Tag: US Denim Imports

  • US Denim Imports Under Special Programmes

    US has a number of special programmes which provide duty free and other benefits to regions for exporting of various textile and apparel items into US. These programmes are many – eg AGOA Act , Andean Act, CBTPA Act,DR- Cafta Act , NAFTA and other special arrangements that US has with countries like Israel, Jordan etc. How are these special regions performing in comparison to each other when it comes to exporting denim apparel to US in 2010 and 2011 . And how are individual countries within these pacts performing . It is also interesting to see that some countries which are covered under special import programmes are also making shipments to US which are not covered under these programmes – which means that they are doing these shipments outside the programmes and without any duty benefits – just to increase the share of their market in US.

    Exports of Denim Apparel to US Under Special Programmes : 2010 -2011

    Programme Name

    Country

    2010 (Value in ‘000 USD)

    2011 (Value in’000 ‘ USD)

    Percentage Change

    AGOA (excluding GSP)

    Lesotho

    88,353

    110,800

    25.40%

     

    Kenya

    31,206

    31,091

    -0.40%

     

    Mauritius

    25,183

    18,061

    -28.30%

     

    Swaziland

    9,699

    13,643

    40.70%

     

    South Africa

    1

    0

    -39.90%

     

    Madagascar

    0

    0

    N/A

     

    Botswana

    0

    0

    N/A

     

    Tanzania

    0

    0

    N/A

     

    Ghana

    0

    0

    N/A

     

    Malawi

    0

    0

    N/A

    .

    Uganda

    258

    0

    -100.00%

    Subtotal – AGOA (excluding GSP)

     

    154,700

    173,596

    12.20%

    Andean Act (ATPA)

    Colombia

    69,609

    9,457

    -86.40%

    .

    Bolivia

    0

    0

    N/A

    .

    Ecuador

    10

    0

    -100.00%

    .

    Peru

    713

    0

    -100.00%

    Subtotal – Andean Act (ATPA)

     

    70,333

    9,457

    -86.60%

    Australia- U.S.

    Australia

    5

    18

    296.30%

    Bahrain-U.S.

    Bahrain

    2,793

    1,832

    -34.40%

    CBTPA

    Dominican Rep

    0

    0

    N/A

     

    Nicaragua

    0

    0

    N/A

     

    Jamaica

    0

    0

    N/A

     

    El Salvador

    0

    0

    N/A

     

    Haiti

    0

    0

    N/A

     

    Costa Rica

    0

    0

    N/A

     

    Guyana

    0

    0

    N/A

     

    Guatemala

    0

    0

    N/A

     

    Honduras

    0

    0

    N/A

     

    Belize

    0

    0

    N/A

    Subtotal – CBTPA

     

    0

    0

    %

    Chile- U.S.

    Chile

    4,090

    1

    -100.00%

    DR-CAFTA

    Nicaragua

    55,321

    105,906

    91.40%

     

    Guatemala

    62,718

    70,275

    12.00%

     

    Dominican Rep

    12,207

    13,714

    12.40%

     

    Honduras

    8,387

    1,484

    -82.30%

     

    El Salvador

    13

    2

    -83.70%

    Subtotal – DR-CAFTA

     

    138,645

    191,382

    38.00%

    Israel- U.S.

    Israel

    2

    1

    -62.60%

    Jordan-U.S.

    Jordan

    49,094

    54,111

    10.20%

    Morocco- U.S.

    Morocco

    5,446

    873

    -84.00%

    NAFTA

    Mexico

    986,151

    1,082,761

    9.80%

    .

    Canada

    9,372

    2,893

    -69.10%

    Subtotal – NAFTA

     

    995,524

    1,085,654

    9.10%

    Without Programme

    China

    1,346,199

    1,226,658

    -8.90%

     

    Bangladesh

    404,314

    405,960

    0.40%

     

    Cambodia

    178,083

    173,006

    -2.90%

     

    Vietnam

    150,975

    157,542

    4.40%

     

    Pakistan

    132,141

    138,555

    4.90%

     

    Indonesia

    62,185

    72,956

    17.30%

     

    Sri Lanka

    67,260

    59,661

    -11.30%

     

    Italy

    46,649

    42,696

    -8.50%

     

    Nicaragua

    37,770

    42,257

    11.90%

     

    India

    42,405

    41,110

    -3.10%

     

    Philippines

    45,121

    31,706

    -29.70%

     

    Colombia

    3,090

    30,158

    876.00%

     

    Mexico

    30,459

    29,540

    -3.00%

     

    Tunisia

    15,551

    19,939

    28.20%

     

    Haiti

    16,576

    17,634

    6.40%

    Subtotal – Without program

     

    2,578,779

    2,489,379

    -3.50%

             

    Oman-U.S.

    Oman

    2

    67

    2913.50%

    Peru-U.S.

    Peru

    862

    1,362

    58.00%

    Singapore- U.S.

    Singapore

    0

    0

    N/A

    W. Bank, Gaza & Qualifying Ind Zones

    Egypt

    187,805

    190,141

    1.20%

     

    Jordan

    291

    76

    -73.80%

     

    Gaza Strip

    0

    0

    N/A

    Subtotal W. Bank, Gaza & Qualifying Ind Zones

     

    188,096

    190,217

    1.10%

    Subtotal

     

    4,188,370

    4,197,950

    0.20%

    All Other:

     

    55,824

    44,247

    -20.70%

    Total

     

    4,244,193

    4,242,196

    0.00%

    Under Special Programmes   39.24% 41.32%  
    Without Any Programme   60.76% 58.68%  

    As we can see from the table above, there is almost no change when we see the value of the imports to USA including the special programmes. The exports under special programmes has risen by a few % points whereas those without any programmes have gone down . The shipments under various special programmes is about 40% and without these programmes is about 60% .

