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Textile and Clothing Export Trends 2009-2013:

Is China giving space to rest of the world?


Dr. Muhammad Mushtaq Mangat

Abstract
The international textile and clothing exports were US $ 527 billion in 2009 and US $
766 billion in 2013. 45.6 % growth was observed during the last five years. If the
growth continued, it is expected that in 2016, it would exceed US $ 1,000 billion. For
many years, experts had been discussing the future role of China in textile and
clothing industries. Most popular opinion was that China was increasingly leaving the
textile and clothing industries and moving on to hi-tech products. This study shows
that the data issued by WTO does not support this opinion. Data shows that China is
continuously increasing its share in the international market and it is not providing
space to rest of the world. In 2009, China had 41.1% share in clothing and in 2013,
share of China1was 44.5%. After China, Italy was next in clothing exports with only
6.21% and 5.11% shares in 2009 and 2013 respectively. This shows the tilt of the data
and huge gap between top two exporters. Current trends prove that China is not giving
any space to the rest of the world and gap will increase every year in spite of
increasing wages and strict environment control laws in China. It seems that China
managed increasing input costs and still enjoys leading role in the international
market. Considering this fact, it can be concluded that China will keep on enjoying its
approximately 50% share in textile and clothing business on international level.

China including Hong Kong

Introduction
As per report of WTO, total exports on international level of all sorts of commodities
were US $26,453 billion and US $38,861 billion in 2009 and 2013 respectively.
Table 1 shows that WTO has divided international commodities trade in 17
categories. It is obvious from Table 1 that manufactured goods have highest share
(30.49%). After manufacturing sector, machinery and transport equipment is second with
15.27% share in 2013. Fuel business is third with 10.29% share. Textile and clothing has

minor share in the international market, which was only 1.99% in 2009 and 1.97% in
2013. The data further shows that agriculture sector has 4.47% market share in 2013,
which is roughly double as compared to textile and clothing industries.

As per data provided by Pakistan Trade Development Authority (PTDA), textile and
clothing has more than 60% share in Pakistan's international exports and this sector is
the largest manufacturing sector in Pakistan. On the other hand, textile and clothing
has least share in the international trade. This is the point, which Pakistan needs to
rethink while making and implementing the trade policies. The Pakistan Government
has always been giving best offers to textile and clothing industries. Textile and
clothing industry of Pakistan is playing a major role in exports of Pakistan but when it
is compared with other countries, performance of textile and clothing industries of
Pakistan have been quite dissatisfactory. Discussion about the reasons of poor
performance is out of the scope of this report. This report is an effort to explain the
trends in the international textile and clothing businesses.

Global textile and clothing exports 2009-2013


Total global textile exports were US $211 billion and US $306 billion in 2009 and
2013 respectively. Clothing exports were US $316 billion and US $460 billion in
2009 and 2013 respectively. It is already mentioned that the share of textile and
clothing industries is currently less than 2% of the total global exports. Trade
Development Authority of Pakistan (TDAP) reported that total exports of Pakistan
2012-2013 were US $24.46 billion, which is only 0.06% of the total global exports. It
means that the share of Pakistan in international market is negligible.

Textile and clothing exports of Pakistan have a significant share in total exports of
Pakistan. As stated by TDAP, in 2012-13, textile and clothing had a 52.4% share in
total exports of Pakistan. We must note the fact that textile and clothing industries are
major industries of Pakistan but they only had 1.97% share in the international market
in 2013, which meant that Textile and clothing industries, despite being our major
industries, have minor impact on the total international exports and turnover.
Table 1 Export of All Commodities at International Level: 2009 and 2013
(Million US$)
Year
Agricultural products
Food
Fuels and mining products
Fuels
Manufactures
Iron and steel
Chemicals
Pharmaceuticals
Machinery and transport equipment
Office and telecom equipment
Electronic data processing and
equipment
Telecommunications equipment

2009
1,182,305
1,002,366
2,272,247
1,813,061
8,362,923
326,201
1,461,714
438,078
4,207,708
1,321,517

2013
1,744,833
1,456,682
3,996,976
3,257,538
11,848,002
454,032
2,001,181
521,700
5,932,174
1,750,113

