
China's little-known 'Underwear Hub' looks to expand global imprint
It has around 500 underwear companies and supporting factories that generate an annual output value exceeding 50 billion yuan (US$6.97 billion). More than ten million pieces are shipped to global markets daily, data from local authorities showed.
"We used to be a fishing town, relying on the sea for livelihood. After the reform and opening-up, overseas Chinese relatives brought back foreign lingerie, which opened the eyes of Shenhu residents to new business opportunities. This led to a shift from a single maritime-based economy to a more diversified production and lifestyle," said Yang Huisu, executive vice-president of Jinjiang Shenhu Chamber of Commerce.
Opened in 1989, Jinjiang Jiali Costume and Weaving Co produces underwear, socks and yoga wear such as leggings and sports bras that cover adults and children. Its annual revenue is about US$40 million.
Cai Xinling, general manager of the company, said they handle the entire manufacturing process in-house, from fabric weaving, dyeing and printing to producing elastic bands, main fabrics and auxiliary materials.
About 30 per cent of its orders come from the United States. Recent ones involved Germany, the United Kingdom and Canada as well.
Male underwear sells at US$0.8 to US$1 each for US customers, while medium and high-end ones cost about US$1.8 to US$2.5, according to Cai.
"This year, when US tariffs hit, both Shenhu township and Jinjiang city governments provided crucial support. They organised domestic giants like Anta and Xtep to visit export-oriented manufacturers like us to create opportunities in business cooperation in doing domestic trade," Cai said. "The government also mediated with banks to secure favourable loan terms for affected businesses."
The company now focuses on developing functional fabrics, such as antibacterial and temperature-regulating ones, and innovating in products based on more tailored demands.
"For example, the underwear we wear at the office and while exercising is different in fabric and function. For sports, we need moisture-wicking and antibacterial properties, whereas for office wear, cotton remains the go-to choice. It's all about superior comfort," she said.
Although it has shifted some of its business to the domestic market due to global uncertainties, Cai believes underwear remains an essential consumption.
"With 90 per cent of Shenhu's capacity traditionally export-oriented, we're now bridging to domestic markets through government-led exhibitions and partnerships with local brands."
The transformation reflects Shenhu's adaptive spirit: maintaining its supply chain superpower while strategically rebalancing markets, one stitch at a time.
In 2004, Shenhu town was awarded the title of an "Underwear Hub of China". The complete industrial chain enables Shenhu's underwear manufacturers to source all materials for a single garment within just 30 minutes.
"This fully integrated supply chain has not only boosted production efficiency but also ensured more stable output for the local industry," Yang from the chamber said.
Flagship products of Fujian Jinjiang Shenhu Shengda Clothing Factory in the town include knitted underwear for men and women, supplemented by knitted vests, T-Shirts and thermal wear.
Nian Xiaoxin, general manager of the factory, forecasts a more than 50 per cent growth in production and sales this year. "A notable market shift has seen major retailers and bulk purchasers increasingly bypass Hong Kong and Shanghai trading intermediaries to engage directly with manufacturers like us," he said.
The factory also received orders from new customers such as the UK, Italy, Japan and South Korea.
"Shenhu's most significant industrial advantage lies in its complete supply chain ecosystem. Virtually all upstream and downstream raw and auxiliary materials can be procured within the town on the same day. Moreover, our relatively large purchase volumes and direct supplier relationships give us considerable pricing advantages," he said.
Nian remains optimistic about the future development prospects of Shenhu's lingerie industry.