    Let’s see the values in terms of quantities

    Export of denim apparel quantities from various special regions to USA

    Programme Name

    Country

    2010 (million pcs)

    2011 (million pcs)

    Percentage Change

    AGOA (excluding GSP)

    Lesotho

    15.6

    15.8

    1.30%

     

    Kenya

    6.4

    4.9

    -23.40%

     

    Mauritius

    2.5

    1.6

    -34.00%

     

    Swaziland

    2.0

    2.3

    15.70%

     

    South Africa

    0.0

    0.0

    -70.00%

     

    Madagascar

    0.0

    0.0

    N/A

     

    Botswana

    0.0

    0.0

    N/A

     

    Tanzania

    0.0

    0.0

    N/A

     

    Ghana

    0.0

    0.0

    N/A

     

    Malawi

    0.0

    0.0

    N/A

     

    Uganda

    0.1

    0.0

    -100.00%

    Sub-Total AGOA 26.60 24.70 -7.17%

    Andean Act (ATPA)

    Colombia

    6.5

    0.8

    -88.00%

     

    Bolivia

    0.0

    0.0

    N/A

     

    Ecuador

    0.0

    0.0

    -100.00%

     

    Peru

    0.1

    0.0

    -100.00%

    Sub- Total Andean 6.6 0.8 -88%

    Australia- US

    Australia

    0.0

    0.0

     

    Bahrain-US

    Bahrain

    0.6

    0.2

    -60.60%

    Chile- US

    Chile

    0.5

    0.0

    -100.00%

    DR-CAFTA

    Nicaragua

    9.5

    14.9

    56.50%

     

    Guatemala

    4.7

    4.9

    4.50%

     

    Dominican Rep

    1.3

    1.2

    -3.70%

     

    Honduras

    1.8

    0.4

    -76.80%

     

    El Salvador

    0.0

    0.0

    -73.10%

    Sub Total DR-CAFTA 17.40 21.55 23.86

    Israel- US

    Israel

    0.0

    0.0

    -66.70%

    Jordan-US

    Jordan

    6.8

    6.4

    -5.70%

    Morocco- US

    Morocco

    0.3

    0.0

    -82.40%

    NAFTA

    Mexico

    128.5

    124.8

    -2.90%

     

    Canada

    0.3

    0.1

    -65.90%

    Sub-Total NAFTA 131.3 124.9 -5%

    No program

    China

    192.2

    150.6

    -21.60%

     

    Bangladesh

    82.3

    65.8

    -20.00%

     

    Cambodia

    24.5

    20.5

    -16.20%

     

    Vietnam

    22.4

    19.5

    -12.70%

     

    Pakistan

    21.6

    17.8

    -17.60%

     

    Indonesia

    9.8

    9.6

    -2.70%

     

    Sri Lanka

    9.4

    7.0

    -24.80%

     

    Italy

    1.7

    1.5

    -11.90%

     

    Nicaragua

    9.8

    9.2

    -6.60%

     

    India

    5.8

    4.7

    -18.40%

     

    Philippines

    5.3

    3.6

    -33.10%

     

    Colombia

    0.2

    2.5

    1053.00%

     

    Mexico

    3.1

    2.6

    -15.10%

     

    Tunisia

    0.5

    0.6

    13.70%

     

    Haiti

    2.2

    1.8

    -21.50%

    Sub Total : No Programme

    390.77

    317.24 -18.82%

    All Other:

    12.1

    3.5

    -43.30%

    Oman-US

    Oman

    0.0

    0.0

    Peru-US

    Peru

    0.1

    0.1

    Singapore- US

    Singapore

    0.0

    0.0

    N/A

    W Bank, Gaza & Qualifying Ind Zones

    Egypt

    27.4

    22.4

    -18.40%

     

    Jordan

    0.1

    0.0

    -43.00%

     

    Gaza Strip

    0.0

    0.0

    N/A

    Subtotal W Bank, Gaza & Qualifying Ind Zones

     

    27.5

    22.4

    -22.76%

    Total Quantity (in Million pcs)

     

    611.95

    521.84

    -14.72%

    % Under special Programmes 36.15% 39.23%
    % Without Programmes 63.85% 60.79%  

    In terms of quantity , we can see that the shipments under special programmes have increased by about 3% at the expense of non-programmes countries. The total shpments of denim apparel to US has however fallen by about 14% in 2011 as compared to 2010. This is substantial and tells the situation of the US market.
    Some regions like Colombia, Mexico and Nicaragua are worth noting because these regions are making shipments under both special programmes and without. The shipments made without the programmes indicates that the countries can buy fabrics from anywhere and ship to US – thus indicating a market for fabrics from areas outside the special regions.

  • China Denim Exports : 2000-2011 , Quantities, Prices ,Suppliers etc

    Here is our latest in the series of  subscriber reports for  China :

    1. Table for import quantities, prices and values of all denim apparel from China into US from 2000-2010.
    2. Graph of  prices denim apparel from China into US from 2000-2010.
    3. 3 large suppliers of denim apparel from China and their contacts and some of their buyers’ details.
    4. Table for import of denim apparel into China from Jan – Oct 2011 as compared to the same period last year .
    5. Table for import quantities, prices and values of men’s denim jeans from China into US from 2000-2010.
    6. Table for import quantities, prices and values of women’s denim jeans from China into US from 2000-2010.
    7. Table for Export figures of denim fabrics from China to US from 2000-2010 – prices, values and quantities.
    8. Table for Export figures of denim fabrics from China to US for Jan-Oct 2011 as compared to same period last year. The prices, for example ,  increased 41% 
    9. Top denim apparel exporting countries from around the world to US in 2010 . How China compares with other countries like Bangladesh , Mexico and others and their relative shares.

    China has been the largest supplier of denim apparel to US in the last few years. It had displaced Mexico as number 1 supplier . Though China is currently facing problems of increased costs , it still remains the undisputed leader in this product and is still growing its share of denim supplies to the US and the EU. Lets see how China has fared over the last few years [private_special]

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    Year

    Quantity

    Value (million USD)

    Av. Price
    (per piece in USD)

    2010 (Jan – Oct)

    164 million pcs

    $1,193.55

    7.27

    2011 (Jan – Oct)

    126.91 million pcs

    $1064.54

    8.38

    Change%

    -23.17%

    -10.81%

    +15%

    Due to economic recession in US, the imports have gone down dramatically and we can see that the denim apparel imports have reduced by about 23% in (Jan to Oct) 2011 as compared to the same period in 2010. However, due to increased cotton prices , the average prices have increased by 15%.. The decrease in imports from China , though affected by poor economic condition in US, is more than the fall in imports from other countries like Vietnam , Bangladesh and Cambodia signifying that somewhere China is losing its competitiveness compared to these countries.

    image

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    China is much more stronger in women’s denim jeans apparel as compared to the Men’s denim . It is reflected in the volumes of exports and the exports of women’s denim apparel is about 3 times that of men’s denim.