Share%
2009
4.47
3.79
8.59
6.85
31.61
1.23
5.53
1.66
15.91
5.00

Share
%2013
4.49
3.75
10.29
8.38
30.49
1.17
5.15
1.34
15.27
4.50

461,618
504,602

543,127
669,579

1.75
1.91

1.40
1.72

office

Integrated circuits and electronic components


Transport equipment
Automotive products
Textiles
Clothing
Total

355,297
1,371,879
844,075
211,109
316,411
26,453,111

537,407
2,033,410
1,347,798
305,898
460,268
38,860,718

1.34
5.19
3.19
0.80
1.20
1.99

1.38
5.23
3.47
0.79
1.18
1.97

Clothing Exports Trends 2009-2013


Comparison of the data collected in 2009 and 2013 shows the share and growth rate
of different countries in textile and clothing exports. In 2009, total export of clothing
was US $ 316.41 billion and US $460 Billion in 2013. Clothing exports increased by
45% over the five-year period. This is a tremendous increase and it can be predicted
that in 2016, this figure will be more than US$ 1 trillion. Clothing sector is important
for developing countries. Table 2 depicts that developing countries have more than
60% share in clothing exports. Any positive change in clothing exports will
significantly affect the economies of the third world countries. Clothing industry is
more labor intensive and less capital intensive. It helps in developing several smallscale industries and creating a lot of employment opportunities.
S No.

Reporter

2009

2010

2011

2012

2013

World

316411

353415

417724

422573

460268

China

107264

129820

153774

159614

177435

Hong
Kong,
China

22826

24049

24505

22573

21937

Italy

19638

20122

23273

22166

23735

Germany

16978

17303

19461

17473

18409

India

12005

11229

14672

13833

16843

6
7
8
9
10
11

Bangladesh

11892

14855

19214

19788

23501

Turkey

11556

12760

13948

14290

15408

France

10120

10066

11050

10340

11046

Viet Nam

8540

10390

13149

14443

17230

Belgium

8481

7808

9042

7822

8584

Spain

7129

7151

9628

9983

11543

12
13

Netherlands

6462

7014

8498

7794

8612

Indonesia

5915

6820

8045

7524

7692

1
2
3
4
5

Share(%) in
2013
33.90
7.21
6.21
5.37
3.79
3.76
3.65
3.20
2.70
2.68
2.25
2.04
1.87

United
Kingdom
United
States
Mexico

14
15
16
17
18
19
20

5199

5488

6564

6846

7527

1.64

4187

4692

5241

5614

5859

4113

4363

4638

4449

4530

Thailand

3724

4300

4561

4275

4100

Denmark

3404

3504

4143

3619

3772

Pakistan

3357

3930

4550

4214

4549

Sri Lanka

3265

3491

4211

4005

4511

1.32
1.30
1.18
1.08
1.06
1.03

The Role of China in Clothing Exports


Many surveys show that China was moving away from clothing industry and towards
producing hi-tech products. Many hi-tech products are manufactured in China
including computers, laptops and scientific equipment etc. But at the same time, we
observe that China is continuously increasing its share in clothing exports. Figure 2
emphasizes the fact that China (including Hong Kong) had 41% share in clothing
exports in 2009, which increased to 43% in 2013. From this analysis, it seems that
China is not interested in leaving space for other countries to increase their share in
clothing exports. Finding the reasons of this change is out of the scope of this report.

Clothing Exports of China Including Hong Kong (million


US$)

250,000
199,372

200,000
150,000

130,090

100,000
50,000
-
2009

2013

Figure 1 Clothing exports (MN US$) of China and Hong Kong

% Share of China Including Hong Kong in Clothing Exports



43.50
43.00
42.50
42.00
41.50
41.00
40.50
40.00
2009

2013

Figure 2 % Share of China and Hong Kong in Clothing Exports

Clothing Exports and Europe


After China, Europe has major share in clothing exports. Eight European countries
(including Turkey) are included in top 20 countries of the world for their voluminous
clothing exports. In 2009, share of these eight countries was 27% and in 2013, it was
24.65%. It is also important to note that there is 32% increase in total exports of
Europe from 2009 to 2013. In 2009, Europe exported clothing of worth US $85
billion and it increased to US $114 billion in 2013.

Among European countries, Italy had 6.2% share in 2009 and 5.11% share in 2013.
Germany is second to Italy with 5.37% and 4.77% share in 2009 and 2013
respectively. Turkey is third for clothing exports in European countries. Figure 3
shows that there is a declining trend in share percentage. However, the figure also
shows that Turkey has been successful in maintaining its share. This figure explains
that Europe still has almost one-fourth share in international market that shows high
production capacity of European countries.

