In 2023, the knitting industry is facing a complex and severe external environment, the new crown pneumonia infection scar effect, geopolitical conflict, the intensification of the big country game, etc. led to the contraction of overseas demand, lack of endogenous power, international order transfer, the quality of industry operations under pressure. However, the whole industry withstood the pressure, overcome difficulties, innovation and change, and did everything possible to resolve the unfavorable factors. The industry as a whole rebounded to the better, and revenue, profit and export all showed marginal improvement.

The overall recovery of the industry is good, and the proportion of knitted clothing continues to increase.

According to data from the National Bureau of Statistics, in 2023, the main business income of enterprises in the knitting industry fell by 4.17 year-on-year, and the rate of decline narrowed by 0.55 percentage points from the first three quarters of 2023. Among them, knitted fabric regulations on the business of enterprises fell 1.78 percent year-on-year; knitted clothing regulations on the business income of enterprises fell 5.53 percent year-on-year. The performance of knitted fabric weaving link is better than that of terminal knitted clothing.

In terms of knitted apparel production, although it has shrunk year-on-year, with the continuous innovation of consumption scenarios, consumption habits have shifted to leisure and sports, which has prompted great progress in the production process of knitted outerwear fabrics; shirts, suits, ladies jackets, sunscreen clothing, etc. The development and application of knitted apparel products has increased rapidly, and the proportion of knitted apparel continues to rise. In 2023, garment production in regulated enterprises fell 8.69 per cent year-on-year, of which knitted garment production fell 5.08 per cent year-on-year. At present, the proportion of knitted garment production in total garment production is 66.19, which is 4.06 percentage points higher than that in 2022.

Operational optimization, steady improvement in earnings quality

According to the National Bureau of Statistics, total corporate profits in the knitting industry fell 4.22 percent year-on-year in 2023, 2.38 percentage points lower than in the first three quarters of 2023 and 6.59 percentage points lower than in 2022. Among them, the total profit of knitted fabrics increased by 1.35 year-on-year, and the growth rate turned from negative to positive; the total profit of knitted garments decreased by 7.14 year-on-year.

In 2023, the profit margin of regulated enterprises in the knitting industry was 4.32, an increase of 0.45 percentage points from the first three quarters of 2023, and maintained the 2022 level; the loss area continued to decline, and the annual loss level was 19.27, compared with the first three quarters of 2023. A decrease of 5.37 percentage points, a decrease of 0.35 percentage points from 2022; the total asset turnover rate and the finished product turnover rate slowed slightly year-on-year, but basically remained within a reasonable range.