FW
Bangladesh's position as the world's second-largest garment exporter is facing increasing challenges due to global trade shifts, regional competition, and internal structural issues.
The 37 per cent tariffs imposed by the Trump administration have intensified the pressure on Bangladesh, causing concern among industry leaders and analysts about the country's ability to maintain its global ranking. Bangladesh now faces a critical test of its export resilience and trade negotiation skills, especially for a sector built on low-cost production and heavily reliant on price-sensitive markets.
Many industry leaders are closely watching Vietnam's rise. Despite facing a higher 46 per cent tariff compared to Bangladesh's 37 per cent, there's growing concern that Bangladesh's limited trade diplomacy and slower move towards higher-value production could allow Vietnam to overtake it in global rankings. Rubana Huq, Former President, Bangladesh Garment Manufacturers and Exporters Association (BGMEA), emphasized on the urgency for Bangladesh to act quickly.
In 2023, Bangladesh accounted for 7.4 per cent of global apparel exports, valued at $38 billion, according to the World Trade Organization (WTO). China ranked first with $165 billion, holding a 31.6 per cent market share. Vietnam followed with $31 billion in exports and a 6 per cent share. However, these 2023 figures might not reflect the current shifting dynamics, which could be clearer in the yet-to-be-released 2024 WTO data. Adding to concerns, the WTO revised Bangladesh's past export figures downward by $9 billion due to data discrepancies, raising questions about the reliability of their statistics.
Despite these challenges, Bangladesh has several strengths, including a large and affordable workforce, a strong domestic textile industry, a global lead in certified green factories, and improving international safety standards. However, these are increasingly countered by weaknesses such as poor infrastructure, long lead times, high borrowing costs, bureaucratic hurdles, and an over-reliance on basic, low-value garments.
A key difference between Bangladesh and competitors like Vietnam is their strategic direction. Vietnam has steadily moved towards producing higher-value goods, diversified its product range, and used free trade agreements to gain preferential market access. With both countries facing high tariffs in the US market, the ability to offer differentiated, value-added products and skillfully navigate trade diplomacy may be the deciding factor.
Without targeted reforms and strong trade engagement, Bangladesh risks being overtaken in global supply chains through a gradual decline in competitiveness and missed opportunities. While some exporters believe Bangladesh can maintain its edge, there's a general agreement on the urgent need for diversification into higher-value products, technology upgrades, workforce development, and stronger international trade relations to secure favorable terms and adapt to the evolving global market.
Fuelled by an increasing demand for knitted or crocheted textiles, the value of the bed-linen market in the Asia-Pacific is expected to grow at a CAGR of 1.8 per cent from 2024-35 to reach $2.2 billion by 2035, indicates a report by IndexBox.
The volume of this market is likely to grow at a +1.0 per cent CAGR to 302,000 metric tons by the end of this period.
In 2024, China (55,000 metric tons), India (32,000 metric tons), and Pakistan (103,000 metric tons) emerged as the largest consumers of bed linen across the world. Collectively, these three countries accounted for 70 per cent of global consumption. They were followed by Indonesia, Bangladesh, Japan, Thailand, and Vietnam with a combined share of 19 per cent.
On the other hand, nations with the highest market values in 2024 included China ($350 million), India ($236 million), and Pakistan ($549 million). Together, these three represented 64 per cent of the total market value followed by Japan, Bangladesh, Indonesia, Vietnam, and Thailand accounting for an additional 22 per cent.
In 2024, the production of knitted or crocheted bed linen in Asia-Pacific decreased by 2.4 per cent to 432,000 metric tons. The value of this production also declined to $2.6 billion in 2024, based on estimated export prices. Accounting for 85 per cent of the total production, China (138,000 metric tons), India (33,000 metric tons), and Pakistan (196,000 metric tons) were the top three producers in 2024.
After a two-year decline, overseas purchases of knitted or crocheted bed linen increased in 2024, reaching 22,000 metric tons for the first time since 2021. Imports of knitted or crocheted textiles, including bed linen, totaled $166 million USD in 2024.
Japan led global imports in 2024, with 12,000 metric tons, representing approximately 56 per cent of all imports. South Korea (2,100 metric tons), Malaysia (1,800 metric tons), Australia (1,600 metric tons), and Taiwan (1,400 metric tons) followed, with a combined share of 31 per cent. Singapore (498 metric tons) and Vietnam (585 metric tons) accounted for a smaller fraction of total imports.
