In January 2024, the latest ITMF Global Textile Industry Survey (GTIS) revealed a notable upturn in business sentiments, signaling a potential shift towards positive dynamics. Despite prior concerns, indicators for business situation and order intake displayed improvements, hinting at a promising trajectory for the industry.

Driven by favorable inflation rates, augmented real wages, and buoyant consumer sentiment in the USA, alongside anticipations of interest rate reductions, the business climate witnessed a significant uplift. Expectations for July 2024 surged to levels unseen since late 2021, fueled by enhanced order intakes and a brighter consumer demand outlook, despite persistent cost apprehensions.

While order intake displayed signs of recovery, experiencing marked upticks across various regions except East Asia, particularly in North & Central America and South America, concerns over weakening global demand within the textile value chain diminished. This shift in sentiment was underscored by a decrease in respondents citing weakening demand as a primary concern, reaching its lowest level since May 2023.

Moreover, despite the challenges posed by weakening demand, the industry witnessed a shift in response, with reduced rather than canceled orders—a departure from earlier pandemic trends. Additionally, inventory levels, deemed average by 57 per cent of participants, varied across regions, with South Americans reporting higher levels and garment producers noting the lowest, offering a nuanced perspective on prevailing market conditions.

Overall, the survey reflects a cautiously optimistic outlook for the textile industry, with signs of resilience and adaptability amidst evolving market dynamics.