Apparels

The global sporting goods industry faced a difficult environment in 2024, with softer growth prospects, inflation and cautious consumer spending, a McKinsey report found.
Despite that, the industry managed to sustain a 7-per cent growth rate a year from 2021 to 2024.
The growth outlook for 2024-2029 is projected at 6 per cent a year, driven by a slowdown in APAC, Western Europe and Latin America.

China’s rising tariffs on men’s cotton shirts (HS 620520), reaching 28.7 per cent, are eroding its price advantage in the US market. Bangladesh, with the highest RCA of 110.05 and a UVR of $19.24/kg, is well-positioned to lead.
India and Vietnam maintain moderate competitiveness, while Indonesia targets the premium segment amidst higher UVRs.

Nicaragua’s substantial RCA of 74.12 and zero tariffs under CAFTA-DR make it highly competitive in the US non-cotton T-shirt market.
Honduras, with an RCA of 55.78 and also benefiting from zero tariffs, offers a UVR of $12.28/kg, balancing cost and quality.
In contrast, China’s competitiveness is diminishing due to a 52 per cent tariff, making its products less attractive to US importers.

Bangladesh’s textile industry, which accounts for 84% of the country’s foreign exchange earnings, is facing a crisis. Ananta Jalil, a prominent businessman, accused interim chief adviser Md Yunus of forcefully shutting down the sector, resulting in massive job losses. The lack of support during Ramadan and ahead of Eid has worsened the situation, potentially leading to an economic collapse.

The recent imposition of 20 per cent US tariff on Chinese brassieres (HS 621210) is reshaping the market.
China’s Unit Value Realisation (UVR) of $21.89/kg, once a cost advantage, now faces pressure from increased tariffs, potentially reducing its competitiveness.
Vietnam, Indonesia, and Sri Lanka may capture market share by offering diverse price and quality options.

Nike is facing challenges in its turnaround effort as it deals with old inventory, the impact of a trade war, and declining consumer spending. The company is striving for growth by refocusing on sports, improving retail relationships, and adjusting marketing strategies.

The Indian gem and jewellery industry is seeking alternative markets like Latin America, Vietnam, and Saudi Arabia to mitigate potential US tariffs. The industry aims to reach $70 billion in exports by 2030 and is optimistic about strong domestic growth and new organized players entering the market.

Canada’s apparel imports from Vietnam grew by 5.44 per cent to $1.62 billion in 2024, securing a 14.87 per cent market share, second only to China (29.57 per cent).
Overall apparel imports slightly declined to $10.836 billion.
Vietnam’s home textile exports to Canada remained minimal, at $52.34 million.
Despite past growth, home textile imports from Vietnam have remained steady since 2023.

US tariffs on Chinese women’s cotton trousers (HS 620462) are reshaping the market.
Bangladesh, with a high RCA of 72.80 and UVR of $15.62/kg, is poised to benefit.
China’s low UVR of $8.31/kg is offset by a 20 per cent tariff from March 4, 2025, reducing its competitiveness.
Pakistan’s strong RCA of 67.61 and UVR of $15.93/kg suggests potential growth.

Bonkers Corner is set to invest Rs 60 crore in a new sustainable manufacturing unit in Murbad, Maharashtra, increasing its production capacity to 4 lakh pieces per month. The brand is also planning to open 15 new stores in North India and expand internationally starting with Dubai and Gulf countries.