Japan is the largest market in the Asia-Pacific region for imported bed linens and knitted or crocheted textiles, accounting for 65 per cent of all imports ($107 million ). Australia ranked second with 8.6 per cent of total imports ($14 million), followed by South Korea with 8.4 per cent.
China (83,000 metric tons) and Pakistan (94,000 metric tons) were the largest exporters, accounting for 98 per cent of total exports. In terms of value, China ($518 million) and Pakistan ($487 million) were also the leading suppliers of bed linens and knitted or crocheted textiles in the Asia-Pacific region.
Cotton Club (BD) Ltd, one of Bangladesh’s leading garment manufacturers, has reported major operational improvements and a rise in profitability after implementing Coats Digital’s GSDCost solution in August 2021. The company has reduced the production time of its core styles by 25.6 per cent, increasing overall productivity by 5 per cent and driving an annual profit gain of $0.45 million. These gains are largely attributed to a 90 per cent improvement in costing accuracy, which also helped reduce material waste by 10 per cent, cut unnecessary overtime by 8 per cent, and improve on-time delivery performance by 7 per cent.
Before adopting GSDCost, Cotton Club struggled with inefficient processes relying on outdated spreadsheets and disconnected data. This made it difficult for the company to maintain visibility across its cost and capacity forecasting systems, often resulting in poor decision-making, missed deadlines, and lost business opportunities. With no accurate Standard Minute Values (SMVs), the manufacturer faced serious challenges in calculating precise production costs and efficiently managing capacity.
Since integrating GSDCost, Cotton Club has been able to establish international standard time benchmarks across departments using predetermined times and standard motion codes. This transformation has allowed its sales, costing, planning, and production teams to collaborate effectively using a unified method to analyse manufacturing costs. The digital upgrade has also helped the company take on more complex and diverse orders with confidence, improving customer satisfaction and strengthening brand loyalty.
Founded in 2006, Cotton Club operates a vertically integrated manufacturing operation, covering knitting, dyeing, cutting, printing, embroidery, and sewing. The company comprises four entities including Cotton Clout (BD) Ltd, Tropical Knitex Ltd, and Cotton Clothing (BD) Ltd, and focuses on producing knitted garments and underwear for global brands. With a workforce of 15,000 and 6,800 sewing machines, Cotton Club reported an annual turnover of $268 million, with a target to reach $300 million this fiscal year.
In 2023, the company expanded with a modern seamless garment production facility in Gazipur. Spanning 260,800 square feet, the facility is equipped with advanced technology to uphold strict quality and environmental standards. Cotton Club holds multiple certifications, including BSCI, WRAP, SEDEX, GOTS, GRS, ISO 14001:2015, and LEED Gold.
Md. Zubayer Mondol, Director and Owner of Cotton Club (BD) Ltd., credited GSDCost with helping the company take a scientific approach to cost control and performance tracking. Coats Digital’s Customer Success Manager, Golam Mahbub Sikder, praised the company for embracing digital transformation to stay competitive and future-ready in a fast-evolving industry.
Bailu Group, the parent of Xinxiang Chemical Fiber Co, has launched a pilot production line for Next Generation viscose fibre at its newly built BylurRecel facility in Henan Province, China. This new line aims to produce regenerated cellulosic fibre using mainly post-consumer textiles, such as discarded hotel linens, along with some pre-consumer industrial waste.
BylurRecel employs a simplified, direct-dissolution process that eliminates the traditional dissolving pulp stage, offering significant potential to reduce energy, water, and chemical usage. The facility currently has an annual capacity of 1,000 tonnes of viscose staple fibre. A second line for viscose filament fibre, also with a 1,000-tonne capacity, is under development.
In 2025, Bailu expects to produce around 600 tonnes of its Next Gen fibre. However, large-scale targets will be finalised after the pilot phase is evaluated for performance and supply chain alignment. The project supports China’s goal of reducing textile waste by 30 per cent by 2030 and promotes a circular, closed-loop system of textile reuse.
Nicole Rycroft, Executive Director of Canopy, praised the move, calling it “a noteworthy step in the transition of China’s MMCF sector to more circular and Next Gen production.” She added that Bailu’s elimination of the pulp stage could reduce pressure on forest ecosystems.
