Yunlin-based CP Cotton, a third-generation towel maker located in Huwei Township, has successfully transformed itself from a traditional manufacturer into a smart, sustainable brand.
As first reported by Taiwan News, the company adopted an AI-powered design platform to create eco-friendly “green towels” tailored to the rising demand for personalized and sustainable products. This digital shift comes as domestic producers continue to face pricing pressure from low-cost Chinese imports, prompting Taiwan’s Ministry of Finance to extend a 29.72% anti-dumping tariff on Chinese towels through 2028.
Source: cp-cotton.com.tw.
CP Cotton CEO Wu Yu-cheng explained that AI has allowed the company to improve design flexibility, enhance efficiency, and reduce its environmental footprint. In addition to using organic cotton and plant-based dyes, CP Cotton became the first in its industry to combine photocatalytic and moisture-wicking yarns in jacquard towels and scarves. These technological upgrades have not only advanced the company’s product offerings but also helped foster stronger employee engagement and internal culture.
With backing from the Taiwan Towel Industry Association, the Taiwan Textile Research Institute, and local governments, CP Cotton has also benefited from subsidies and prototype development support. In 2016, the company expanded its consumer-facing efforts by launching a towel-themed experience center and moving into direct-to-consumer sales and retail partnerships with outlets like FamilyMart.
CP Cotton’s journey demonstrates how legacy industries can leverage AI and green innovation to stay competitive, revitalize their brand, and inspire broader transformation across the manufacturing sector.
