South China city moves up industry value chain with smart manufacturing

Lei Yangyong started his career as a worker on a processing line at a local underwear factory when he first went to Shantou, a textile and clothing-focused city in Guangdong province, in 1996.

"There were many small factories that processed textile-related products such as underwear and sweaters," said Lei, during a recent ceremony to celebrate the construction of an international textile and clothing center in the city.

After years of working for the factory, Lei, 39, started his own business in 2008. He set up a small underwear workshop with his wife in Shantou, which now produces nearly 45 percent of the country's underwear, along with sleepwear and other undergarments.

Thanks to increased demand for underwear at both home and abroad in the 2010s, Lei's workshop steadily grew into a large factory.

Difficulties also arose, particularly in terms of land use for the construction of a new plant and financing. "The workshop and factory are rented. I have been dreaming of purchasing self-use land for business expansion," he said.

"With intensified market competition and continuous rises in production costs, it is very important for us to have our own building, which will help lay a foundation for future development," he said.

Lei's dream will soon become a reality after he signed a purchase agreement with developers of the international textile and clothing center located in Gurao township, Shantou.

"Moving to the center will surely help promote our business in the near future as nearly 10 different types of high-standard factory buildings, along with facilities for technology research and development, product exhibition, logistics and distribution, will be located there," said Lei.

Construction of the first phase of the international textile base began in early July, aiming to help upgrade and expand the local textile and garment industry, according to the local government.

The project, with a planned area of some 333 hectares and an investment of 30.5 billion yuan ($4.3 billion), will include a smart textile manufacturing park and a global procurement center, and will be built into a modern industrial and chain hub integrating technological research and development, manufacturing, exhibition and sales, as well as smart logistics.

The textile and clothing industry has become one of the distinctive and advantageous pillar industries in Shantou, with the most complete industrial chain and an output value of enterprises above designated size (main business revenue above 20 million yuan) exceeding 100 billion yuan, said local industry authorities.