Esquel group is a leading Hong Kong-based textile and apparel manufacturer with operations throughout the world. Esquel produces over 100 million cotton shirts every year for well-acclaimed brands and retailers. The lab focuses on smart manufacturing and intelligent factory management. We apply AI research achievements from ShanghaiTech to advance the smart manufacturing at Esquel. Esquel provides new challenges on industry 4.0 and sustainable development for ShanghaiTech researchers. Smart manufacturing requires machines to communicate and collaborate with each other to make production processes more efficient, autonoumous and less human-intervention, which is enabled by all aspects of AI, especially vision, learning and game theory.