21 June 2023, Mumbai
The OTEXA has released data on United States apparel imports for January-April 2023, revealing a year-on-year decline.
USA's overall apparel imports from the world decreased by 22.15%, from US$ 32.38 billion in January-April 2022 to US$ 25.21 billion in January-April 2023. In terms of volume, imports slowed down by 31.09%, equivalent to 7.59 billion Square Meter Equivalent (SME).
Overall Imports Decrease
The top sourcing countries for apparel imports, including China, Vietnam, Bangladesh, Indonesia, and India, experienced significant declines in both value and volume, although Bangladesh had a relatively smaller decline compared to others.
During this period, USA's imports from Bangladesh dropped by 17.88% in dollar value and 30.49% in quantity, while overall imports from the world saw a decline of 22.15% in dollar value and 31.09% in quantity (SME).
Top Sourcing Countries Witness Substantial Declines
USA's imports from China, the largest source, declined by 32.45% in dollar terms and 34.74% in quantity, while imports from Vietnam, the second largest source, decreased by 27.33% in dollar value and 33.67% in quantity.
Negative Growth Observed
Negative growth was also observed in other top-sourcing countries, including Indonesia (25.57%), India (16.59%), Mexico (6.92%), Cambodia (34.53%), and Pakistan (29.73%).
Reflecting Industry's Focus on Higher-Value Segments
The unit price per SME (Square Meter Equivalent) increased by 12.98% for USA's overall imports from the world in January-April 2023. Import from Bangladesh recorded the highest increase at 18.14%.
Higher Value-Added Capabilities Drive Price Increase
This reflects the industry's shift towards higher-value segments of the market, although it also indicates rising raw material and production costs. Investments in non-cotton items and higher value-added capabilities are driving this increase.
To explore untapped opportunities in the US market, further efforts are needed, considering the industry's focus on greener, cleaner, and responsible manufacturing, as well as technology and higher value capabilities.
CREDITS: BGMEA press release
