of China’s Textile and Apparel Industry Contents 2022 was a year of upheavals and turns. The world economy remainedsluggish in the aftermath of the COVID-19 pandemic and geopoliticaltensions. The turbulent external environment brought various risks andchallenges far beyond expectations. 2022 was a year to build on our pastachievements and open up a new future. The successful 20th National Looking back to the past year, in the face of a grim and complicatedinternational situation and multiple pressures brought by the demandcontraction, supply shock, and weakened expectations in the domesticmarket, the textile and apparel industry forged ahead despite challengesand achieved steady and sound development by continuously optimizing This report, the 18th China National Textile and Apparel Council (CNTAC), was presided overby CNTAC, prepared by the Office for Social Responsibility of CNTAC,and supported by the leaders and departments of CNTAC. In addition,many domestic and foreign stakeholders of CNTAC also offered valuablerevision opinions during its preparation. The report falls into four parts.The first part outlines the development of China’s textile and apparel Development of China’s Textileand Apparel Industry and Its 1.1Development Overview of the Industry in 2022 1.1.1Support the stable development of China’s economy The textile and apparel industry serves as the cornerstone of people’s livelihood. In 2022, the added value of China’stextile industry accounted for 3.5% of the national total, ranking ahead of food, tobacco, railway and ship equipmentmanufacturing, and other industries. The composite prosperity index of China’s textile industry fluctuated somewhat due In 2022, enterprises above the designated scale decreased their industrial added value by 1.9% on a year-on-year basis Year-on-year growth of the industrial added value of textile industry Major product categories experienced a dramatic slowdown in their output growth in 2022. Among them, the outputof the chemical fiber, yarn and cloth declined by 0.2%, 5.4% and 6.9% respectively compared to the previous year; per capita consumption expenditure) on apparel in 2022, with a decrease of 3.8% compared with the same period lastyear, demonstrating a decline of 0.3 percentage points, the lowest level since the 21st century. The textile industryfaced greater stress. Retail sales via brick-and-mortar channels saw continuous negative growth since March, withoutany visible signs of sustained improvement. The retail sales of apparel, shoes, hats, knitwear and textiles of distributors Under the significantly increased pressure of development, the investment situation of the industry remained stablebasically. According to the National Bureau of Statistics, in 2022, the completion rate of investment in fixed assets ofChina’s textile industry, chemical fiber industry, and apparel industry increased by 4.7%, 21.4% and 25.3% compared 1.1.2 Optimize the overseas market structure According to China Customs, in 2022, the export volume of China’s textile and apparel industry exceeded 300 billion USdollars for the third year in a row, with the total exports reaching 340.95 billion US dollars, a year-on-year increase of2.5%, hitting a new record high. Among them, the export volume of textile products reached 156.84 billion yuan, a 1.4% In terms of the structure of export products, the textile supply chain of Southeast Asia and South Asia remained resilient,becoming major drivers for the export of supporting products in the industrial chain such as yarn and fabric. In terms ofthe structure of export markets, the markets along the Belt and Road played a bigger role in driving China’s textile andapparel exports. The structure of export markets tended to be more diversified. In 2022, China’s exports of textiles and International investment and cooperation boosted steadily. Seeing from outward investment, the industry’s enthusiasmfor outward investment was not undermined by the pandemic, and the enterprises engaged in overseas operationsdespite the odds. Over the past ten years, the stock of direct outward investment by China’s textile industry approached As one of the most internationally competitive industries in China and a pioneering and demonstrating industry in theindustrial cooperation under the Belt and Road Initiative (BRI), China’s textile and apparel industry has made innumerable the BRI. In 2022, the two-way trade volume of China’s textiles and apparel with countries involved in the BRI reachedapproximately 190 billion US dollars, accounting for over 53% of the total imports and exports of the industry; China’sexports of textiles and apparel to countries along the Belt and Road amounted to 126.2 billion US dollars, a year-on- The execution and implementation of RCEP promoted the investment, cooperation and development of the textileand apparel industry in Southeast Asia. In terms of outward investment, from 2013 to 2022, China’s textile and