Oct 08, 2023
In 2023, the macro environment has become more complex. With high inflation, the demand for textile and apparel in Europe and the United States has weakened. In addition, some previous inventory was still being consumed, which has led to a decrease in orders placed to textile and apparel companies in Vietnam and China. Looking at the foreign trade data, it could be seen that China's textile and clothing exports have decreased by more than 10% for three consecutive months, with a widening negative trend. From Jan to Jul 2023, the cumulative export of textiles and clothing amounted to US$169.79 billion, a decrease of 10%. Among them, textile exports scored at US$78.85 billion, down by 11.9%, and clothing exports approached US$90.94 billion, a decrease of 8.3%. Although the overall export growth rate declined this year, there were still certain differences in structure. Synthetic fiber yarn and fabric have performed well in the yarn sector, while the clothing sector was relatively weak. From the angle of development trend, apart from disruptions of PFY exports to India due to policy issue, there was a certain seasonal rebound in clothing exports. However, the year-on-year performance remained relatively weak and there was no clear improvement yet.