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Textiles and fashion navigate a tough transition into 2026

30 Dec '25
6 min read
 Textiles and fashion navigate a tough transition into 2026
Pic: Shutterstock

Insights

  • As 2025 closes, fashion and textiles face cautious demand, uneven orders and rising operational pressure.
  • Softer global growth and trade uncertainty shorten planning cycles, while costs, quality scrutiny and regulation quietly raise the bar.
  • Advantage is shifting to players that stay flexible, lock in input discipline and treat compliance and quality as operational strengths.

Costs keep climbing

Input costs have not delivered the relief the industry hoped for. Cotton has seesawed through the year. The latest USDA outlook now points to global production exceeding mill use again in ****/**, with global ending stocks forecast slightly higher at **.* million bales vs **.* million the prior season. This can temper prices overall, even as quality grades, weather, and currency move keep procurement volatile.

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