This pilot complements Bailu’s Bailu-Eco viscose filament yarn, made with Sodra’s OnceMore recycled pulp. With a total capacity of 100,000 tonnes annually, Bailu Group has worked with Canopy since 2018 and received a Dark Green Shirt rating in Canopy’s 2024 Hot Button Report.
Exceeding analyst expectations, German sportswear and apparel maker, Adidas reported a 82 per cent rise in Q1, FY25 operating profit to €610 million ($692 million), delivering a 9.9 per cent margin. In a company‑provided consensus, analysts had forecasted a 8.9 per cent margin and €546 million in profit.
The strong performance of sneakers like the Samba and Gazelle helped Adidas capture additional market share from its US rival Nike, as well as maintain an edge over newer sportswear brands such as On Running and Hoka in uncertain times.
Since parting ways with rapper Ye and discontinuing its lucrative Yeezy sneaker line in October 2022, Bjorn Gulden, CEO, Adidas has successfully steered the brand’s turnaround. All remaining Yeezy inventory was sold off by the end of 2024.
Adidas’ Q1, FY25 sales increased by 13 per cent to €6.15 billion, topping the €6.095 billion consensus. Excluding Yeezy sales from the prior year, Adidas’ brand revenue increased by 17 per cent Y-o-Y.
Demonstrating significant international engagement and positioning Pakistan as a rising center for textile innovation in Asia, the 30th Textile Asia Exhibition ended on a successful note in Faisalabad.
Supported by the Special Investment Facilitation Council (SIFC), the event attracted exhibitors and visitors from numerous countries, including China, Turkey, Germany, Japan, Italy, Switzerland, Korea, Russia, and Malaysia.
Serving as a platform to boost exports, the exhibition encouraged industrial growth within Pakistan's textile sector. It displayed cutting-edge machinery, smart textiles, and sustainable industrial solutions, showcasing the industry's current technological trends and future path.
Hailed as the most comprehensive and effective exhibition for the textile and garment machinery in the region, Industry experts have hailed Textile Asia 2025 as the most comprehensive and effective exhibition for textile and garment machinery in the region. The event highlighted Pakistan's increasing capabilities in textile manufacturing while fostering business connections between domestic manufacturers and international markets.
This year's exhibition has generated significant opportunities for knowledge transfer and technological advancement in Pakistan’s textile sector, states a representative from the organizing committee, emphasizing the exhibition's role in modernizing the country’s textile industry.
International participants showcased advanced technologies aimed at enhancing production efficiency and product quality while minimizing environmental impact. Local manufacturers had the chance to explore these innovations directly, potentially influencing future investment decisions.
The exhibition also featured specialized areas focusing on digital printing technologies, energy-efficient machinery, and automation solutions that align with global sustainability standards increasingly sought after by international buyers.
The event reflected a strategic effort to position Pakistan's textile industry more competitively in global markets through technological upgrades and sustainable practices, noted attendees. Organizers reported strong attendance from industry professionals, business owners, and potential investors throughout the exhibition.
Following the successful launch of circular products at Target, Wrangler has achieved a new milestone in textile-to-textile recycling by launched its Wrangler x Accelerating Circularity jeans range at Walmart.
This launch is a part of Accelerating Circularity’s US-based tests where 23 tons each of post-consumer and post-industrial cotton were successfully recycled. The project involved working with key supply chain partners to transform used textiles into new products.
The Wrangler x Accelerating Circularity jeans range contains 26 per cent recycled cotton (50 per cent post-consumer, 50 per cent post-industrial), along with virgin cotton and elastane for stretch, setting a new standard for post-consumer recycled content in commercially available denim.
This project was executed through teamwork across the textile supply chain trial members, including collection by Bank & Vogue (post-consumer) and Martex (post-industrial); mechanical recycling by Giotex & Estopas; yarn production by Parkdale; and fabric production by Cone Denim.
Karla Magruder, Founder, Accelerating Circularity, says, by working together across the supply chain, the initiative has demonstrated the importance of used textiles as a practical source material for new products on a large scale.
With this release, Wrangler joins a growing list of brands bringing circular products to market through Accelerating Circularity’s trials. As the initiative moves forward, the focus remains on increasing impact, including the next major goal: recycling 325 tons of used textiles as part of Accelerating Circularity’s Clinton Global Initiative Commitment to Action.