In the next five years, the town aims to further expand into European, South American and South-East Asian markets. It will collaborate with cross-border e-commerce platforms like Shein and TikTok to explore new production models. The industry also plans to shift its focus from exports to domestic sales to mitigate risks from international trade fluctuations, according to Yang. - China Daily/ANN
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


The Sun
2 hours ago
- The Sun
Tesla tops Chinese rivals in assisted driving tests
BEIJING: Billionaire Elon Musk's Tesla outperformed Chinese rivals including BYD, Xiaomi and Huawei in a test of assisted driving technologies on China's highways, according to results published by TikTok owner Bytedance's auto unit Dcar. State television CCTV and Dcar jointly tested the level 2 advanced driving assistance systems (ADAS) from more than 20 electric vehicle brands in China and rated their performance in a series of scenarios with higher risks of accidents on highways and urban traffics. The test videos posted by Dcar went viral on Chinese social media. Tesla scored the best in the highway test among 36 models, with its Model 3 and Model X passing five out of six scenarios, while BYD's Denza Z9GT and Huawei-backed Aito M9 failed in three scenarios. Xiaomi's SU7 passed in one of six. In a Weibo post on Friday, HIMA, the Huawei-led auto alliance, said it declined to comment on the 'so-called test.' BYD and Xiaomi didn't immediately respond to requests for comment. 'Due to laws against data export, Tesla achieved the top results in China despite having no local training data,' Tesla CEO Elon Musk said on his X account on Friday. Tesla has been caught in what Musk described as a 'quandary', as the U.S. doesn't allow its AI software to be trained in China, while the automaker has been seeking approval from Chinese regulators to transfer data saved locally in Shanghai back to the United States for algorithm training. Domestic brands should face up to the gap with Tesla in autonomous driving, Wang Yao, deputy chief engineer of the China Association of Automobile Manufacturers, told an auto forum in Shanghai earlier this month. Xiaomi CEO Lei Jun, in remarks after a Tesla Model Y delivered itself from an Austin, Texas factory to its owner in the area roughly 30 minutes away, said 'we will continue to learn' from Tesla which has led industry trends. The test came amid growing safety concerns in China about the ADAS after a highway accident involving a Xiaomi SU7 killed three people in March. State media have blamed misleading promotions for resulting drivers' improper uses of the technologies and the authorities have banned the uses of terms such as 'smart driving' and 'autonomous driving' for marketing driving assistance features. The public security ministry said this week that the country will set out legal responsibilities related to the technology that has yet achieved true autonomous driving. Drivers face safety and legal risks if they are distracted in accidents when assisted driving is turned on, the ministry warned. Xiaomi had seen a slump in new EV orders as a consumer backlash began in April following the fatal trash, but the impact seems short-lived, with its new electric SUV receiving exceptionally strong initially orders after it went on sale last month. Tesla's sales of its China-made electric vehicles edged up 0.8% in June from a year earlier, snapping an eight-month losing streak, but they continued to fall on a quarterly basis in the face of lower-cost new models from its Chinese rivals. Tesla's assisted driving suite is available in China for nearly $9,000, while the technology from its local rivals including Xiaomi and BYD is without extra cost, pressuring the U.S. automaker's self-driving future. Tesla's technology approach relies solely on cameras as sensors and artificial intelligence while most Chinese peers including BYD use lidar (light detection and range sensors) additionally to ensure performance. ($1 = 7.1624 Chinese yuan renminbi) - Reuters


The Star
2 hours ago
- The Star
Thailand-Cambodia conflict could trigger global tuna pert food shortages
MOSCOW: The escalating tensions between Thailand and Cambodia could cause a serious shortage of canned tuna due to Thailand's dominant position in this market, according to RIA Novosti's analysis of Thai Tuna Industry Association data. In 2023, global exports of canned tuna totalled 1.6 million tonnes, with Thailand accounting for a dominant 28 per cent of that volume. Ecuador, the second-largest exporter, held just a 14 per cent share, followed by China at 9 per cent. Thailand's canned tuna exports surged by 30 per cent in 2024, reaching 580,000 tonnes, up from 445,000 tonnes a year earlier. The United States is the largest consumer of Thai canned tuna, accounting for 21 per cent of purchases, followed by Japan, Australia, and Libya (7 per cent each), and Saudi Arabia (6 per cent). According to the UN's Food and Agriculture Organisation, Thailand also controls around 8 per cent of the global tuna trade (both fresh and processed), trailing Ecuador (12 per cent), China (11 per cent), and Indonesia (8.5 per cent). According to RIA Novosti's