Chinese apparel and fashion brands are outpacing foreign competitors, according to a recent McKinsey & Company analysis, as domestic customers divert their purchasing away from foreign companies.
Chinese clothing companies have increased their market share by over ten percentage points during the last ten years. According to estimates, local brands today account for 60 per cent of the market, up from 53 per cent in 2013.
While Chinese consumers continue to favour international brands when it comes to beauty products (skincare, cosmetics), they have changed their brand preferences in very noticeable ways for clothing (shirts, slacks, and dresses) and footwear (shoes).
Consumers’ preference for local brands over international ones climbed 1.5 times between 2016 and 2022, the report claims.
Chinese consumers usually favour local products because they believe these companies are more knowledgeable of their likes and preferences. Local enterprises frequently alter their products for the domestic market, providing Chinese customers with a more distinctive shopping experience.
Local businesses can frequently offer affordable prices while retaining high-quality standards, giving them a competitive advantage over international names.
In order to be more sensitive to shifting customer tastes, local ‘champion’ brands are developing a competitive edge in critical areas including operational models and supply chains on the supply side of the spectrum.
Local brands are skilled users of China’s many social media and e-commerce platforms, enlisting local key opinion leaders and consumers to establish direct connections with customers.
The global market for clothing and fashion is estimated to be worth US $ 1.7 trillion by GITNUX research and Statista, with China accounting for about a fifth (US $ 318 billion) of the total.
Bharat Tex Special Report 2026 
