The American apparel import market underwent a significant structural reshuffle in late 2025, according to the latest OTEXA data. In a stark divergence of fortunes, US textile and apparel imports from India plummeted by 31.4 per cent Y-o-Y in November 2025, reaching approximately $0.54 billion. This contraction is largely attributed to the compounding effect of a 50 per cent cumulative tariff wall on Indian goods, which has rendered staples like cotton knits 35 per cent more expensive than competing products. While India grapples with this price disadvantage, Bangladesh also witnessed a 14.5 per cent decline in November, signaling a broader volatility across traditional South Asian manufacturing hubs as buyers prioritize cost-predictability and stable trade access.
Vietnam emerges as the primary beneficiary of trade diversification
In contrast to the regional downturn, Vietnam’s apparel shipments to the US increased by 12.2 per cent in November 2025, solidifying its position as a preferred ‘China+1’ alternative. Vietnam’s total textile exports for 2025 are projected to hit $46 billion, supported by a 52 per cent localization rate in raw materials and strategic utilization of its vast free trade agreement (FTA) network. The shift we are seeing is not just seasonal; it is a strategic migration toward vendors who can absorb geopolitical shocks, noted an analyst from the Confederation of Indian Textile Industry (CITI). As global brands actively de-risk their supply chains, Vietnam’s consistent double-digit growth throughout 2025 underscores a decisive move toward Southeast Asian sourcing for high-volume retail.
Global Sourcing Monitor: Apparel & Textiles
This initiative tracks the performance of key global suppliers - China, Vietnam, India, and Bangladesh - in the $100 billion US fashion market. Focused on apparel and home textiles, the tracker monitors how tariffs and FTAs drive sourcing shifts. Growth plans for 2026 involve deeper integration into technical textiles and sustainable fabrications to offset rising labor costs.