Clothing Exports of European Countries


Denmark
United Kingdom
Netherlands
Spain
Belgium
France
Turkey
Germany
Italy

2,013
2,009

5,000 10,000 15,000 20,000 25,000

MN US $

Figure 3 Share of European Countries in Clothing Exports

Clothing Export and South Asia


There are eight countries in South Asia. These counties have made South Asian
Association for Regional Cooperation (SAARC) to improve regional cooperation.
India, Bangladesh, Pakistan and Sri Lanka are the major players in clothing exports.
Figure 4 shows the export value of clothing of South Asia. It is quite obvious that
Bangladesh has the highest export value in 2013. In 2009, clothing exports of
Bangladesh were comparable to India but in 2013, it has surpassed India. Moreover,
Figure 4 shows that Pakistan and Sri Lanka have comparatively very low exports.

Total share of South Asia was 9.65% in 2009 and 10.73% in 2013. Out of this,
Bangladesh has the highest share, which is 5.11% and Pakistan and Sri Lanka have
less than 1% share. It is important to note that textile and clothing are the biggest
industries of Pakistan and Sri Lanka but their share in the international clothing
market is less than 1%. Pakistan has a long history of textile manufacturing and it is

the fourth largest country among cotton producing countries. It is the point, which
needs to be focused carefully for making better policies for textile and clothing
industries of Pakistan.

Share % of South Asia in Clothing Exports



6.00
5.00
4.00
2009

3.00

2013

2.00
1.00
0.00
India

Bangladesh

Pakistan

Sri Lanka

Figure 4 Share % of South Asia in Clothing Exports

MN US $ Exports of South Asia 2009-2013



25,000

MN US $

20,000
15,000
2,009
10,000

2,013

5,000
-
India

Bangladesh Pakistan

Sri Lanka

Figure 5MN US $ Exports of South Asia 2009-2013

Clothing Exports and Far Southeast Asia


Three countries in Far Southeast Asia including Indonesia, Thailand, and Vietnam are
among top twenty countries in clothing exports. Total share of these countries was
5.75% and 6.31% in 2009 and 2013 respectively. There is a marginal increase in their
market share and it is mainly due to significant increase in exports from Vietnam.
WTO data shows that Vietnam exported clothing of worth US $8.5 billion in 2009
and US $17.2 billion in 2013. It almost doubled its market share within five years.
Indonesia has the second highest growth with clothing exports of US $ 5.9 billion in
2009 and US $7.6 billion in 2013, which is almost 50% growth. There is no
significant increase in clothing exports of Thailand.

Clothing Exports of Far East Asia 2009-2013


20,000
18,000
16,000

US MN $

14,000
12,000
10,000

2009

8,000

2013

6,000
4,000
2,000
-
Vietnam

Indonesia

Thailand

Figure 6 Clothing Exports of Far East Asia

Share % of Far East in Clothing Exports


4.0
3.5
3.0
2.5
2.0

2009

1.5

2013

1.0
0.5
0.0
Vietnam

Indonesia

Thailand

Figure 7 % Share of Far East Countries in Clothing Exports

Clothing Exports of USA and Mexico


Two more countries included in the list of top twenty countries for clothing exports
are USA and Mexico. USA had 1.32% share in 2009 and 1.27% in 2013, which
shows a decreasing trend. Mexico also faces the same situation. Mexico had 1.3%
share in 2009 and 0.89% share in 2013.
Clothing Exports of SA 2009-2013

25,000

MN US $

20,000
15,000
2,009
10,000

2,013

5,000
-
India

Bangladesh Pakistan

Sri Lanka

Figure 8 Clothing Exports of South Asia (MN US$)

Share % of SA in Clothing Exports



6.00
5.00
4.00
2009

3.00

2013

2.00
1.00
0.00
India

Bangladesh

Pakistan

Sri Lanka

Figure 9 Share of South Asia in Clothing Exports


All the above discussion shows that developing countries are increasing their share in
clothing exports. We also observe that developed world still has more than 25% share
in clothing exports despite the fact that their clothing exports are decreasing. It seems
that in coming decades, developing world will be major player in clothing exports.
Moreover, China is still having an increasing trend and it might not give space to
other countries, which are already having minor share.

Textile Exports Trends 2009-2013


Textile sector comprises of textile raw material, finished and un-finished fabrics,
which are used to make clothing. WTO has divided textile into two main categories:
textile and clothing. In 2009, total textile exports had worth US $211 billion and US
$306 billion in 2013. There is an increase of 44% over the last five years. This is a
tremendous increase and it seems that in 2016, this figure will be more than a US$1
trillion. Textile sector is extremely important for developing countries. Table 2

depicts developing countries have more than 70% share in textile exports. Any
positive change in textile export values will significantly affect economics of third
world countries. Textile industry is more capital intensive and less labor intensive.
Moreover, after increase in the demand of technical textile, developed countries are
enjoying major share in textile exports. Table 2, shows a continuous increase in textile
exports of the developed world. It shows that developed world will succeed in
maintaining its share in the international market due to production of high tech
products.
Table 2 Textile Exports of Top 20 Countries
Reporter

