China’s apparel imports fell two per cent year on year from January 2022 to November 2022. On the other hand, textile imports of the country plummeted massively by 23 per cent year on year. Particularly in November 2022, Chinese apparel imports saw a substantial drop of over 16 per cent.

The drop in apparel imports has been attributed to the closure of markets due to lockdowns in China because of which retail businesses have suffered. On the other hand, textile imports of the country plummeted by 36 per cent in November 2022. China’s position as the top global cotton importer is also weakening as cotton shipments flow into flourishing textile industries in competing countries.

Following years of rising production costs, volatility from government intervention in the market, and government caps on the volume of imports, China’s cotton imports dropped from their peak of 24.5 million bales in 2011 to 4.4 million bales in 2015 before rebounding to 9.5 million bales in 2021.

Meanwhile, competing countries, including Vietnam, Pakistan, Indonesia, Bangladesh, and Turkey, have expanded their textile industries and boosted cotton imports over the same period. These countries’ combined imports now exceed China’s volume of cotton imports. This increasing geographic diversification of global cotton demand has helped US cotton exports to remain relatively robust despite volatility in China’s imports over the past decade.