Home / Knowledge / News / Textiles / Signs of green shoots in US textile industry
Signs of green shoots in US textile industry
20
Nov '13
The ‘Made in China’ downturn is fast gaining pace with manufacturers considering moving to US for production, thanks to the declining cost of US energy due to its new gas and oil fracking breakthroughs and rising wage costs in the Asia’s largest economy.

A recent report from the Boston Consulting Group, (BCG) revealed that the US will move closer to China in terms of production costs. Furthermore, the report also said that, by 2015, the US production costs will fall between 8-18 per cent, much below the costs of other major countries including Germany, Japan, the United Kingdom, France and Italy.

The green shoots of revival in the American textile industry are already visible from the earnings of major American textile firms in the second quarter. Strong evidence to this matter comes from Uncle Sam’s second quarter 2013 numbers which put the US Textile industry’s net profits at USD 505 million, up 31 per cent over the corresponding period of previous year.

Also domestic apparel manufacturers have recorded a growth of around 14 per cent in the second quarter over the year ago period. On margins front, textile mills have also recorded a growth of 100 basis points over the comparable period of last year.

On the other hand, growth of China's textile industry slowed in the first five months of the year, the reports suggest. Statistics from the General Administration of Customs revealed that China’s export value of textiles and garments for June was USD 24.1 billion-- 8.5 percentage points lower than in the first five months of 2013.

There’s more good news for the US textile industry—the trend is likely to continue going ahead too, driven by improved pace of economic growth. The US economy expanded at 2.8 per cent in the third quarter ended September 2013 as against the expectations of 2-2.2 per cent by analysts. Moreover, trend also suggests that the US labor and material costs will remain under control as compared to China, once favored for its low costs.

Fibre2fashion News Desk - India


Must ReadView All

Israeli minister announces tax cuts on consumer goods

Apparel/Garments | On 14th Dec 2017

Israeli minister announces tax cuts on consumer goods

The Israeli Government will slash taxes by $227 million, finance...

Courtesy: Kelvin Techstyles

Apparel/Garments | On 14th Dec 2017

Kelvin Techstyles fuses style and function in city apparel

Fusing style and function in outdoor clothing, Roseville,...

India’s WPI inflation for textiles up 0.3% in Nov 2017

Textiles | On 14th Dec 2017

India’s WPI inflation for textiles up 0.3% in Nov 2017

India’s annual rate of inflation, based on monthly wholesale price...

Interviews View All

Sunil Rathore
Lacoste India

‘New vendor is welcome if he offers cost, quality and timely delivery’

Abhishek Ganguly
Puma India

‘As a brand, Puma is always looking for new and innovative ways to inspire ...

Marazban F Velati
Sutlej Textiles & Industries limited

No training can be effective till the candidate believes in it.

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

December 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.6%
No
12.0%
Skip
18.5%

Total Votes: 92

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
62.0%
No
30.4%
Skip
7.6%

Total Votes: 92

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.0%
No
9.8%
Skip
3.3%

Total Votes: 92

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
81.5%
No
8.7%
Skip
9.8%

Total Votes: 92


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search