Karl Mayer is celebrating 20 years of Kamcos, its pioneering control system that revolutionised warp knitting machine operation. First introduced at ITMA Birmingham in 2003 and officially named in 2005, the Karl Mayer Command System (Kamcos) brought a touch-screen interface to knitting machines an industry first.
Mario Gorner, a key contributor to the original Kamcos, recalls the risks and rewards of early innovation. "We launched the first warp knitting machine with pure touch-screen operation, which was a bold move," he said. "It streamlined data entry, centralised control functions, and improved ease of use."
Kamcos 2 debuted at ITMA 2015, further simplifying machine handling and remote serviceability. The upgraded platform introduced a web-based user interface, praised for its aesthetics and awarded the 2016 iF Design Award in the Communication Apps/Software category.
Philipp Erler, Head of Control Platform at Karl Mayer’s Warp Knitting unit, said the evolution of Kamcos is now being guided by Industry 4.0 and 5.0 principles. “We’re merging IT and operational technology to boost efficiency and meet new cyber security regulations like the EU Cyber Resilience Act,” he explained.
With two major software releases annually, Karl Mayer remains committed to usability, security, and cross-platform compatibility. “One Kamcos for all machines remains our core philosophy,” said Erler.
As Kamcos enters its third decade, the company is focused on maintaining clarity, flexibility, and user-friendliness while enabling customisation for future-ready warp knitting solutions.
In FY24, Italian fashion house Valentino registered a 22 per cent decline in the brand’s operating profit. This decline reflects a broader slowdown in global demand for high-end goods within the luxury sector, particularly in Asia.
European luxury conglomerates had been looking to affluent American consumers to revitalize growth, given the uncertain outlook for China. However, following President Donald Trump's tariff policies, the industry is now preparing for what could be its most prolonged downturn in years.
As per Valentino, the brand’s one-time expenses also contributed to its operating profit falling to €246 million ($280 million) in 2024, as the company continued to invest in its directly operated stores.
The brand’s revenue declined by 2 per cent at constant exchange rates, to €1.31 billion. Despite robust sales in Japan, the Middle East, and the Americas, the Rome-based company faced overall headwinds.
On a positive note, Valentino’s online sales rose by 5 per cent increase compared to the previous year, aligning with the group's strategic objective to strengthen its e-commerce operations.
In March 2024, Valentino appointed the former Gucci designer Alessandro Michele as its new Creative Director following the departure of Pierpaolo Piccioli, who held the position for 25 years.
In 2023, Kering, the parent company of Gucci, acquired a 30 per cent stake in Valentino, with an option to purchase the remaining share capital by 2028. The recent financial results underscore the challenges facing the luxury market as a whole, even for established brands undergoing significant creative transitions.
Compared to the previous year, India's textile and apparel (T&A) exports increased by 6.32 per cent in in the fiscal year ending March 31, 2025.
As per a report by the Confederation of Indian Textile Industry (CITI), this growth was primarily driven by the apparel sector, where exports increased by 10.03 per cent during the fiscal year.
Rakesh Mehtra, Chairman, CITI, says, this strong performance in apparel exports and steady growth in textiles amidst global challenges underscore the resilience, adaptability, and global competitiveness of the Indian textile and apparel industry."
He further attributed this success to the increasing momentum in establishing new trade partnerships and supportive policy decisions by the government, which have boosted confidence among exporters.
Mehra also emphasized the industry's optimism about sustaining this growth, particularly in light of shifting global trade dynamics.
The ongoing trade tensions between the US and China present a strategic opportunity for India, especially in textile and apparel trade. With the US actively looking to diversify its sourcing beyond China, India is well-positioned to become a reliable and preferred partner. However, this will require proactive diplomacy and a focused effort to secure a more favorable and stable tariff system, he notes.
In March 2025, India’s textile exports declined by 5.81 per cent compared to March 2024, while apparel exports increased by 3.97 per cent during the same period.
The combined T&A exports during the month declined by 1.63 per cent compared to March 2024.
However, for the period of April 2024 to March 2025, India’s textile exports grew by 3.61 per cent Y-o-Y while apparel exports grew by 10.03 per cent during the same timeframe.
CITI's analysis indicates, this growth outperformed the overall merchandise exports, which remained largely flat during the same period.
