Countries like Vietnam, Cambodia and Bangladesh continue to rely heavily on China for intermediate inputs like raw materials and unfinished goods and services. Once the stock imported from China is depleted, global textile and apparel industry is expected to face the brunt of supply chain disruption. Fast-fashion retailers, who rely on releasing new lines every few weeks and holding as little stock as possible, would be particularly vulnerable to supplier disruptions. China is gradually resuming manufacturing after weeks of factory shutdowns and logistical restrictions, but the impact on global apparel firms may continue for the foreseeable future as the virus spreads.

Many businesses were shifting manufacturing to Vietnam, Cambodia and Bangladesh even before the virus struck China due to rising labor costs and uncertainty around the US-China trade war.

In the fourth quarter of 2019, US imports of apparel and textiles from China fell by 25.4 per cent year while rising 14.3 per cent from Cambodia, 8.6 per cent from Bangladesh and six per cent from Vietnam. The pattern continued in January with Cambodian exports to the United States rising by 23.8 per cent compared to a 31.7 per cent slump in shipments from China. But China may still remain the top supplier once it recovers from the outbreak.