In the Jan.-Jul. 2010 period, China's textile and garment exports to the United States amounted to $18.979 billion, up 29.66 percent y/y, slightly increasing by 1.17 percentage points from the growth rate of the Jan.-Jun. 2010 period. Of which, textile exports to the United States jump 36.48 percent to $5.859 billion; Garment exports to the United States jump 26.82 percent to $13.121 billion.
Textile and garment exports to the United States in Jul. amounted to $3.990 billion, up 15.79 percent y/y, increasing by 15.77 percentage points from the growth rate of Jun. Of which, textile exports to the United States in Jul. jump 6.82 percent to $1.065 billion; Garment exports to the United States jump 19.40 percent to $2.924 billion.
Exports to the United States showed significant rise in the beginning of 2010, owing a boost from inventory building in the United States?? markets and strong competitiveness of Chinese textile and apparel products. It is fair to say that continuity in the demand for the Chinese textile covering in the U.S. market is keeping the hopes of exporters alive that after the recession. Chinese textile and apparel products are still taking advantage on US import market.
According to CNTAC Statistic Centre, during Jan.-Jul. period, enterprises in the textile industry saw the index of textile export prices to the United States and the index of apparel export prices to the United States soared by nearly 5.34% and 7.82% year on year to 100.26% and 99.77%. It is important to note that, although Chinese textile and apparel products are still taking advantage on US import market, the textile industry this year will face more pressure from rising raw material and yuan appreciation.
Table 1. Market share of Chinese textile and apparel products in the United States
in volume terms (%)
in value terms(%)
2008
40.93
35.07
2009
44.46
39.21
2010/06
44.19
37.85
Source: OTEXA
Keeping a watchful eye on prices decline
According to the Office of Textiles and Apparel (OTEXA) in the U.S. Department of Commerce, China strengthened its lead as the USA??s biggest textile and apparel supplier in first half of 2010, especially in volume terms. But, among the top 10 textile and apparel categories imported to the United States, 8 products?? export growth in value terms was negative.
Looking further??M&B suit-type coat of category 333, Other M&B coats of category 334, Pillowcases of category 360, Sheets of category 361, W&G sweaters of category 446, M&B sweaters of category 645 and Knit fabric of category 222 were the products with the most pronounced combined decrease in average price and increase in imports during Jan.-Jun. 2010;
W&G coats of category 335 and W&G coats of category 635 were the products with the most pronounced combined decrease in average price and decrease in imports during Jan.-Jun. 2010;
Pile & tufted fabric of category 224, Hosiery of category 432 and Other staple fiber yarn of category 607 were the products with the combined increase in average price and increase in imports during Jan.-Jun. 2010;
Babies' garments and clothing accessories of category 439, Other M&B coats of category 834, Robes, dressing gowns of category 850 and Underwear of category 852 were the products with the most pronounced combined increase in average price and decrease in imports during Jan.-Jun. 2010.
Table 2. Top 10 textile and apparel products in value from China to the US in the first half of 2010
Category
Product
Volume ( million sqm)
y/y change in volume, %
Value ($ million)
y/y change in value, %
y/y change in price, %
348
W&G trousers
340.846
45.6
1286.153
31.09
-9.97
670
Flat goods, handbags, and luggage
657.631
19.69
1165.793
11.62
-6.74
339
W&G knit shirt & blouses
149.762
42.73
1021.911
26.91
-11.08
369
Other cotton manufactures
864.273
17.03
877.674
20.97
3.37
666
Other man-made fiber furnishings
2256.394
36.38
850.364
29.77
-4.85
659
Other man-made fiber apparel
565.885
49.83
605.269
28.3
-14.37
239
Babies' garments and clothing accessories
211.102
7.33
546.215
-0.55
-7.34
636
Dresses
233.528
13.29
537.802
19.69
5.65
347
M&B trousers, breeches & shorts
123.257
43.62
519.407
24.95
-13.00
341
W&G shirts & blouses, not knit
90.343
11.2
423.114
8.14
-2.76
Source: OTEXA
According to OTEXA, 82 products imported from China to the United States were the products with the most pronounced combined decrease in average price and increase in imports in the first half of 2010.
Registered over 100% increase
According to OTEXA, 12 products imported from China to the United States registered over 100% increase in quantity imports and in average price during this period.
There is a risk that one or more of these categories may be targeted in a safeguard action or in potential antidumping or countervailing proceedings. As imports have risen, pressure is likely to be increased on U.S. policymakers to resort to contingency measures and other actions that restrict free trade. Although the Chinese textile industry has seen a recovery, international trade environment does not clear up and risks still exist. Here we highlight the necessity for Chinese businesses to keep a watchful eye on protectionism.
Table 3. Products imported from China to the United States registered over 100% increase in the first half of 2010
Category
Product
y/y change in volume, %
y/y change in value, %
301
Combed cotton yarn
771.02
466.07
611
Woven fabric containing 85% or more by weight artificial staple
561.4
455.44
237
Playsuits, sunsuits
244.37
268.8
432
Hosiery
156.61
238.64
603
Yarn containing 85% or more by weight artificial staple fiber
146.25
205.13
618
Woven artificial filament fabric
693.41
189.76
621
Impression fabric
214.82
187.98
607
Other staple fiber yarn
160.49
187.09
832
Hosiery
245.44
154.77
317
Twills
165.93
133.91
615
Printcloth
128.7
129.72
447
M&B trousers, breeches & shorts
135.5
116.12
Source: OTEXA
