Global apparel trade has seen a drop in January 2024. In its latest study ‘Apparel Trade Scenario in Key Global Markets and India-March 2024’ Wazir Advisors reveals, apparel consumption and import in the US, EU, UK, and Japan has seen a decline. India however throws up a mixed picture while apparel exports in February 2024 has shown a marginal increase compared to February 2023, imports however has gone down

Apparel imports drop across key markets

Wazir Advisors’ study shows, in January 2024, US apparel imports were $6.1 billion, almost 16 per cent lower than January 2023. Moreover, the share of China and Vietnam has increased by 2 per cent and 1 per cent, respectively since 2022 in the US apparel market. And India and Bangladesh share has remained the same since 2022. 

EU’s apparel imports in January 2024 were $6.6 billion which is 20 per cent lower than January 2023. In the EU apparel market, China’s share has decreased 2 per cent while that of Turkey has increased 2 per cent since 2022. Interestingly, Bangladesh share has gone down since 2022 and so has India’s since 2023.

UK’s apparel imports in January 2024 stood at $1.4 billion, 18 per cent lower than in January 2023. Meanwhile in the UK apparel market, China’s share has reduced by 2 per cent and that of Italy has increased by 3 per cent since 2022. India’s share has more or less remained constant since 2022.

Japan, another major market too followed the same pattern as apparel imports in January 2024 were $1.9 billion, 14 per cent lower than January 2023. In the Japan apparel market, China’s share has gone down by 3 per cent while that of Vietnam has increased by 1 per cent since 2022. Bangladesh, Cambodia among others has seen no change.

Retail Sales: US saw a rise, UK a drop

In February 2024, US Consumer Confidence Index has decreased to 106.7 from 114.8 last month. US inflation rate in the same period increased to 3.2 per cent from 3.1 per cent. Apparel store sales threw up a mixed picture in different countries/regions under review in this study. In February 2024, US monthly apparel store sales were around $15.8 billion which is 10 per cent higher than in February 2023. On YTD basis, sales in 2024 are 6 per cent higher than in 2023. In February 2024, US monthly home furnishing store sales are $4.2 billion, 22 per cent lower than in February 2023. On YTD basis, the sales in 2024 are 25 per cent lower than in 2023. In Q4 2023, US online sales of clothing and accessories grew 7 per cent over Q4 2022.

In the UK however, February 2024 monthly apparel store sales were £3.0 billion which is 3 per cent lower than in February 2023. On YTD basis, sales in 2024 are 3 per cent lower than in 2023. In Q4 2023, UK’s online clothing sales grew almost 20 per cent over Q4 2023. Overall, in 2023 sales were 16 per cent higher than in 2022.

India’s apparel trade

In February 2024, India’s apparel exports are estimated at around $1.4 billion, a mere 1 per cent higher than in February 2023. On YTD basis, the exports are down 3 per cent than in 2023. India’s apparel exports share in the US and UAE has gone down 4 per cent and 1 per cent, respectively since 2022. In January 2024, India’s apparel imports were $109 million which is 23 per cent lower than in January 2023.

In the Indian apparel import basket, China’s share has decreased by 4 per cent since 2022, while that of Italy has increased by 3 per cent.