How Chinese textile factories are reinventing themselves in face of tariffs

 

Lessons for Zimbabwe’s Industrial Future

  • As Zimbabwe rebuilds its manufacturing sector, key lessons from China’s textile hubs include:
  • Diversify markets: Don’t rely on any one country or region.
  • Invest in automation and innovation: Scale requires more than labor.
  • Go local to go global: Build efficient, cluster-based industrial zones.
  • Skill and re-skill: Exportable efficiency depends on well-trained teams.
  • Build partnerships: Encourage FDI from textile giants diversifying beyond Asia.

 

CGTN correspondent Lincoln Humphries embedded himself in one of China’s textile hubs to understand how manufacturers are surviving

 

ZimNow International Desk

In the dusty alleyways of Shiling Town in southern China, more than 13,000 leather and bag factories churn out 2 million units a day—despite facing punishing tariffs from the United States. The story is no longer just about exports. It’s about reinvention, grit, and learning to play a new game. And for countries like Zimbabwe looking to expand their manufacturing base, there’s a lot to take in.

In this special dispatch from CGTN’s Chinese Factories Know How series, correspondent Lincoln Humphries embedded himself in one of China’s textile hubs to understand how manufacturers are surviving—and thriving—amid global trade tensions. What he found was a surprising contradiction: an industry under pressure, yet still hungry for workers.

Watch the Full CGTN Documentary: Trade uncertainty fuels innovation, diversification, and flexibility in China's textile hub—https://amsp.link/details/1942214830383566848

READ related article:

https://zimbabwenow.co.zw/articles/15442/how-wenzhous-private-firms-are-manoeuvring-us-tariffs---lessons-for-zimbabwean-businesses-video

“We’re hiring sewing machine operators,” says a recruiter from a Guangzhou-based factory. “Many factories shut down due to tariffs, but demand is still here. We’re just shifting markets.”

Rebuilding from the warehouse floor up

Guangzhou Kobe Leather, a company that once exported 100% of its goods to the US and Europe, found itself in crisis when Trump-era tariffs soared past 100%.

“Our exports came to a halt,” said She Chunhui, vice president of Kobe Leather. “Goods piled up in the warehouse. Customers couldn’t afford the new costs, and neither could we.”

Faced with collapse, Kobe Leather did what many others across Guangdong province did: they pivoted.

Today, their main clients are in Thailand, Malaysia, Singapore, and the Middle East. Domestic orders have surged. And they’re not alone—industry giant Esquel Group, once 80% reliant on US orders, has flipped its model to prioritize the Chinese market and invest in automation.

Innovation, not imitation, is the path forward

Even as exports fall, factories like Esquel are doubling down on R&D, turning their sewing machines into tech assets. Their automated systems are now 2.6 times more efficient than human workers—products of a new vision that blends productivity with intellectual property.

“We’ve learned not to rely on one market,” said Esquel’s Wayne Cai. “East Asia, Southeast Asia, even Africa—that’s where the future lies.”

This resonates in Zimbabwe, where heavy dependence on South Africa and the EU for exports leaves local manufacturers exposed to global shocks. Diversification shouldn’t just be a buzzword but a mainstream survival tactic.

Zimbabwe’s missed opportunity—or its next chapter?

Zimbabwe’s textile and leather industry has struggled since the early 2000s, with giants like David Whitehead Textiles collapsing under debt, mismanagement, and outdated machinery. But with over 60% of the population under 25 and a renewed push for value-added production under NDS1, could the Chinese model hold answers?

“We can’t just export raw hides or cotton anymore,” says Tinashe Mupazviriyo, a Harare-based distributor who mostly sells solar products from China. “If we industrialize at the ward or provincial level and learn from how Shiling Town scaled, we could bring real jobs back—not just slogans.”

Indeed, efforts are already underway. Zimbabwe’s Leather Strategy 2030 seeks to process at least 70% of local hides, create leather clusters, and incentivize export-oriented SMEs. But capacity remains low, and financing mechanisms remain inadequate.

Voices from the factory floor show what globalization really looks like

Perhaps the most poignant takeaway from Humphries’ China immersion came from working shoulder-to-shoulder with factory employees for several days.

“Every little product I now buy—I see the hands behind it. The effort. The patience,” he reflected. “And it made me wonder: do American workers really want these jobs back?”

One young female worker said simply, “Life is alright. We’re planning to open factories in Cambodia and Indonesia now. There’s pressure, but we’re moving forward.”

Pressure, but movement. That’s the common thread across the Chinese response. And maybe the secret ingredient Zimbabwe must now bottle.

 

The bigger picture from China to Africa

Even as some factories closed down, agile Chinese manufacturers are hiring

 

As China’s factories expand their footprints into Indonesia, Bangladesh, and beyond, Africa is increasingly seen as the next frontier.

“We send our technicians abroad to train workers,” said Canton Unicorn Group’s GM, Zhang Xuanhao. “It’ll take years before overseas teams match Chinese efficiency, but we have no choice. Diversification is the only path.”

Zimbabwean sectors looking to attract such partnerships would do well to upgrade not just physical infrastructure but also regulatory agility and labor competitiveness.

China’s Esquel, for instance, didn’t wait for favorable politics—it invested in design innovation, sustainable supply chains, and new product lines. Now, their domestic fashion sales are up twenty-fold since 2020.

“Don’t rely on one market,” advised Esquel’s Wayne Cai. “The world is big enough for the US, China, and Africa to grow together—if we stay open and smart.”

 

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