The global textile trade is undergoing rapid transformation, and the USA’s knitted garment supply chain is no exception. A comparison of 2014 vs. 2023 rankings of the Top 20 Exporters of Knitted Garments to USA highlights crucial shifts in sourcing trends, regional competitiveness, and emerging opportunities.
For industry leaders and policymakers, these changes present actionable insights to optimize strategies for a resilient and future-ready supply chain.
China’s Declining Market Share, But Still the Leader
China remains the top supplier of knitted garments to the USA, but its exports have fallen sharply from $16.72 billion in 2014 to $10.00 billion in 2023. This drop is due to rising labor costs, US-China trade tensions, and companies diversifying their supply chains.
🔹 Actionable Insights:
- For Industry Leaders: Brands should further diversify beyond China to mitigate geopolitical and tariff risks.
- For Policymakers: The US could strengthen trade agreements with alternative suppliers in Asia and Latin America to reduce dependency on China.
Vietnam Solidifies Its Position as a Key Supplier
Vietnam has grown significantly, increasing exports from $5.61 billion (2014) to $7.87 billion (2023) and securing the #2 position. Favorable trade agreements have enhanced Vietnam’s competitive edge.
🔹 Actionable Insights:
- For Industry Leaders: Vietnam remains an attractive sourcing destination due to stability, quality, and cost advantages.
- For Policymakers: Further investment in logistics and digitalization can help Vietnam maintain this upward trajectory.
Cambodia & Bangladesh Are the Fastest-Growing Suppliers
Cambodia jumped from 5th place (2014) to 3rd place (2023), while Bangladesh climbed from 9th to 4th. Their lower production costs and increasing compliance with global labor standards have driven their rise.
🔹 Actionable Insights:
- For Industry Leaders: These countries present low-cost, high-potential alternatives to China.
- For Policymakers: Strengthening labor rights and infrastructure will sustain growth in these markets.
The Rise of Nearshoring: Latin America Gains Ground
A major shift in 2023 is the increasing presence of Latin American suppliers like Nicaragua, El Salvador, Guatemala, and Mexico. Nearshoring—driven by faster turnaround times and lower transportation costs—has made these countries more competitive.
🔹 Actionable Insights:
- For Industry Leaders: Brands should consider nearshoring to Latin America for speed-to-market advantages.
- For Policymakers: The US can strengthen regional trade partnerships through incentives and infrastructure investments.
Emerging Players: Egypt Enter the Top 20
New entrant Egypt (ranked #17) indicate that sourcing strategies are expanding beyond traditional regions. Egypt benefits from its duty-free access to the US under QIZ agreements, while Jordan is gaining traction with flexible trade policies and labor advantages.
🔹 Actionable Insights:
- For Industry Leaders: Exploring emerging markets like Egypt and Jordan can offer fresh sourcing opportunities.
- For Policymakers: Encouraging bilateral trade agreements can enhance textile exports from these regions.
Conclusion: Adapting to the New Textile Supply Chain
The USA’s knitted garment imports have seen major shifts over the past decade. While China remains dominant, its market share is declining, making room for Vietnam, Cambodia, Bangladesh, and nearshoring in Latin America. India and Pakistan have just managed to maintain their rank of 7 and 12 respectively.
📌 Key Strategies Moving Forward:
✅ Diversify sourcing beyond China to mitigate risks.
✅ Leverage nearshoring for faster turnaround and cost efficiency.
✅ Invest in sustainable & ethical sourcing to align with global trends.
✅ Strengthen trade policies to enhance regional competitiveness.
The big question for businesses: Are you future-proofing your supply chain in this changing landscape?
