In 2012, the growth rate of textile industry fell, the industrial added value of textile enterprises above designated size increased by 10.5% year-on-year, 0.2% lower than that of the previous year; the total investment in fixed assets of projects above RMB 5 million in the industry actually completed reached RMB 779.3 billion, 14.6% higher than that of the previous year, 21.7% lower than that of the previous year, the number of new projects in the industry decreased by 5.5% year-on-year; the main business income of textile industry was 55747 Billion yuan, up 10.7% year-on-year, down 15.9% year-on-year; total profit of 294.3 billion yuan, up 7.8% year-on-year, down 18.0% year-on-year.

Since 2012, the international competitiveness of China's textile products has declined significantly. Especially for the European Japanese markets, which are the two major markets for China's textile products export. Affected by the European debt crisis the deterioration of China Japan relations, the share of the European Union Japan market fell by 11.5% 5.7% respectively in 2011. January to October 2013, China's textile exports to the European Union continued to decline, while exports to Japan picked up, but the market share fell further.

The growth rate of the industry is declining even shrinking. The enterprises in the industry urgently need to seek transformation, the industry will face reshuffle in the future. The transformation of enterprises faces several problems:

First of all: improve the concept of environmental protection. Energy saving emission reduction is the future development trend. The textile industry has been criticized for its high pollution non environmental protection, which is conducive to the development of the industry. Environmental pollution has become the bottleneck of the development of the industry. Secondly, improve the brand image, brand awareness market share. Third, expand sales channels. Since 2012, although the industry has been in a downturn, online network sales are still hot, which has greatly played its power. Fourth, strengthen cost control, such as research development utilization of new raw materials, re-establish market competitive advantage. Fifth, develop diversified differentiated products to meet market demand get rid of the serious homogenization of products in the industry.