China
The transformation of China's 'hair towns'
By Yuan Yuan  ·  2025-05-06  ·   Source: NO.19 MAY 8, 2025
A designer perfects wig styles at a wig factory in Juancheng County, Shandong Province, on March 14 (XINHUA)
Yu Gaohua, in his early 40s, frequently travels across China to collect human hair. Each trip lasts about half a month, after which he returns to his hometown to sell what he has collected. His hometown, Juancheng County in Shandong's Heze City, is nationally famous for its wig industry, hosting over 20 open-air hair trading fairs each month.

Many of Juancheng's locals are engaged in the hair products industry. Yu's family has been in the business for three generations, starting with his grandfather, who bought and sold horsehair, feathers, animal hides and human hair as a traveling merchant. His father spent a lifetime trading human hair, and Yu himself has been in the industry for over a decade. Now, even his 20-year-old son has joined the family trade.

In Juancheng, "many elderly vendors at the market are in their 60s—they're so experienced that just by touching the hair, they can judge its quality," Yu told Qilu Evening News, a local newspaper in Shandong. Today, the wig industry has grown into a pillar of the local economy, generating an annual output worth 5 billion yuan ($688 million).

Trade on hair

The wig industry in Juancheng originated in the 1970s. At that time, groups of farmers traveled by bicycle from village to village, trading grain or cash for women's hair. A human hair market was formed there, and gradually developed into a major distribution hub for human hair in China. By the 1990s, Juancheng's hair businesses had expanded their reach to countries including India and Myanmar, engaging nearly 100,000 people in the trade.

"In the early stages of the industry, Juancheng was only involved in raw material collection and low-end processing," Wang Haiqing, General Manager of Heze Oscar Hair Products Co. Ltd., told Heze Daily. "Back then, the hair wefts and wigs produced in Juancheng had slim profit margins, and businesses relied mainly on orders from state-owned foreign trade companies to survive."

In the early 2000s, several hair product companies in Heze began introducing deep-processing technologies, marking Juancheng's shift from "selling raw materials" to "selling finished products."

Li Ting, Director of Juancheng County's commerce bureau, said the county established its first and second hair product industrial parks in 2012, complete with supporting infrastructure such as water and electricity supply, logistics and pollution control. "These parks attracted over 70 companies, effectively addressing the issues of small-scale, scattered and disorganized production, and boosting annual output value to over 2 billion yuan ($275 million)," Li said.

While expanding production capacity, these companies have also actively explored overseas markets. "So far, 20 companies have registered trademarks abroad, and 12 have set up overseas warehouses," Li said.

In 2009, Juancheng Taida Hair Products Co. Ltd. began cross-border e-commerce operations through Alibaba's international platform. General Manager Wang Wei explained that in the past, their business relied heavily on contracted production for foreign brands, which significantly squeezed profits. Later, they launched their own online store to sell their products.

"Africa is currently the world's second-largest consumer market for hair products, where wigs are a necessity rather than a luxury," Wang Wei said. "African women may forgo buying clothes or shoes, but they will purchase wigs."

At the same time, the domestic market for wigs is also showing growing potential. "Young people now see wigs as fashion accessories rather than just tools to cover baldness," he said. "More and more beauty-conscious consumers are opting for wigs instead of frequent dyeing or perming."

Wang Wei remains optimistic about the domestic wig market's prospects, saying, "As a country with a massive population, China has enormous demand for hair products, and its market potential should not be underestimated." He believes that in the future, China may transition from a major producer and exporter of hair products to a major consumer.

Staff craft hairpieces at a wig factory in Juancheng on March 13(XINHUA)

The wig revolution

Xuchang in Henan Province is another nationally renowned hub for wig production. The origins of its hair trade can be traced back to theatrical costumes. Centuries ago, locals traveled from village to village collecting human hair to craft beards and wigs for traditional opera characters.

In the early 20th century, a local villager partnered with a foreign merchant to establish a hair trading business, processing collected hair into wigs for export. The products quickly became a hot commodity overseas, inspiring more locals to enter the industry.

Even today, traces of century-old craftsmanship remain. Zheng Kaimin, a 45-year-old local, grew up watching his elders collect and process hair, learning as a teenager how to straighten and sort strands. He secures bundles of hair onto a wooden stretching frame, deftly untangling them into smooth, orderly locks.

The hair is categorized by length into grades. "Grading ensures easier trading and further processing," Zheng said.

In 1989, Zheng Youquan, a young villager from Xiaogong Village in Xuchang, pooled 300,000 yuan ($41,252) to start a hair-processing factory with 30 fellow villagers. A year later, the company began hiring skilled technicians, overcoming production challenges and mastering techniques from grading to dyeing and styling. By 2003, the business—now Henan Rebecca Hair Products Co. Ltd.—went public on the Shanghai Stock Exchange, becoming China's first listed wig manufacturer.

"Our product line has expanded from basic wigs to women's fashion wigs, synthetic fibers, hair wefts and mannequin heads," Si Yuan, head of Rebecca's Amazon cross-border e-commerce division, told Xinhua News Agency. "We've also extended our supply chain by developing synthetic fiber production." Today, the company operates globally, with factories in Nigeria, Ghana and Cambodia, selling over 1,000 wig products in over 40 countries.

According to Henan Provincial Government data, as of October 2024, Xuchang's wig industry employed over 300,000 people, produced more than 3,000 product varieties, and generated over 20 billion yuan ($2.8 billion) in annual export revenue.

Today, Xuchang's wig outlets have become a unique travel destination in their own right. Zhang Xiaozhi, a Beijing resident, made a special trip to Xuchang last September just to shop for wigs. The high-speed train ride from Beijing took her only about three hours. Right across from the train station, she found an entire street dedicated to wig stores—a shopper's paradise. She documented her experience in a short video shared on Xiaohongshu, or RedNote, a popular Chinese social media app.

"Buying wigs online can be hit or miss—what you see isn't always what you get. Here, you can try them on in person," Zhang said. "There's a huge variety of styles, and the sellers can customize the wigs to suit your face shape and preferences." She ended up purchasing several clip-in hairpieces. "They're lightweight, breathable, and perfect for everyday wear," she added.

"Wigs in Xuchang have evolved from a means of survival into a globally successful industry," a representative from the Xuchang Hair Products Association told China News Service. "Moving forward, we'll focus on technological innovation to create even more realistic, comfortable and durable products."

Copyedited by G.P. Wilson

Comments to yuanyuan@cicgamericas.com

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