    Lets see how China is exporting its denim fabrics into US.

    image

    Exports for the period Jan-Oct 2011 for Denim Fabrics

    Year

    Quantity
    (in million sq mtrs)

    Value (million USD)

    Av. Price (per sq mtr)

    2010 (Jan – Oct)

    10.86

    $18.02

    1.65

    2011 (Jan – Oct)

    8.01

    $18.81

    2.34

    Change%

    -26.24%

    -4.38%

    +41.81%

    The exports of denim fabrics from China has also reduced when we compare the period of Jan-Oct 2011 vs the same period in 2010. The average prices , though , have increased by over 41% du to cotton impact . It should be noted that the quantities and prices are in sq mtrs .

    Lets see where China stands when compared to other countries regarding the exports of denim apparel into US for the year 2010. China stands at the first number with a volume of about 192 million pcs exported to US and has about 31% share of the US market and it is more than the entire Latin America’s share of about 31%.. Mexico has about 21% share of the market and Bangladesh is fast catching up with about 13% share and which is likely to increase. If Bangladesh gets the duty free benefits to US , it is likely to increase its share substantially …

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    Some Denim Apparel Suppliers from China

    So who are some of the important suppliers of denim apparel to US from China . Lets have a look at some of them :

    1.Guangdong Textile Import & Export Cotton Mfd. Goods Co. Ltd.

     

    Guangdong textiles import &export cotton manufactured goods company limited is about the largest export enterprise in Guangdong province .Guangdong Textiles Import & Export Corporation (Group) is a leading foreign trade enterprise in China with 50-year experience in the field. It has gained a near-to-top position in the ranking of China`s 500 biggest enterprises in terms of value of import and export.
    Some of the customers this company is supplying to in US are :
    image

    Forever 21 is an American chain of clothing retailers throughout the United States, Canada, Singapore, Indonesia, Malaysia, United Arab Emirates, Jordan, Oman, Kuwait, Saudi Arabia, Bahrain, Thailand, China, South Korea, Japan, Puerto Rico, Philippines and soon the United Kingdom & Republic of Ireland offering fashion and accessories for young women and men. Forever 21 typically serves the same audience and competes with Urban Outfitters, Wet Seal, H&M, New Look and Charlotte Russe.

    Revise clothing wholesales women`s & children`s clothing; wholesales men`s & boys` clothing Uniforms, Swimwear, Athletic wear, Tshirts, Waistcoats, Clothing, Slacks and trousers and shorts, Shirts and blouses, Sweaters, Coats and jackets, Suits, Dresses and skirts and saris and kimonos, Overalls and coveralls, Folkloric clothing, Undergarments, Hosiery, Clothing accessories, Nightwear etc.

    2.Wuxi Good Union Textile Company Limited.

    image

    Wuxi Good Union is mainly supplying to buyers like Swat Fame Inc and Loyaltex Fashion Inc. in USA.

    Swat Fame has offices in Los Angeles and New York and designs and manufactures denim, sportswear, and dresses for juniors, girls, missy, and women`s contemporary markets. Speechless is its top brand, alongside other sellers Bu from Malibu, Corey P, Kut from the Kloth, See Thru Soul, and Underground Soul. Swat Fame`s collections are sold through US department stores, including Bloomingdale`s,Dillard`s, Von Maur, Buckle, Windsors, Arden B.,Macy`s,Nordstrom,J. C. Penney, and Kohl`s, as well as through specialty retailers such as Charlotte Russe.

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    3.Guangzhou Light Holdings Stationery And Sports

     
    Founded in 1956, as one of the forerunners of Import & Export Companies in China, GZLI is experienced in import and export trade, domestic distribution, OEM & ODM manufacturing as well as transportation, warehousing and advertising. Being awarded as one of the biggest 200 export companies in China. It had a revenue of over $500 million in 2005.

    image

    Some of their buyers are Wicked Fashions , Revise clothing and Today’s Apparel.

    Wicked Fashions, Inc. designs, manufactures, and markets apparels for men and women.

    [/private_special]

  • Vietnam : Denim Exports To EU /US ,Main Suppliers etc

    Subscriber Report Contents:

    a) Denim Apparel exports from Vietnam to US : 2000-2010
       table showing including values, quantities and prices. For 2011, the same details for Jan – Sept are provided in comparison to same period in 2010
    b) Men’s Jeans exports from Vietnam to US : 2000-2010 table including values , quantities and prices.
    c) Women’s Jeans – with same details as b above. 
    d) It would be interesting to see how denim fabrics from EU are being routed to Vietnam for garment production. The volumes were low till 2007 but suddenly picked up and have again showed a slowdown in 2011. Some details on the volumes and prices of such EU denim fabrics being converted into apparel in Vietnam.
    e) 4 large denim apparel exporters from Vietnam – Brief details of their contacts and at least one of their customers in US.
    f) Denim Jeans imports into EU from Vietnam for 2007-2011 including prices, values and volumes.

     

    Vietnam is becoming one of the important centres of production of denim apparel. With China getting more expensive , the regional countries like Vietnam, Cambodia, Laos etc are getting more and more important for apparel manufacturing.

    Lets have a look at how Vietnam has been performing on the front of export of denim apparel to US and to EU.

    Exports of All Denim Apparels Into USA

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    Vietnam is clearly much stronger in women’s denim apparel as compared to men’s. This also indicates that the manufacturing units there have to much more responsive to changes in fashion and respond to quick turnaround requirements of buyers. Lets also have a look at the shipments made from Vietnam of all denim apparel during Jan-Sept’2011 as compared to similar period in 2010

    Shipments from Vietnam to USA Jan – Sept 2010 vs Jan- Sept 2011 of all denim apparel.

