China’s textile industry continues to demonstrate resilience in the face of global economic challenges, with recent trade data showing a mixed yet steady performance. In the first half of 2024, China exported $135 billion worth of textiles and garments, marking a slight 2% decline from the previous year. Despite this dip, China’s textile sector remains a dominant force in the global market, accounting for over 30% of the world’s textile exports.
The marginal decline is attributed to several factors, including slowing demand from key markets like the United States and the European Union, both of which are grappling with economic slowdowns and inflationary pressures.
Exports to these regions dropped by 5% and 4%, respectively.
However, increased demand from emerging markets in Africa and Southeast Asia, where exports grew by 8% and 6%, respectively, has helped offset these losses.
China’s textile industry is also navigating the impact of a stronger yuan, which has risen by 4% against the US dollar since the start of the year. This has made Chinese goods more expensive for international buyers, further challenging export competitiveness.
Despite these hurdles, Chinese manufacturers are adapting by investing in automation and sustainable production practices to reduce costs and meet growing global demand for eco-friendly textiles.
Industry analysts predict that while short-term challenges remain, China’s textile sector is well-positioned to maintain its global leadership, particularly as it diversifies its export markets and strengthens its supply chain resilience.
