Chinese textile and clothing exports confirm stabilisation

In 2023, China saw its textile exports fall by 8.1% and its clothing exports by 2.9%. But the first seven months of 2024 show a return to equilibrium, with a 1.12% rise in exports of textiles, clothing and accessories.

China exported goods worth $169.8 billion in these three categories over the January-July period. Textiles were the main driver of the slight growth seen, reaching $80.8 billion over seven months. This represents an increase of 3.3% compared with the same period in 2023, according to Chinese customs figures.

Chinese textile and clothing exports confirm stabilisation

But the picture is less rosy for clothing. Exports fell by 0.8% over seven months, to $88.9 billion. This is a much more contained fall than last year’s, but one that reflects the international economic difficulties faced by Chinese manufacturers.

Chinese clothing and accessories manufacturers remain largely dependent on Western orders. Likewise, materials manufacturers supply a number of Asian countries, whose production supplies Europe and the Americas. These are markets where consumer spending slowed last year in the face of inflation, prompting customers to be more cautious with their orders.

This slow recovery in exports comes at a time when Chinese manufacturers do not have the luxury of redirecting their efforts towards domestic demand. Although massive, the Chinese market is feeling the effects of the property crisis, which reduced growth to 4.7% in the second quarter of 2024, and limited year-on-year growth in household consumption to 2%. This impasse prompted an emergency meeting of Chinese leaders in mid-July, resulting in a surprise cut in short-term interest rates in the hope of boosting spending.

China’s sub-council for the textile industry (CCPIT-Tex) is optimistic. As well as modernising and automating its industrial base to reduce costs and lead times, the body is banking on the effects of the New Silk Road. The participating countries (including Bangladesh, Cambodia, Indonesia, Burma, Pakistan, the United Arab Emirates, Egypt and Turkey) account for more than 50% of China’s textile and clothing exports.