Datang secures place as world's top socks hub

Strong supply network and production capacity enable this Zhejiang town to churn out a third of the global market share.

Thriving on a well-established chain of peripheral industries, solid manufacturing capability, abundance of local resources and strategic location, Datang has developed into China's primary sourcing center for socks and hosiery.

This town in the northern city of Zhuji in Zhejiang province accounts for about 70 percent of the country's overall socks output and more than a third of the global market share. The hub's socks industry started more than 40 years ago and has grown into China's largest, with an annual production of about 25 billion pairs that generate more than $11 billion in revenue.

Datangboasts horizontally and vertically integrated processes, and a complete supply chain, which includes production, dyeing, finishing, shaping, packaging, marketing, logistics and aftersales services. An estimated 400 material providers are situated in the town. The hub is also equipped with advanced machinery, giving manufacturers there the ability to fabricate all types of material and create all kinds of design.

The town's strong supplier pool is another advantage. It is estimated that Datang hosts 13,000 enterprises involved in manufacturing and related services, with a labor force numbering up to 200,000. The hub is also home to more than 60 businesses specializing in scientific research and product development situated in its eight major centers, 30 factory management and five socks research institutes, and two light textile testing centers.

Datang has penetrated the online market as well with 3,000 e-commerce entities and three e-commerce parks, which rake in a combined $600 million every year.

An $111.6 million investment is also in place for the establishment of advanced facilities for high-end functional materials production for online and offline sales. This includes intelligent facilities for storage and management of raw materials expected to have an annual output value of $149 million.

The hub likewise benefits from a strategic location. It is just an hour away from the Hangzhou Xiaoshan International Airport, and a two-hour drive from Shanghai and Ningbo ports, which are among the busiest in China. Major roads and railways also traverse through Datang, including the Shanghai-Kunming and Hangchang high-speed railways, and the Hangjinyu, Zhuyong and Shaozhu expressways.

Thanks to these advantages, Datang has become a target sourcing center for several well-known socks brands and has earned national recognition. It was included in the list of "50 Best of Jiangsu, Zhejiang and Shanghai Famous Brand Products" in 2010 and in June 2015 attained a high score in the "national famous brand demonstration area of the hosiery industry", passing on-site assessment of the AQSIQ.

A 2017 evaluation of the AQSIQ also revealed the Datang Socks regional brand having a value of more than $5 billion and a potential value of $9.7 billion. At present, Datang owns three Chinese famous brands, two Chinese inspection-free products and 17 Chinese famous trademarks.

Among the awards the hub has received are "National Top 100 Industrial Clusters", “China Knitting Raw Material Market", "Huadong Fine Socks Garden", "China Socks Famous Town", "National Export Industrial Product Quality and Safety Demonstration Zone", "Zhejiang Modern Industrial Cluster Demonstration Zone", "China Taobao Town" and "Zhejiang Specialized Town".