Global Garment Trade Nears $550 Billion as Competition Intensifies

Knit and woven garments account for nearly 60% of world textile exports as Bangladesh and Vietnam strengthen their positions

Global textile exports reached approximately $914 billion in 2025, up from around $560 billion in 2006, while knit and woven garments together accounted for nearly 60% of world textile exports, according to the August 2026 issue of The Textiles Observer, a free publication from the International Cotton Advisory Committee (ICAC).

The report highlights a major shift in global textile competitiveness over the past two decades, with China retaining its leading position while Bangladesh and Vietnam have expanded their roles as major textile and garment suppliers.

Global Garment Trade Expands as Manufacturing Landscape Changes

Knit garment exports nearly doubled between 2006 and 2025, increasing from $145.2 billion to $289.1 billion. Woven garment exports also rose, from $158.5 billion to $257.7 billion during the same period.

The expansion of trade has been accompanied by a redistribution of global manufacturing strength. China remains the leading textile and garment exporter, while Bangladesh moved from 14th place in 2006 to second in 2025. Vietnam advanced from 21st to third over the same period.

Together, China, Bangladesh and Vietnam accounted for approximately 44% of world textile exports in 2025.

Global demand has also become more geographically distributed. Although the United States remains the largest textile importer, its share of global imports declined from 18.9% in 2006 to 13.7% in 2025. Markets across Europe and Asia have gained greater importance, contributing to a broader multi-destination textile trade landscape.

Cotton Retains Key Garment Markets Amid Fibre Competition

Cotton continues to hold significant positions in global apparel trade, particularly in Cotton T-shirts, Cotton Jerseys, and Men’s and Women’s Cotton Trousers & Shorts.

However, the report points to stronger competition from other fibres. Cotton accounted for approximately 68.3% of global fibre demand in 1960, compared with 21.1% in 2025. Synthetic fibres, meanwhile, increased their share from 4.6% to 71.7% over the same period.

The shift is also reflected in knit garment exports. Cotton-based knit garment exports increased from approximately US$69.9 billion in 2006 to US$128.3 billion in 2025. Despite this increase, their share declined from 48.3% to 44.5%.

Man-made and synthetic knit garment exports grew from US$35.6 billion to US$99.2 billion, lifting their share from 24.6% to 34.4%.

Competition is even more evident in woven garments, where man-made and synthetic fibres surpassed cotton in export value in 2021.

The report notes that these trends do not point to disappearing demand for cotton. Rather, they demonstrate the growing competitive pressure from fibres that are capturing a larger portion of the expanding garment market.

Cotton Quality Issues Begin at the Farm

The August issue also includes an article by Dr Marinus (René) van der Sluijs addressing two major cotton contamination concerns: stickiness and seed-coat fragments.

Cotton stickiness can disrupt processing, raise costs, affect product quality and damage the commercial reputation of cotton from affected origins. A global study cited by the report found that 64% of participants considered stickiness a major cotton-fibre defect affecting yarn properties. Cotton from origins associated with stickiness can also face discounts of up to 50%.

Seed-coat fragments create another processing challenge because fibres remain attached to the fragments and can be difficult to remove. They may contribute to spinning end-breakages, increase production costs and result in dark specks appearing in dyed fabrics.

The report examines approaches for detecting and measuring both issues, alongside practical measures aimed at reducing their impact during production and processing.

Textile Industry Faces Multiple Sources of Change

The August edition of The Textiles Observer presents a global textile industry undergoing changes across several areas, including manufacturing geography, consumer markets, fibre competition and cotton quality.

Cotton continues to form an important part of the global garment economy. The report indicates that maintaining its position will depend not only on demand but also on its ability to remain competitive and participate in future market growth.