The rise of China's textile and clothing industry also relies on cost advantages, but currently, with the gradual loss of cost advantages, the transformation of the textile and clothing industry is inevitable. The key lies in discovering one's comparative advantages and finding breakthroughs that can effectively increase added value, rather than relying solely on cost reduction to delay industry change.

At present, the transfer of the international textile and clothing industry has gradually evolved from a gradient transfer of industrial structure to a gradient transfer of value-added links. Although there is no longer a cost advantage compared to latecomer countries, China's textile and clothing industry still has room for development due to its scale, industrial cluster, infrastructure, capital, and technological advantages, as well as the shift in supply chain requirements from brand companies.

Firstly, China is the world's largest producer and consumer of cotton. The annual cotton production is about 6.8 million tons, and domestic cotton production can basically meet the cotton demand of the domestic market. However, the textile and clothing industries in countries such as Japan, Indonesia, Vietnam, and Bangladesh rely heavily on imported cotton, yarn, and fabrics. In addition, China's chemical fiber production accounts for 80% of the world's total, with the world's largest production capacity. Moreover, China's production of yarn, fabrics, clothing, and shoes and hats ranks first in the world, accounting for more than 30% of the global market share.

Secondly, industrial clusters. China ranks first in all aspects of the textile and clothing industry chain, with a complete industrial chain, including industrial clusters involving cotton spinning, chemical fiber, knitting, accessories, and other links. This can help Chinese brand merchants simplify supply chain management difficulties, shorten reaction cycles, and strengthen the overall competitiveness of China's textile and clothing industry.

Thirdly, infrastructure. China's infrastructure such as hydropower, transportation and logistics is well-established.

Fourthly, the product delivery time and quality are stable. Due to the comprehensive influence of the above factors, China's textile and clothing industry has achieved good reputation in terms of product delivery time and quality. Made in China has gradually shed its image as a cheap and low-end product, and has instead formed a regional brand advantage compared to its competitors in developing countries.

Fifth, the domestic market is large. The average annual compound growth rate of China's local clothing market is around 10%, far exceeding the growth rate of around 0-3% in Europe, America and Japan. In the domestic demand market, China's textile and clothing industry does not need to pay import tariffs, resulting in a smaller cost disadvantage and faster order response speed.

Overall, the global textile and clothing industry is undergoing its fifth international transfer, and China's comparative advantages in labor costs, investment policies, exchange rate environment, and trade barriers are declining. Some textile and clothing industries are transferring to Southeast Asian countries and the Caribbean region. However, due to the overall large scale, complete supporting facilities, broad domestic market prospects, and uneven regional development of China's textile and clothing industry, the transfer of the textile and clothing industry will not be completed within three to five years. It is necessary to continue to pay attention to leveraging industrial advantages and developing more high value-added fields.

At the same time, the direction of the transfer of the textile and clothing industry determines the future. Regions with abundant textile related raw materials will receive more market attention and attract preferential policies. As an important textile raw material supply area, Xinjiang should be given sufficient attention.