Textile manufacturers in eastern China are facing mounting pressure as surging raw material costs collide with falling orders, pushing some factories to the edge of shutdown.
In recent weeks, prices for key inputs used across Zhejiang province’s vast textile sector have doubled, according to industry insiders. At the same time, demand has softened, leaving many companies caught in a squeeze where production costs exceed selling prices.
Several industry insiders spoke to The Epoch Times on condition of anonymity out of fear of reprisal.
“Materials that used to cost 1 million yuan (approximately US$140,000) are now 2 million,” a member of a local textile industry association told the publication. “The more you produce, the more you lose.”…
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