The 'Prato system': corruption and illegal labour at the heart of the Italian textile industry
According to Tescaroli, the mafia's influence extends beyond controlling the logistics of clothing and goods. The groups also "encourage the illegal immigration of workers of various nationalities" to fuel Prato's industry, which operates as "a complex economic system." Tescaroli believes the "phenomenon has been underestimated," allowing the mafia to expand its power. In recent months, the city has seen Chinese entrepreneurs and workers beaten and threatened, and warehouses set on fire. The former head of Prato's police investigation unit, Francesco Nannucci, told AFP that the Chinese mafia, which has also infiltrated illegal gambling, prostitution, and drug trafficking, seeks to "command a large part of Europe" by dominating Prato.
The criminal clans, particularly those involved in fast fashion, exploit the "Prato system," a long-standing model plagued by corruption and irregularities. This system involves a network of around 5,000 small, Chinese-run subcontractors that produce low-cost garments for shops across Europe. These workshops often evade taxes and fines by closing down and reopening quickly, while profits are illegally repatriated to China. The system relies on cheap, round-the-clock labor, primarily from China and Pakistan, with workers reportedly earning as little as three euros an hour. As union organizer Riccardo Tamborrino states, Prato's textile industry is "exempt from all laws, from all contracts," and "it's no secret to anyone." Corruption and a lack of enforcement worsens the situation in Prato
The 'hanger war' is specifically a battle over control of the final stage of the supply chain—the transport and shipping of finished goods. This market has long been controlled by Zhang Naizhong, described in a 2017 court document as "the dominant figure in unscrupulous circles of the Chinese community" in Europe. The man killed in Rome was his right-hand man, and his death followed arson attacks on his warehouses near Paris and Madrid. The alleged "godfather," Zhang Naizhong, was acquitted in 2022 in a major case against the Chinese mafia, a trial that was reportedly "marred by irregularities."
Corruption and a lack of enforcement have exacerbated the situation. In May 2024, a deputy head of the Carabinieri in Prato was accused of providing police database access to entrepreneurs, including a chamber of commerce official, to obtain information on workers. A union representative, Francesca Ciuffi, told AFP that complaints filed by assaulted workers "ended up in a drawer, never reaching the court." The former mayor of Prato also resigned in June amid a corruption investigation. While unions have recently secured regular contracts for workers in over 70 companies, this is not enough to protect those caught in the crossfire of the ongoing mafia war. As Ciuffi noted, "People who get up in the morning and go to work peacefully risk being seriously injured, or worse, because of a war that doesn't concern them." This article was translated to English using an AI tool.
FashionUnited uses AI language tools to speed up translating (news) articles and proofread the translations to improve the end result. This saves our human journalists time they can spend doing research and writing original articles. Articles translated with the help of AI are checked and edited by a human desk editor prior to going online. If you have questions or comments about this process email us at info@fashionunited.com
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