Recently, leading down jacket OEM manufacturers Quang Viet (廣粵) and KWONG LUNG (光隆) have both released their latest earnings announcements. Judging from the revenue performance of the two manufacturers, downstream order demand has continued to maintain an overall growth momentum.
1. Leading Down Jacket Manufacturers Show “Off-Season Strength”
Quang Viet (廣粵) announced that its consolidated revenue for November 2025 reached approximately US $431 million (NT$13.6 billion). This represents a 31.74% year-on-year increase.
Cumulative consolidated revenue for the first 11 months of the year totaled about US $5.76 billion (NT$181.7 billion), up 18.46% YoY. Both the single-month and cumulative figures marked the second-highest levels for the same period in the company's history.
Chairman Wu Chao-Pi stated that momentum in the peak season during the fourth quarter remains strong, and both revenue and operating margin are expected to outperform last year. Driven by an “off-season that is not weak,” the company's full-year profit structure is expected to become more balanced.
In addition, the first batch of orders from new client Alo Yoga was officially shipped from the Jordan factory in November, with shipment volumes expected to expand significantly next year.
Looking ahead to next year, existing major brand customers are expected to maintain steady ordering momentum, allowing the overall growth trend to continue.
Alo Yoga is projected to enter a volume ramp-up phase in 2026, which will simultaneously drive growth in both down and non-down product lines.
As the company continues to push efficiency reforms, revenue and profit momentum in 2026 are expected to persist, with full-year operating margin challenging the post-pandemic peak seen in 2022.
The company also expects the proportion of shipments from Jordan to increase from 17% in 2025 to over 20% in 2026. Jordan capacity expanded by 50% this year, with an additional 30% expansion planned for next year.
Another major OEM down jacket manufacturer, KWONG LUNG (光隆), reported November consolidated revenue of about US $298 million (NT$9.42 billion), up 51.8% month-on-month and 65.52% year-on-year, marking a record high for the same period.
Cumulative revenue from January to November reached approximately US $2.48 billion (NT$78.2 billion), up 6.33% YoY, with positive growth momentum continuing to expand.
KWONG LUNG noted that in its core businesses, both down products and home textiles showed a clear recovery in momentum. Down revenue reached about US $26 million (NT$8224 million), up 1% YoY, while home textile revenue reached around US $66 million (NT$208 million), up 35% YoY, reflecting the seasonal recovery in autumn-winter demand.
Garment revenue amounted to about US $91 million (NT$288 million), down 12.6% YoY, mainly due to adjustments in delivery schedules for certain orders.
The company stated that the garment segment will be the core growth engine in 2026. Key customers are expected to maintain growth next year, while orders from new customers continue to increase throughout the year. KWONG LUNG also expects to add 2–3 new brand customers in 2026.
In addition, partner factories in Bangladesh are continuing to expand capacity and have already begun taking orders. Small-batch shipments are expected to start in the first half of 2026, officially marking KWONG LUNG’s entry into knitted garment categories and expanding its overall total addressable market (TAM) for apparel.
2. China Shifts Toward a “Global Down Supply Chain Hub”
From the fourth-quarter 2025 performance of leading OEMs Quang Viet and KWONG LUNG, a clear signal has emerged: inventory replenishment and new product launch cycles among global athleisure and functional apparel brands are increasingly being driven by multiple smaller order waves, rather than the previous structure of large one-off orders with sharply defined peak and off-seasons.
Nevertheless, this remains a positive signal for the overall industry chain, particularly for the recovery of export orders. Both companies also mentioned plans to further expand their brand customer bases next year, with expectations for order ramp-ups and new client onboarding, indicating active downstream efforts in market expansion and business diversification.
For China's down industry, this trend is especially meaningful. China continues to control the most critical upstream resources and midstream capabilities globally—including down raw material supply, grading and washing, testing standards, and key auxiliary materials. As overseas OEM factories become busier, China's upstream raw materials, equipment, and technical exports tend to benefit simultaneously.
However, China's position in down exports is shifting—from a single manufacturing base to a central hub of the global down supply chain. Many export-oriented Chinese down enterprises no longer rely solely on the model of “finished garments shipped directly from Chinese factories.”
Instead, they position China as the center for raw materials, technology, and quality control, while participating in more complex global delivery systems through overseas processing or cooperative production nodes.
At the same time, the data clearly reflect a real trend: finished garment manufacturing for down jackets is continuing to move offshore.
Quang Viet's focus on expanding capacity in Jordan and KWONG LUNG's emphasis on Bangladesh partner factories taking orders both reflect international brands' comprehensive considerations involving geopolitics, tariff structures, and cost control.
For China's down industry, this also means that low value-added sewing and assembly can no longer serve as a sustainable long-term competitive advantage, and the growth space for development models based purely on OEM scale is gradually narrowing.
3. The “Irreplaceability” of Chinese Down
Today, international brands increasingly emphasize compliance and tariff optimization across the combination of raw material origin, processing location, and garment export destination when placing orders. At the same time, they are demanding higher standards for down cleanliness, loft and batch consistency.
These requirements align precisely with the areas where China's down industry has made sustained investments and gradually built advantages over the past decade.
While OEM manufacturing can be geographically dispersed, the concentration of high-standard down raw materials and testing systems is actually increasing—further strengthening China’s irreplaceability in the upstream and midstream segments of the export chain.
In other words, when Quang Viet and KWONG LUNG shift garment sewing and shipment nodes to Jordan or Southeast Asia, they are essentially relocating the last mile of manufacturing and trade, rather than moving the industrial foundation out of China.
In the short term, the offshore relocation of some garment processing may dilute “direct export volumes” in statistical terms. But over the medium to long term, as long as down raw materials, standards, and technologies remain firmly anchored in China, the Chinese down industry's bargaining power and influence within the global export system are strengthening rather than weakening.