    Year Quantity (million pcs) Value (million USD) Av. Price ( USD/ mtr)
    2010 (Jan – Sept)

    17.2

    115

    $6.68

    2011 (Jan-Sept)

    15.1

    119

    $7.78

    Change% -12.2% +3.5% +14.74%

    In line with trends in export reduction from the world to US (for denim apparel) , the exports from Vietnam have also shown a decline and have simultaneously increased the average price due to cotton price impact.

    The denim apparel companies are not only using denim fabric from different countries from around the world but also from EU27. Lets have a look at the figures of denim fabrics from EU with their prices, quantities and values into Vietnam from 2007 to 2011

    Import of Denim Fabric From EU27 into Vietnam

    Year Quantity
    sq mtrs
    Value (million Euros) Av. Price
    (Euro/ sq. mtr)
    2007 94,000 0.46 4.95
    2008 374,000 1.87 5.0
    2009 699,000 3.30 4.72
    2010 477,000 1.51 3.18
    2011 (Jan to Aug) 187,000 0.86 4.30

    The shipments of denim fabrics from EU27 to Vietnam seem to have peaked in 2009 and have considerably dropped in 2011.

    Some Exporters Of Denim Apparel From Vietnam

    1.Dong Nai Garment Co.

    image23

    Dong Nai garment co. is a manufacturing unit for Saitex – an important denim apparel company from Vietnam.Saitex consists of three units in different parts of HochiMinh City , Vietnam and 1 in Bangladesh associated with garment manufacturing. Saitex International Inc – Saigon- Hochiminh City is a modern product development centre. Saitex International (Vitenam) Ltd – Dong Nai specializes in the production of denim jeans and cotton twill and corduroy garments.

    image27

    Dong Nai also ships to buyers like Fresh Ink and Fresh Produce Sportswear in US.
    image_thumb44

    Fresh Produce Sportswear is a $50 million company having casual, resort and sportswear lines in America. Creating products for females 6 months to 60-plus , Fresh Produce can be found in Nordstrom, Walt Disney resorts and stores, and over 800 specialty boutiques and resort retailers.

    2.Garment Resource Co. Ltd

    image_thumb63

    Garment Resource Co. from Vietnam ships to buyers like Forever 21 . Forever 21 is an American chain of clothing retailers throughout the United States, Canada, Singapore, Indonesia, Malaysia, United Arab Emirates, Jordan, Oman, Kuwait, Saudi Arabia, Bahrain, Thailand, China, South Korea, Japan, Puerto Rico, Philippines and soon the United Kingdom & Republic of Ireland offering fashion and accessories for young women and men. Forever 21 typically serves the same audience and competes with Urban Outfitters, Wet Seal, H&M, New Look and Charlotte Russe. Headquartered in the City of Los Angeles.
    image57

    3.Saigon 3 Garment Company

    image65

    With over 2,800 employees , Saigon 3 is a large garment company – the company ships to buyers like Levi’s Strauss , Uniqlo USA , JC Penny etc.
    image73

    Uniqlo is one of the big apparel company from Japan. UNIQLO enjoyed superb growth by providing high quality casual wear at remarkably low prices. With over 800 stores in Japan and with the opening of new stores in US, the company is experiencing strong growth . Uniqlo specializes in providing the highest quality of denim products including those made from Japanese denim and retails them at reasonable prices. It also has jeans manufactured in Bangladesh besides other countries like China and Far East.

    4.Hanoi May 19 Textile Group
    image_thumb102

    Contact Person: Mr. Toney Ang
    Telephone :+84-4-38582246
    Fax:+84-4-38582302
    Email: may19woven@hn.vnn.vn

    Hanoi May 19 Textile Group ships to buyers in US including Oshkosh B Gosh Inc.
    image88
    OshKosh B`Gosh is a children`s apparel company founded in Oshkosh, Wisconsin in 1895. It is currently a subsidiary of Carter`s.

  • Bangladesh Denim Exports : Prices, Quantities , Values , Graphs Etc–2000-2011.

    Bangladesh is one of the major exporter of denim jeans and apparel in the world. If fact, it is one of the fastest growing manufacturing base of denim apparel in the world. With duty free benefits to EU and impending duty free benefits to US , this country is already the third largest exporter of denim apparel to US and second largest to EU. The country has among the lowest wages in the world and for sure lowest in Asia. According to ILO report the minimum wages of $58 is the lowest in Asia and the nearest to it are the wages in Vietnam and Laos, the nearest competitors to Bangladesh, at $84. In South Asia, the minimum wage in Pakistan is $229, Nepal $151, India $121, Bhutan $108, Sri Lanka $93, and Afghanistan $89. Asian countries and much lower than that in China , India and other countries. This and availability of skilled labor makes the country very suitable for garment manufacturing.

    Lets have a look at how the denim exports from Bangladesh to EU and US are faring .

    Denim Jeans Exports From Bangladesh to EU 2000-2010

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    Jan – Sept 2010 vs Jan-Sept 2011 Prices , Quantity and Value

    Period Quantity in Million pcs Value is Million Euros Average Price (Euro/pc CIF)
    Jan-Sept 2010 68.22 302 4.24
    Jan- Sept 2011 71.41 363 5.08
    Change % +4.67% +20% +19.81%

    The exports are showing a consistent growth and it is surprising to see the high % of growth of increase in exports to EU in this year when the economy in EU is not doing well.
    Lets look at what has been the break up of men’s and women’s jeans in exports from Bangladesh to EU

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    Note: The details of 2011 in the above two charts represent details for the first quarter .

    We can clearly see that the exports of men’s jeans are much more than that of women’s jeans showing a capability of the manufacturers in Bangladesh to cater better to the jeans for men’s..

