All articles

If you've been following China's silk industry over the past few years, you may have noticed a clear trend: the raw material base is shifting westward, and so is processing capacity.

Ministry of Commerce 'East Silk, West Consolidation' strategy – industrial shift map

Since the "East Mulberry, West Transfer" policy began in 2006, sericulture has gradually moved from the eastern coastal provinces to the interior. After nearly two decades, central and western provinces like Guangxi and Sichuan now account for over 70% of China's mulberry acreage and cocoon output.

But this shift has created a gap: the east has markets, brands, and technology; the west has raw materials. The missing link has been processing and dyeing.

The "East Silk, West Consolidation" strategy is designed to close that gap.

What Is "East Silk, West Consolidation"?

In November 2025, seven ministries, including the Ministry of Commerce, jointly issued a notice on implementing the "East Silk, West Consolidation" policy. In February 2026, the Central No. 1 Document incorporated the cocoon and silk industry for the first time, and the Ministry of Commerce confirmed its commitment to advancing this strategy.

The official definition is clear: to coordinate the resource endowments and industrial bases of different regions, promote the orderly transfer of the industry, and build new international competitive advantages.

In plain terms: the east focuses on brand, design, and R&D; the central and western regions take on weaving, dyeing, and garment manufacturing – forming a complementary, east-west collaborative structure.

What Are the Targets?

By 2028, the national cocoon and silk industry is targeted to reach a total output value of RMB 300 billion.

Eastern regions are expected to cultivate around 10 leading enterprises with revenues exceeding RMB 10 billion, develop more than 20 well-known domestic and international brands, and raise the share of high-end silk exports to over 50%.

Central and western regions are to build several high-quality industry clusters, nurture at least 10 enterprises with revenues over RMB 500 million, and increase the share of high-quality cocoon, silk, and fabric output to over 75%.

This is not a paper goal. In 2025 alone, Sichuan's cocoon output reached 105,000 tonnes, and cocoon growers' income increased by RMB 82.5 million.

What Will Central and Western Regions Do?

The policy outlines nine key tasks. For the interior, three are most critical:

  • Extend the value chain. Central and western regions have historically focused on sericulture and reeling – low-value steps. The new direction is downstream: weaving, dyeing, and garment manufacturing. The goal is to move from selling raw materials to selling finished products.
  • Technology upgrades. Factory-based sericulture, digital weaving, and green dyeing are explicitly mentioned as priorities. The interior must not just be a "low-cost" destination – it must be a "high-quality" one.
  • Build supporting infrastructure. Dyeing capacity has long been a bottleneck in central and western China. Many Sichuan mills have had to send their woven fabrics to other provinces for dyeing – increasing cost and lead time. The new policy explicitly aims to address this.
Key Insight

By 2028, central and western China will account for over 75% of the nation's high-quality silk output. This is not just a capacity shift – it's a quality upgrade.

What Is Nanchong Doing?

Nanchong is one of the most active cities in implementing this strategy.

On 8 July 2026, Nanchong convened a symposium on the "East Silk, West Consolidation" strategy. The city's role was clearly defined: the core bearing area and key fulcrum for the implementation of the policy.

Nanchong's strength lies in its near-complete industry chain – from mulberry farming to silk weaving – which gives it a rare advantage. Under the policy framework, Nanchong is focusing on:

  • Building a demonstration node for the northeast Sichuan collaboration region
  • Moving from "Sichuan-made silk products" to "Sichuan silk brands"
  • Strengthening the "Silk Capital of China – Source of Silk" identity

In May 2026, Nanchong received joint support from five national ministries – a significant signal that the policy is backed by real investment and resources.

What Does This Mean for Buyers?

If you are a brand sourcing silk, several shifts are worth noting:

  • More suppliers in central and western China. As dyeing and weaving capacity builds inland, your supplier list will expand. New capacity often means more competitive pricing and more flexible lead times.
  • Quality standards are rising. The interior is not inheriting low-end capacity – it is building high-quality capacity. In Sichuan, over 80% of cocoons from several bases are rated 6A grade. This is not a cheap-labour story – it is a premium-origin story.
  • Shorter supply chains. In the past, eastern factories had to ship raw materials from the west, process them, then export. As processing moves inland, the geographic distance from raw material to finished product shrinks – potentially meaning faster response times.
  • A window of opportunity. The 2028 target means policy support – in land, energy, and taxes – will be most intense in the next two years. If you are considering a new supply chain setup, now is the time to observe and engage.

"East Silk, West Consolidation" is not a zero-sum game. It is a rebalancing of the industry. For those who understand the shift, opportunities are emerging.

Frequently Asked Questions

It is a Chinese government policy announced in late 2025 to promote the orderly transfer of the silk industry from the eastern coastal regions to central and western China. The goal is to leverage the strengths of each region – brand, design, and technology in the east with land, labour, and raw materials in the west – to create a more competitive, integrated national silk industry.
By 2028, the national cocoon and silk industry is targeted to reach a total output value of RMB 300 billion. For the eastern region, the goal is to cultivate around 10 leading enterprises with revenues exceeding RMB 10 billion. For central and western regions, the aim is to build several high-quality industry clusters and increase the share of high-quality cocoon, silk, and fabric output to over 75%.
You can expect to see more fabric suppliers emerging from central and western provinces like Sichuan, Guangxi, and Yunnan. As the region builds its weaving, dyeing, and finishing capacity, you may find competitive pricing and more flexible production schedules. Quality standards are also rising, with many western bases now producing 6A grade silk for international luxury brands.
Nanchong has been designated a "core bearing area and key fulcrum" for the strategy. The city has a nearly complete silk industry chain – from mulberry farming to weaving – and is working to upgrade its capacity, build brands, and serve as a demonstration node for the Sichuan-northeast region. In May 2026, Nanchong received joint support from five ministries, signalling significant policy backing.

I find. I check. I seal. You relax.