Rising labor costs and cutthroat competition are forcing the garment industry in Dongguan to invest in robotic technology to increase the bottom line.

High-tech machines from Germany, Italy, the United States and Japan have been installed, along with Chinese lines, as clothing companies struggle to recruit unskilled staff in the battle against cheaper rivals from Vietnam, Cambodia and Bangladesh.

Located in South China's Guangdong province, Dongguan is known as the capital of China's garment industry. Last year, the city's 520 manufacturers exported $7.5 billion worth of apparel products and fashion accessories, according to Huangpu Customs. This was a rise of 3.8 percent compared to 2013, but a far cry from 2008 when the city shipped goods worth $113 billion. In a bid to retain global market share, investment has increased and even skilled staff have been trimmed.