    Lets look at the exports to US from Bangladesh of denim apparel :

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    Bangladesh to US
    Jan – Sept 2010 vs Jan-Sept 2011 Prices , Quantity and Value

    Period Quantity in Million pcs Value is Million USD Average Price (USD/pc CIF)
    Jan-Sept 2010 59.98 309 5.16
    Jan- Sept 2011 50.94 316 6.20
    Change % -17.74% +2% +19.81%

    The overall fall in exports of apparel from world to US in 2011 has been about 14.3% and Bangladesh has had a higher % of fall showing that it is not doing as well in the US market as it is doing in the EU. However, with US considering to give Bangladesh duty free benefits on lines similar to AGOA(African Growth Oppurtunity Act) countries in Africa, Bangladesh is sure to increase its exports to US also.

    Lets see the breakup of the exports to US from Bangladesh by mens and womens jeans ..

    image_thumb54_thumb1

    image_thumb65_thumb1

    Note: The details of 2011 in the above two charts represent details for the first quarter .

    We can again see that the exports of men’s denim jeans is more than that of women’s jeans from Bangladesh to USA . This reflects not only on the manufacturing strength in respect of men’s jeans but also shows that either Bangladesh is not very competitive in respect of women’s jeans or is either lacking in the speed and adaptability required to cater to the more fashion oriented women’s denim apparel market.

  • US Denim Imports Fall 14.3% Till August 2011

    us denim imports 2011There has been a general slackness in the denim and other apparel biz in the US since the beginning of the year . As mentioned in one of our previous reports , the fall in imports of denim apparel into US had been high – at about 6.3%  in the first two months of 2011. However, when we look at the figures that have come out for the period of Jan – August ‘2011 , the figures are more disturbing and indicative of a consistent fall in imports. Lets have a look :

    Imports of denim apparel into US from Jan-Aug ‘2010 vs Jan-Aug ‘ 2011

    Imports from 2010 2011 Change %
    World 408 million pcs 350 million pcs –14.3%
    China 132 million pcs 101.6 million pcs -23.5%

    China has shown the most significant fall in export figures and some other countries like Bangladesh, Cambodia etc also follow but in smaller percentages.

    The imports have fallen significantly in 2011 when compared to the same period in 2010.  This fall is significant since we have seen that denim sales have ditched the recessionary pattern in the past  that other apparel products have shown. In 2010 , apparel sales and (correspondingly imports) were falling for most of the products but denim continued to bulldoze its way to growth . This was reflective of the need by consumers to substitute other apparel items (specially trousers) with jeans as jeans is a  ‘Multi Occasion Apparel’ and buying a good pair of jeans actually cuts down the budget of some consumers who wish to substitute a number of other trousers with that jeans.
    However, the consistent fall this year reflects that there is some saturation point reached due to the continuous increased spending on denim . We need to , however, wait till the beginning of next year to see if this falling trend carries off in the next year.
    But there are no huge reasons to worry. Denim has always shown a trend where it surges ahead for 3-4 years and then goes down a bit for about 1 –2 years and then rebounds sharply. So , what we all can do at the moment is keep our fingers crossed and wait for some good news in the coming months.

  • Listing 4 Importers Of Denim Fabrics In U.S.A

    Here we are listing some of the importers of denim fabrics in US who are importing denim fabrics into US for reselling and for converting to apparel on behalf of their customers. We are also listing 1-2 main sources from where they are sourcing their denim fabrics.

    [private_special]

    New Fashion Products

    13344 S MAIN ST
    LOS ANGELES, CA 90061-1637
    Ph: 001-310- 354-0090
    Email : info@newfashionproducts.com

    New fashion products is a company with over 35 years experience in apparel industry. With a production capacity of over 56,000 pieces per week, the company manufactures for clients like Armani Exchange, J. Crew, True Religion, Levi’s, Ann Taylor, Madewell, Habitual and others.
    They also source denim on behalf of their customers. Some of the companies who have been shipping to New Fashion Products are – Orta Anadolu , Bossa and Kipas (Turkey) , TRC (Italy) etc among others.

    Twin Dragon Marketing Inc.

    14600 South Broadway,gardena, Ca90248
    Country: UNITED STATES
    Fax:310.715.7078
    http://www.twindragonmarketing.com

    Twin Dragon is another important buyer of denim fabrics in U.S Twin Dragon Marketing, Inc.�is a California corporation which was established in 1980. Its main focus is the marketing, sales, converting and distribution of denims, twills, corduroys & all kinds of woven stretch fabrics. These fabrics are manufactured in Hong Kong, China, Mexico and the U.S.A. The main lines of products are: Cross-Hatch, Slub, Rigid & Stretch, Streaky Denim, Denim, Stretch Denims & Twills, Cotton Twills and Bull Denims, Corduroys, Velveteens & Satins, Moleskins, Printing & Flocking, plus all kinds of yarn dyed & plaids for casual sportswear . They supply to fabrics and apparel to various companies in US .Twin Dragon has been buying denim fabrics mainly from

    SHOWFRONTS DEVELOPMENT FLAT RM.C1,BLK.C,2 F.,TUEN MUN INDUSTRIAL .CENTRE,2 SAN PING CIRCUIT, TUEN MUN, N.T. HONG KONG PH: 00852-24533888

    The main products they have been buying are related to stretch denim ..

    Shragatex Inc.

    1323, Channing Street, Los Angeles , CA 90021
    USA Ph: 001-310-328-1988/213-622-6222
    Fax: 001-213-623-8500

    Shragatex is an importer of denim fabric and apparel in the L.A. It has been importing fabrics of various kinds including denim . Its one of the main suppliers has been the

    Hebei Xindadong Textiles Printing & Dyeing Co. Ltd
    Add No.349Zhonghua North Street Shijiazhuang , Hebei, China
    Telephone: 86-311-8682-5400/8234 and 86861110
    Fax/Telex:FAX 86-311 86824936/4396
    Email :nzxsb2007@yahoo.com.cn

    Website :www.xindadong.com/en/gsjs.asp

    Fabric Town Inc.

