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BEIJING: Cold snaps in northern and western China have boosted sales of down apparel, with major Chinese brands competing with international ones in terms of quality and innovations in the mid-range and high-end categories.
According to the National Climate Centre, temperatures between December and March next year in many areas of northern and western China are forecast to be lower than the same period of the prior year.
There are more rounds of extreme cold weather in southern China as well this winter than the previous season of last year.
This has heated up the down garment market, with the younger generation’s rising interest in outdoor activities further spurring sales.
According to the China National Garment Association, the down apparel market in China was valued at 156.2 billion yuan (US$22.35bil or RM98.34bil) in 2021 and is estimated to reach 162.2 billion yuan (RM103.4bil) this year.
Its annual average growth rate between 2016 and 2021 was 12.7%, higher than that of the overall clothing market.
Huaon.com, a research unit, said in its report on the down apparel market’s prospects in China between 2019 and 2025 that the penetration rate of the down jacket segment in China is less than 10%, much lower than 70% in Japan and 35% in the European and US markets, suggesting more market potential in the years to come.,
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Meanwhile, the new national standard for down apparel took effect in April. This included measures to optimise the production and quality to make the industry more integrated with the international market.
Under the new standard, lower-quality products will not be allowed to get into the market, facilitating the better development of established large or medium-sized brands, in terms of design, skills, technology and marketing.Lu Mei, deputy secretary-general of the garment sector of the Federation of Industry and Commerce in Jiangsu province, said the new standard has led to a shakeup of the down apparel industry.
“The small and medium enterprises producing lower quality down clothing will not survive due to the higher costs of better feathers and fabrics,” said Lu.
Major domestic down apparel players have benefited from both the new standard and rising demand.
During this year’s Double 11 shopping festival on Tmall in November, Bosideng International Holdings Ltd, the leading domestic down apparel producer, ranked tops with sales exceeding 100 million yuan (RM63.8mil) in the first 10 minutes of the sale.
According to Mktindex, Bosideng ranked first under the Tmall female clothing category, grossing sales of 60.7 million yuan (RM38.7mil) and an average transaction worth 1,540 yuan (RM982) during the shopping festival.
In the first six months to Sept 30 of its fiscal year, Bosideng group generated a revenue of 6.18 billion yuan (RM3.94bil), up 14.1% year-on-year, with profit increasing 15% to about 734.3 million yuan (RM468.3mil).,
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