06 November 2023, Mumbai
Key Findings
- Global apparel imports continued to decline in August and September 2023, with the US, EU, UK, and Japan all reporting lower import figures.
- Online apparel sales growth was modest, with the US seeing a 1% increase in Q2 2023 year-on-year and the UK seeing a 10% decline in August 2023 year-on-year.
- China lost market share in the UK and Japan, while Bangladesh and Vietnam gained market share.
- Monthly apparel store sales have slightly increased in the UK and the US in recent months, both online and offline.
Country-by-Country Breakdown
US
- Apparel imports fell by 25% in August 2023 year-on-year, reaching $7.8 billion.
- Online apparel sales grew by 1% in Q2 2023 year-on-year.
- Monthly apparel store sales reached $18.2 billion in September 2023, a 10% increase from September 2022.
EU
- Apparel imports fell by 23% in August 2023 year-on-year, reaching $8.2 billion.
- Year-to-date apparel imports were 10% lower than in 2022.
UK
- Apparel imports fell by 14% year-to-date, with August 2023 imports totaling $1.8 billion, a 10% decrease from the previous year.
- Online apparel sales fell by 10% in August 2023 year-on-year.
- China lost 6% of its market share in the UK, while Bangladesh gained 2% since 2021.
Japan
- Apparel imports shrank by 14% in August 2023 year-on-year, amounting to $2.4 billion.
- Year-to-date apparel imports were 2% lower than in 2022.
- China’s share in Japan dropped by 7%, while Vietnam’s share rose by 2% since 2021.
OUTLOOK
The global apparel market recovery is still underway, but the pace of recovery has slowed in recent months. This is likely due to several factors, including the ongoing war in Ukraine, rising inflation, and supply chain disruptions.
However, there are some positive signs, such as the recent increase in monthly apparel store sales in the UK and the US.
It is too early to say when the global apparel market will fully recover. However, the market is facing several challenges. Apparel brands and retailers must adapt to the changing market landscape to remain successful.
5 key insights:
- Global apparel imports decline: Continued decline in August and September 2023, with all major markets reporting lower figures.
- Online apparel sales growth modest: 1% increase in the US in Q2 2023 year-on-year, but 10% decline in the UK in August 2023 year-on-year.
- China loses market share: 6% loss in the UK and 7% loss in Japan since 2021, while Bangladesh and Vietnam gain market share.
- Monthly apparel store sales slightly increase: In the UK and the US in recent months, both online and offline.
- Global apparel market recovery slows: Due to factors such as the war in Ukraine, rising inflation, and supply chain disruptions.
CREDITS: WAZIR OCTOBER REPORT