    10268 Santa Fe Springs
    RoadSanta Fe Springs Ca 90670
    UNITED STATES
    Telephone: (562) 789-6900

    Fabric town deals in retailing of denim fabrics in California.
    It has been buying a lot of denim fabrics from Taiwan , specially from

    Tai Yuen Textile Company Limited
    8 Floor No.2, Section 2, Tun Hwa SoTaipei Taipei, Taiwan
    Ph: 886-2-27552222 / 27061277

    Website :
    http://www.taiyuen.com/eng_web/company.p hp

    [/private_special]

  • ASEAN : Exports Of Denim Products To US From 2000-2011

    ASEAN region comprises countries like Brunei, Burma(Myanmar), Cambodia , Indonesia , Laos,  Malaysia, Phillipines , Singapore and Thailand . These countries have been getting important in the denim world . Lets see what denim apparel they are exporting to US and at what prices .

    Here is a snapshot from our data section on the figures of exports to US from ASEAN countries for the last 10 years including the first quarter of 2011.

    US Imports Of Denim From Asean Countries

    Denim Apparel Exports from ASEAN to US

    Average price of Denim Exports From Asean To US

    So , we can see  from the above images that :

    • The total exports from ASEAN to US is almost stable.  However, if we go into individual country exports , we will find that there is a realignment with some countries losing their exports and countries picking up the volumes.
    • The average prices of exports have started to pickup from the last 2 years and specially in 2011 – showing the impact of cotton prices.
    • The first quarter of 2011 has not been very good and the volumes are below the average of previous year. This reflects the trend of falling denim exports to US.
  • Price Of Denim Jeans Imports in 2011: How Much Affected By Cotton Prices?

    cotton price copy We all know that cotton prices have been killing the textile industry till a few months back . The unrelenting rise in the price of cotton had led to the increase in fabric prices for most of the garment factories and hence ultimate buyers.  The fabric prices were increased by almost each denim mill and sometimes to the tune of 50% or more .  The apparel buyers  and retailers had no option but to bear the increased costs.
    However, the prices at the retail level in the major markets of US and EU did not undergo or reflect the changes in the costs. So , how much was the actual increase in prices for denim apparel shipped to US ?

    The major impact of these increased prices has been visible in the shipments made in the first few months to the US and the EU .  It would be interesting to see how the prices of imports were affected in the first few months of 2011 (January to April) compared to the average prices in 2010.

    Import of Denim Apparel Into USA – 2010 and 2011 (Jan-April)

    From Price (US$/pc)
    2010
    Price (US$/pc)
    2011  Jan- April
    Difference
    World

    7.15

    7.71

    +7.26%

    China

    7.27

    7.9

    +8.66%

    Pakistan

    6.44

    7.48

    +16.1%

    Vietnam

    7.05

    7.74

    +9.78%

    We can see from the above table that the average increase in the prices of imports of all denim apparel from around the world into US is 7.26%       .   But when we see individually , we find that the increase in prices is different from different countries . The increase in prices from Pakistan was the maximum with the prices in first four months of 2011 crossing the prices in 2010 over 16% !
    Other important countries too had their share of increase in prices . But if we really see , the increase in prices of apparel is still not justifying the increase in fabric prices – which increased at places by even more than 50%

    This shows that the various players in the supply chain have absorbed part of the increase in prices . There is also a possibility of impact of cost reduction measures taken at various levels of production and sourcing.

    We have also seen that the retail prices in US did not show much of increase and as a result some of the retailers like Gap have to suffer huge loss of income . Now, with the prices of cotton crashing by over 40% , it remains to be seen how the prices of apparel will move. Will these retailers be pressurizing their suppliers to reduce prices significantly to cover their own losses. Will the sourcing price of denim apparel fall to below pre cotton increase levels ?
    It remains to be seen. However, the lesson that can be drawn from the entire episode are  that  :

    • There is a constant need to monitor the possibilities of supply chain efficiencies to reduce costs of production . Companies should not wait for events like sudden increase in raw material increase to focus on this aspect.
    • The prices at the consumer level are very difficult to increase especially when the economies are not in that great a shape.
    • Innovative products are the only way to get higher margins from the market and basic products will always be under price pressures.
  • Denim Apparel Imports Into US Continue To Fall In 2011

    Roller Coaster Denimy As we mentioned in our previous report on last quarter imports in 2010 , the denim apparel import continues to fall in the first 2 months of 2011. The fall is not small  –at about 6.3% – compared to the same period  in 2010. The fall is even more when one considers that the last quarter of 2010 , the imports had fallen by 6.8% .

    Period 2009 2010 2011 Fall %
    Oct – Dec 157 million pcs 148 million pcs   -6.8%
    Jan – Feb   74.5 million pcs 69.8 million pcs -6.3%

    This fall is even more surprising when we consider that retail sales of clothing in US is not falling and had in fact increased in the last quarter of 2010 by about 5% .

    What could be the possible reasons for this fall of denim imports ?

    There could be a number of reasons for this continued decrease in imports of denim jeans and apparels into US . Some of these could be :

    • The rising price of cotton had the max impact on the jeans costing and forced retailers to promote other bottoms as they were not really able to pass on the price increase to the consumers.
    • The continued boom in denim consumption in the last three years has peaked out and is in a consolidation phase where inventories need to cleared from the system.
    • The recession in US and EU had actually helped increase the sales of jeans since jeans are a- MOG- “Multiple Occasion Garment” -ie they can be worn on various social and even official occasions . Thus it made economic sense for consumers to buy jeans compared to other bottoms. Hence the increased sales of denim in past few years cannabalised on the sales of other bottom products.
    • The competing products of denim like piece dyed bottoms , corduroys have been suffering as compared to denim when it came to consumer choice . Is there time coming back ????

