out targeted service and support work. Starting with the cotton textile industry, we should cooperate with global industry organizations and international institutions to launch a "responsible textiles" project in a timely manner to create greater development space for enterprises. We should promote the social responsibility construction work of the Xinjiang textile industry and enterprises. We should scientifically guide the better integration of the Xinjiang cotton textile industry into the domestic circulation system. In exhibitions and fashion weeks, we should strengthen the promotion of Xinjiang cotton, increase public understanding, and quickly form a new situation where domestic consumption is the main body. Over a century-long journey, the waves are magnificent. Under the leadership of the Communist Party of China, the Chinese people have worked hard, transforming a spark into a prairie fire. The great rejuvenation of the Chinese nation has entered an irreversible historical process! The Chinese textile industry is embarking on a new journey and heading towards new goals—a major driver of global textile technology, a major leader of global fashion, and a strong promoter of sustainable development. What should be taken advantage of is momentum; what should not be missed is opportunity. The 14th Five-Year Plan for the industry has been drawn up, and the vision for 2035 has been established. Let us practice the great spirit of the founding of the Party, be brave in our struggle, dare to win, learn from history, create the future, promote higher-quality development of the industry in the tide of the great rejuvenation of the Chinese nation, add splendor to our country, and bring greater glory to our nation!
 

Leaders from Xiamen C&D Group visited Tongzhou for investigation and guidance


On March 3, Wang Yongqing, Vice President of Xiamen CNOOC Group, visited Tongzhou Group for investigation and guidance. Wei Gangmin, Chairman of our company; Huang Hongyu, President; Li Tao, Vice President; and Zhang Zhiyan, Director of the General Office, met with and participated in a symposium.


Tongzhou Cotton Market Brief, Week 1 of March 2025


1) This week's National People's Congress and the Chinese People's Political Consultative Conference (NPC & CPPCC) in China boosted market expectations for steady growth. In February, the Purchasing Managers' Index (PMI) for manufacturing stood at 50.2%, up 1.1 percentage points from the previous month, indicating a significant improvement in the manufacturing sector.


In 2024, China's exports of dyed and printed fabrics to Vietnam and Bangladesh increased significantly.


In 2024, China's dyeing industry saw rapid export growth to ASEAN and RCEP member countries, exceeding the overall export growth rate. However, this growth was accompanied by a decline in prices. From January to December, China's exports of eight major dyeing products to ASEAN totaled 7.908 billion meters, a year-on-year increase of 12.14%, 4.61 percentage points higher than the overall export growth rate, accounting for 23.58% of total exports. The average export price was US\$1.19 per meter, a year-on-year decrease of 2.75%, 0.64 percentage points lower than the overall decline. Exports to RCEP member countries totaled 8.431 billion meters, a year-on-year increase of 11.35%, 3.82 percentage points higher than the overall export growth rate. The average export price was US\$1.17 per meter, a year-on-year decrease of 2.79%, 0.60 percentage points lower than the overall decline.


President Huang Hongyu was invited to attend the 2025 Zhangjiagang Cotton Industry Development Conference


On February 28, Mr. Huang Hongyu, President of our company, was invited to attend the 2025 Zhangjiagang Cotton Industry Development Conference and, as a guest speaker at the "Xiangshan Roundtable," shared his views on the cotton market and trading opportunities.