南油服装城的所在地原为南油工业区的一部分，该工业区于1980年代兴建，早期以电子、机械、石油后勤服务等工业为主。
1990年代末至2000年代初，传统制造业逐渐外迁，南油工业区内出现空置厂房。与此同时，临近香港的区位优势使得一些服装从业者开始在此聚集，利用低廉的租金和宽敞的厂房空间进行服装批发业务。市场最初以模仿国际名牌设计为主。逐渐产生了一些具有原创设计能力的自主品牌。
2000年代中期至2010年代，原有的厂房逐步演变为专门的服装批发大楼，形成了一个庞大且密集的服装商圈。随着电子商务和直播带货的兴起，该区域也成为众多电商平台、买手和网红主播的重要货源地。
The site of Nanyou Garment City was originally part of the Nanyou Industrial Zone, built in the 1980s, initially focusing on industries such as electronics, machinery, and petroleum logistics services.
From the late 1990s to the early 2000s, traditional manufacturing gradually relocated, leaving vacant factory buildings in the Nanyou Industrial Zone. Simultaneously, its proximity to Hong Kong attracted garment industry workers to the area, utilizing low rents and spacious factory spaces for wholesale garment business. Initially, the market primarily imitated international brand designs. Gradually, some independent brands with original design capabilities emerged.
From the mid-2000s to the 2010s, the original factory buildings were gradually transformed into dedicated garment wholesale buildings, forming a large and dense garment trading district. With the rise of e-commerce and live-streaming sales, the area has also become a major source of goods for numerous e-commerce platforms, buyers, and online influencers.