    Whatever the actual reason , it seems likely that the fall in consumption in jeans will continue this year. The industry needs to brace up for the situation in the short term . However,  there no long term worries as Denim is an Evergreen product and it only seems to be a correction phase.

    amefird leaders in denim threads

  • 2010 :Increase Of 14% In Imports Of Denim Jeans Into USA During First Half

    US is the most important market for denim jeans exporters around the world. Any changes in demand in US affects a number of exporters worldwide . With the recession having hit US , the demand for most textile and related products had taken a hit . Luxury goods imports had been particularly hit . However, if we see the trend of denim imports over last 2-3 years , we find that that it has been mostly positive and quite encouraging in the current economic scenario. The year 2010 has seen a marked increase of over 14% in imports of these items into the US as compared to last year with both Mens/Boys and Womens/ Girls jeans showing a vast increase in imports over the same period last year . When we speak of Men’s / Boys jeans , they showed an increase of about 12.8% in volumes from 116 million pieces last year to 131 million pieces this year. In terms of prices, the same increased marginally by 1.54% adding icing to the cake . See the table below :

    Import of Mens’/ Boys Jeans & Breeches into US 2009 and 2010

    Year

    Volume

    Av. Price

    2009 (Jan- June)

    116.79 million pcs

    $ 7.01 /pc

    2010 (Jan- June)

    131.76 million pcs

    $ 7.12/pc

    % Change

    +12.81%

    +1.54%

    Source: US Dept of Commerce

    The total Mens/Boys jeans imported into US in the year 2009 was 241 million pieces reflecting that imports in the first half of the year are lower than those in the second half. This normally remains the trend in most of the years . Going by the rate of increase in imports in the first half of this year , we could see Men’s/Boys jeans touching a record import of about 270 million pcs in the year 2010 . It is also interesting to see who are the main exporting countries for Men’s/Boys’ Jeans into US . Let’s have a look at the table below :

    Major Exporters of Men’s / Boys jeans and Breeches to USA (figures in million pieces)

    Country

    2009

    2009 Jan- June

    2010 Jan- June

    % Change

    Mexico

    100.90

    42.98

    48.92

    – 5%

    Bangladesh

    45.52

    16.78

    21.07

    +28.30%

    China

    44.28

    15.33

    19.78

    +26.80%

    Egypt

    14.78

    5.98

    7.04

    +30%

    Pakistan

    14.70

    5.66

    6.48

    +37%

    Nicaragua

    8.29

    2.94

    4.24

    +105%

    India

    2.4

    0.75

    0.82

    +8.9%

    We see from the above table that most of the countries increased their exports of Men’s/Boys’ jeans to USA in 2010. However, certain South American countries like Mexico , Honduras etc suffered reductions in their export figures indicating clearly that the source of jeans is shifting to Asian countries. Mexico, however, remains the largest exporter despite the fall and maintains substantial lead over the second highest exporter – Bangladesh. Bangladesh stands out very strongly as a denim exporter and clearly overshadows its large neighbour – India – in terms of denim jeans exports. India has been poorly lingering at these levels of exports and is clearly non-competitive in terms of pricing and also not being a receipent of tariff and other benefits for imports into US.

    Lets also see if the average prices for exports of jeans has changed in this period from these countries.

    Country

    2009

    2010 Jan- June

    % change

    Mexico

    $ 7.45

    $ 7.31

    -1.88%

    Bangladesh

    $ 4.91

    $ 5.08

    +3.46%

    China

    $ 7. 64

    $ 7. 74

    +1.31%

    Egypt

    $ 6.82

    $ 6. 86

    +0.5%

    Pakistan

    $ 5.42

    $ 5.79

    +6.82%

    Nicaragua

    $ 6.06

    $ 6. 16

    +1.52%

    India

    $ 8.23

    $ 8. 26

    0.36%

    denim import figues

    As we can see from the graph above , Bangladesh is the cheapest source of denim jeans to USA . On the other hand , ironically , China is one of the most expensive country exporting denim jeans to US. The costs in China have been continuously rising and with their currency not remaining as favourable as it was before , China will not be looked upon as a source of cheap denim garments. However, it is also a fact that there is a renewed emphasis in the Chinese textile industry to move up the value chain and it is showing in their export figures as more and more value added garments are added. Pakistan got the highest increase in prices of 6.82% over 2009 on top of 37% increase in volumes and strengthened its place among the Men’s denim market in US .

    Now , lets also have a look at the figures related to imports of Women’s/ Girls denim jeans into USA during 2009 and 2010.

    Import of Women’s/ Girls’ Denim Jeans and Breeches Into USA

    Year

    Volume

    Av. Price

    2009 (Jan- June)

    110.86 million pcs

    $ 7.04 /pc

    2010 (Jan- June)

    129.10 million pcs

    $ 6.98/pc

    % Change

    +16.50%

    -0.90%

    The imports of the Women’s/Girls’ denim jeans into US have shown even more robust growth in the first half of the year with a whopping 16.%% increase over the same period in 2009. This growth trend in both the segments is indicative of strong growth in demand and sales in US for the entire denim sector. Though the prices of the women’s denim showed a slight decrease of 0.90%, it hardly dampens the positive sentiment on this front. This trend is expected to continue over the whole year and , like Mens/Boys jeans, expected to produce record import figures this year.
    It would be interesting to see where this increase in denim imports is mainly coming from :

    Imports of Women’s / Girls’ Denim Jeans and Breeches into US 2009-1010

    Country

    2009

    2009 Jan- June

    2010 Jan- June

    % Change (Jan-June)

    China

    115.72

    41.95

    60.70

    +44.70%

    Mexico

    27.09

    10.94

    11.32

    +3.5%

    Bangladesh

    23.14

    7.98

    10.64

    +33.38%

    Egypt

    14.72

    6.82

    5.97

    -12.47%

    Vietnam

    16.32

    7.78

    6.70

    -13.86%

    Cambodia

    11.07

    5.23

    6.02

    +15.13%

    Pakistan

    6.92

    2.94

    2.67

    -8.9%

    India

    4.17

    1.34

    1.62

    +20.53%

    As we can clearly see from the table above, China is totally dominating the scene when it comes to the jeans in the women’s category. It already has a share of close to 40% (of imports ) and which it is adding on to rapidly with a growth of 44% in 2010 export figures over last year. Women’s denim is high fashion oriented with smaller lead times , a large number of styles and washes which change frequently .. China’s dominance in this segment clearly indicates its strength in catering to these market needs and demands . Besides China the other countries showing great volumes and growth are Bangladesh and Cambodia. Vietnam and Egypt are also high volume exporting countries – though it seems that both have suffered a temporary setback in exports during 2010. Pakistan is not very strong in the women’s denim and India is again at the bottom of the table with hardly any impressive figures.

