Zhejiang GDP Grows as Export Orders Decline

Private enterprises in Zhejiang Province, a major industrial base in eastern China, have seen a large number of family-run export businesses cease operations over the past few years due to shifting supply chains and shrinking orders. Huang, an insider in Zhejiang’s textile industry, stated that profits have dwindled to below 3 percent, adding that most garment factories are either operating at a loss or have gone under.

@zerohedge reported these developments, highlighting pressure on profit margins for industrial enterprises in the province since 2024.

Workers loaded goods for export into a container at a logistics hub in Yiwu, Zhejiang Province, on April 29, 2025. A worker was shown on the floor of a steel machinery factory in Hangzhou, Zhejiang Province, on June 6, 2025. Workers wore face masks as they polished eyeglass frames at the Azure Eyeglasses Co.

In Wenzhou, China, on Feb. 28, 2020. 83 billion, in the first quarter of 2026.

1 percent year-on-year increase, marking positive growth for the fourth consecutive quarter. Zhejiang Province ranked fourth nationwide in gross domestic product in 2025. 1 percent.

He added that public export data reported by various localities is rife with fraud, including double-reporting or filing false tax returns to swindle government subsidies, while those in higher positions turn a blind eye. Liu Mao further stated: 'Foreign-invested enterprises in China face an operating environment constrained by hostility from authorities.

Meanwhile, private domestic enterprises are subjected to tax audits and heavy fines.