analysis of UN Comtrade data, a disruption in trade due to the Thai-Cambodian conflict could also impact the global pet food market, as Thailand was the world's second-largest exporter of pet food in 2024, with US$2.7 billion worth of shipments or just over 10 per cent of the global total. Only Germany exported more, with exports totalling US$3.3 billion. The United States was the top buyer of Thai pet food, accounting for nearly one-third of Thailand's exports. Other major importers included Japan (12 per cent), Australia and Italy (6 per cent each), Malaysia (5 per cent), and the Philippines and Germany (4 per cent each). Thailand's presence in the Russian pet food market remains minimal, with imports totalling just US$4.9 million last year. In March 2024, Russia's Federal Service for Veterinary and Phytosanitary Supervision banned six Thai enterprises from the Russian market. The long-standing dispute between Thailand and Cambodia over the 11th-century Preah Vihear Temple, a Unesco World Heritage site, escalated Thursday. Following weeks of heightened tensions from landmine incidents and subsequent mutual diplomatic expulsions, heavy artillery and rocket attacks erupted near border temples. Al Jazeera reported, citing the Thai Health Ministry, that bombing and shelling had killed at least 11 civilians and a soldier in Thailand. The authorities of four Thai provinces bordering Cambodia have announced the evacuation of residents amid the escalation, The Nation newspaper reported. - Bernama-Sputnik/Ria Novosti


The Sun
3 hours ago
- The Sun
MMAG acquires third freighter for US$25.9 million
PETALING JAYA: MMAG Aviation Consortium Sdn Bhd (MAC), the aviation arm of MMAG Holdings Bhd (MMAG), announced that its Labuan-incorporated subsidiary, MMAG SkyAssets Ltd, has signed an aircraft sale agreement with GASL Ireland Leasing A-1 Ltd, a special purpose vehicle managed by Genesis Aircraft Services Ltd, for the acquisition of a Boeing 737-800 Boeing Converted Freighter. The aircraft, currently leased to the group's air freight business, MJets Air Sdn Bhd, will be acquired for US$25.9 million (RM109 million). This acquisition marks MAC's third freighter under ownership, complementing the group's existing fleet of four leased aircraft and bringing MMAG's total operating fleet to seven. Two earlier aircraft acquisitions from JPA No. 161 Co Ltd were signed in December 2024 and January 2025, signalling MMAG's phased transition towards greater asset control and internalisation of key fleet infrastructure. MMAG foresees that Malaysia's aviation and logistics outlook will continue to strengthen. According to the Finance Ministry's Economic Outlook 2025, Malaysia's gross domestic product is expected to grow 4.5% to 5.5% this year, driven by rising global trade and private sector expansion. National air cargo throughput surpassed 1.02 million tonnes in 2024, with 4.96% growth expected this year. Meanwhile, the local e-commerce market, valued at RM36.03 billion in 2024, is projected to grow by 17.76%, fuelling sustained demand for regional air freight services. Amid this upward trend, MMAG is showing clear signs of financial recovery. For the six-month financial period ended March 31, 2025, the aviation segment recorded a profit before tax (PBT) of RM25.64 million, reversing losses in preceding quarters. At the group level, MMAG returned to profitability with a cumulative PBT of RM33.19 million, driven by increased revenue across its mobile and fulfilment segments, stronger aviation performance, and the onboarding of strategic new contracts. 'This acquisition reflects more than just another aircraft in our fleet – it represents our strategic intent to evolve into a fully empowered aviation operator,' MAC chairman Woo Kam Weng said. 'With greater control over our assets, we're strengthening our ability to respond swiftly to market needs, optimise internal fleet utilisation, and explore new revenue channels. It's a deliberate step towards long-term resilience and sustainable growth in a competitive logistics landscape.': Subject to shareholders' approval, the acquisition will be completed via a structured cash payment arrangement, allowing for phased instalments over a 14-month period, followed by a final settlement upon transfer of ownership. This staged approach ensures optimal cash flow management while securing long-term access to a valuable aviation asset. Notably, this freighter – manufactured in 2005 – is significantly younger compared to MMAG's two previously acquired freighters, which were over 30 years old at the time of purchase. The newer asset strengthens the group's overall fleet profile, offering improved reliability, residual value and operational efficiency over the long term. MMAG's growing fleet, under its ownership, reflects a broader strategy to reduce dependency on third-party lessors, gain fleet deployment agility and strengthen financial resilience through asset ownership. The group's aviation strategy is further anchored by MAC's integrated platform, which includes airfreight (MJets Air), cargo terminal operations (XCT Aviation), on-demand warehousing solutions (SkyVault Cargo) and transhipment logistics (Oceanic Transhipment Hub).