    To understand how prices are moving in a continuum over the last year , lets compare the prices of the whole year 2009 with those in the first half of year 2010.

    Prices of Women’s/ Girls denim jeans during 2009 and 2010

    Country

    2009

    2010 Jan- June

    % change

    Bangladesh

    5.27

    4.96

    -5.82%

    Mexico

    9.25

    9.31

    +0.60%

    China

    7.04

    6.92

    -1.79%

    Egypt

    6.30

    6.73

    +6.82%

    Pakistan

    6.31

    6.49

    +2.84%

    Vietnam

    5.50

    6.46

    +17.63%

    Cambodia

    7.47

    7.22

    -3.38%

    India

    7.43

    7.04

    -5.32%

    A look at the figures of prices from various countries throws up interesting facts. Jeans from Mexico are the highest priced , expectedly , as it provides enables turnaround and serves the quick fashion category. A large number of brands like to push products into the market quickly by getting them manufactured in nearby countries like Mexico and then based on customer response, place the repeat orders (with longer lead times ) in countries like China or Bangladesh. Bangladesh again remains the cheapest source followed by Vietnam and Egypt . Vietnam has shown a strong performance with a 17% increase in prices over last year .

    On the whole, the denim scenario in US seems quite positive in the near term. Coming during these recessionary times , this performance is highly encouraging and bodes well for the industry . However, it also needs to be noted that denim sales are actually cannibalizing on the sales of other non-denim products as consumers are looking for clothing which they can use at multiple occasions to reduce their overall expenditure. As the economy improves significantly , we may , ironically , see some negative impact on sales of denim jeans into US.

    jobs denim

  • 35% Fall In Denim Fabric Imports In USA in 2009 – A report

    The first half of this year ( period Jan-May 2009) has seen a drop of 34% in the imports of Denim Fabrics into US. This is surprising if we consider that the sales of Jeans in during this period has actually increased by 2.3 %.

    But as mentioned in this previous report , sales Super of Premium Denim Jeans ( $200 + Jeans) in the US has taken a knock. And the same is reflected in lower production of Premium Denim Jeans in US and thus lower imports of denim fabrics . Lets analyze these figures :

    Consolidated Data for Denim fabrics:

                                        Jan-May 2008            Jan- May 2009

    Imports in US

    (Linear mtrs)         13 Million Mtrs          8.6 Million Mtrs

     

    Here I am giving the figures of  denim fabrics reflecting the exports of Denim Fabrics from various countries during this period.

     

    Imports of Denim Fabrics In USA in Jan- May 2009

    Country Jan-May 2008 Jan-May 2009 %Change
    (Figures   in 1000 mtrs )  
    China 4,362 2,568 -41%
    Italy 2,085 1,022 -46%
    Taiwan 1,720 1,903 +10%
    Mexico 1,639 1,682 +3%
    Turkey 1,505 305 -80% !
    Japan 456 540 +18% .Good !
    Slovenia 397 0 -100% !
    Bahrain 373 203 -45%
    Pakistan 140 16 88%
    Spain 87 10 -89%
    Hong Kong 56 10 -81%
    Indonesia 88 0 -100%
    India 16 43 +161%

    Source: U.S. Department of Commerce and the U.S. Int’l Trade Commission.However
    square mtr figures have been converted to Linear mtrs(1m=1.55sq m average) for easy understanding.

    This fall in the imports of Denim fabrics into US coincides with an increase

    in sales of Jeans. This can indicate the following:

    a) Manufacturing of Premium jeans in US has taken a knock.
    b)Some of the Premium Denim Brands may have actually shifted part of their productions overseas to reduce costs.

    It is also interesting to see that where countries like China , Italy  and Turkey have lost substantial volumes, others like  Taiwan, Mexico and Japan have gainedHere, however, it should be noted that Premium Denim brands have a marked preference for Japanese denim fabrics . However, these fabrics may not always come directly from Japan only.They are sometimes  routed through China and Hongkong also .

    Taiwan is a quiet but regular exporter of denim fabrics. It does not figure anywhere as a large denim manufacturing country  , but it does manufacture very specialized denim fabrics and US has always been its regular buyer . And for the last few years, Premium Denim manufacturers have been using its fabrics in volumes.

    Italy and Turkey are two other major countries to have their exports reduced.  However, with improving market in US, their exports might pick up a bit.

    Other countries are really so small in their export figures that % changes in their figures hardly make a difference.

     

  • Report on Imports of denim jeans into USA in 2007 & 2008 – a comparison

    Has the impending recession affected the imports of Denim into USA? Apparently no – if we go by the figures that have come. The imports of jeans into US has increased by 5% for the three quarters ended September 2008 as compared to the same period last year. It is also interesting to note that the increase has been uniform in both the Mens/Boys and Womens/Girls Jeans.

    Figures of Imports of Jeans into USA in 2007 and 2008

    Particulars
    2007(million pcs)

    2008(million pcs)
    Men’s/Boys Jeans
    1st qtr 49.38 43.99
    2nd qtr 68.55 73.60
    3rd qtr 84.62 94.58
    Total (3 qtrs) 202.55
    212.17 (+5%)
    4th qtr 71.44
    Grand Total 273.99
    Women’s/Girls Jeans
    1st qtr 46.27 42.78
    2nd qtr 66.52 62.46
    3rd qr 76.99 92.7
    Total (3 qtrs) 189.78
    197.94 (+5%)
    4th qtr 59.98
    Grand Total 249.76

    Source:US customs

    These figures seem to defy logic as we get continuous reports of falling consumption levels in US esp since the first quarter of 2008 showed reduced imports and we have seen the growth come only in 2nd and 3rd quarters. But we still have one quarter left in 2008 and we might see some fall here. Another possibilty is that the imports of cheaper denims might be slowly replacing that of more expensive ones and it might be causing some shift in volumes to the former category and affecting overall volumes positively. But I am sure that in the coming quarters we will see some impact of the recession on the imports of Jeans into US..

    Related Posts:

    US Denim imports in 2007 & 2006