Zhejiang Huachen raising curtain on new era
The export volumes of Zhejiang Huachen New Material Co Ltd, one of China’s biggest curtain exporters by market share, will grow by 8 percent year-onyear to $13 million by the end of this year, thanks to its growing investment in the research and development of high value-added products.
The Hangzhou-based company is a typical example of how textile and garment makers in China are responding to weak demand in developed markets and moving up the value chain with high-end products, as well as reducing their dependence on the original equipment manufacturer business model to ensure their global market share.
It decided in 2014 to invest more than 7 million yuan ($1.04 million) annually in the research and development of home textile products such as fire-retardant, heat-insulation, anti-bacterial and deodorant high-end curtain products.
The fast growth of China’s middle class ... will boost domestic consumption.”
chairwoman of Zhejiang Huachen New Material Co Ltd
Sun Yuehua, chairwoman of Zhejiang Huachen, said as functional home textile products have been used in developed countries for more than seven decades, they have become increasingly popular in Southeast Asia, the Middle East and South America, as well as in China.
“The textile industry will enter a new era as it has already been raised as a new growth strategy in many developed countries,” said Sun. “It has upgraded with new industrial materials, energy saving and intelligent home products to create new sales channels and related services.”
The company exported $8 million of its goods to more than 30 countries and regions in the first three quarters of this year.
Zhejiang Huachen shifted its focus to markets in North Africa, the Middle East, Central Asia and Southeast Asia as economic growth in these regions offer prospects for increased purchases of textile products.
“The fast growth of China’s middle class and their growing expectations for better quality home textile products and new purchasing platforms such as e-commerce, will boost domestic consumption,” she said.
The China National Textile and Apparel Council has set a target for domestic manufacturers to achieve an average annual growth rate of 3.2 percent during the 13th Five-Year Plan (2016-20).