2,009

2,010

2,011

2,012

2,013

Share in
2013 (%)

World

211,109

252,458

294,193

284,158

305,898

1
2
3
4

China

59,824

76,871

94,411

95,450

106,578

Germany

12,903

14,155

16,299

14,532

14,910

Italy

11,804

12,966

14,726

13,167

13,459

Hong Kong, China

9,976

11,307

11,283

10,546

10,718

34.84
4.87
4.40
3.50

United States

9,930

12,169

13,852

13,483

13,924

4.55

Korea, Republic of

9,155

10,968

12,369

11,970

12,043

3.94

7
8

India

9,111

12,833

15,340

15,274

18,907

Chinese Taipei

7,891

9,719

11,016

10,293

10,246

6.18
3.35

9
10
11
12
13
14

Turkey

7,724

8,964

10,772

11,054

12,157

Pakistan

6,510

7,848

9,082

8,705

9,341

Belgium

6,306

6,506

6,926

6,039

6,153

Japan

6,108

7,086

8,034

7,819

6,841

France

5,630

5,708

6,110

5,353

5,424

Netherlands

4,431

4,768

5,519

5,161

5,219

3.97
3.05
2.01
2.24
1.77
1.71

15

United Kingdom

3,653

3,981

4,436

4,282

4,358

1.42

16
17
18
19

Spain

3,476

3,773

4,302

4,003

4,321

Indonesia

3,208

4,144

4,791

4,541

4,632

Thailand

3,002

3,761

4,072

3,521

3,874

Czech Republic

2,130

2,269

2,668

2,424

2,539

1.41
1.51
1.27
0.83

20

Austria

2,043

2,213

2,491

2,199

2,270

0.74

China and Textile Exports


Textile exports data shows that China is having a significant share in textile exports
besides clothing exports. Figure 10 shows that China exported textiles of worth US
$70 billion in 2009 and its exports increased to US $117 billion in 2013. There is
almost 70% increase, which is much higher than the global textile exports growth,
which is 44%. It may be due to Chinas increasing share in technical textiles.
Technical textiles are quite expensive and contribute a lot to the total exports of
China. It shows that China is not leaving this area and consistently striving to have
better share in the textile business.
Textile Exports of China Including Hong Kong
140,000
120,000

MN US $

100,000
80,000
60,000
40,000
20,000
-
2009

2013

Figure 10 Textile exports (MN US$) of China and Hong Kong

Textile Exports of China Including Hong Kong


39.00
38.00

Share %

37.00
36.00
35.00
34.00
33.00
32.00
31.00
30.00
2009

2013

Figure 11 Share % of China and Hong Kong in Textile Exports

Textile Exports and Europe


After China, Europe has major share in textile exports. Eight European countries
(including Turkey) are in top 20 countries of the world in textile exports. In 2009,
share of these eight countries was 28.47% and in 2013 it was 23.15%. It is also
important to note that there is a 32% increase in total sales. In 2009, Europe exported
clothing of worth US $85 billion and in 2013; it was US $114 billion. It shows that
there is a decrease in share percentage but still, Europe is the second largest textile
exporting region.

Among European countries, Germany had 6.11% share in 2009 and 4.87% share in
2013. Italy is next to Germany with 5.59% and 4.40% share in 2009 and 2013
respectively. Turkey is the third biggest European textile exporter, which has
increased its share from 3.66% in 2009 to 3.97% in 2013. Figure 12 shows that there
is a declining trend in share % of Europe as a whole. However, the figure shows that

Turkey has succeeded in maintaining its share. This figure also explains that even
now, European countries have almost one-fourth share in the international market.
Textile Exports of Europe
Austria
Czech Republic
Spain
United Kingdom
Netherlands
France

2013

Belgium

2009

Turkey
Italy
Germany
-

2,000 4,000 6,000 8,000 10,000 1


2,000 1
4,000 1
6,000
MN US $

Figure 12 Textile Exports of European Countries MN US $

Share of Europe in Textile Exports


Austria
Czech Republic
Spain
United Kingdom
Netherlands
France
Belgium
Turkey
Italy
Germany

2013
2009

0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00


Share % in Global Textile Exports

Figure 13 Share % of European Countries in Textile Exports

Textile Exports and South Asia


Only two South Asian countries India and Pakistan are among top twenty countries
for textile exports. Their accumulated share was 9.23% in 2013. India exported textile
goods of worth US $9 billion in 2009 and US $18.9 billion in 2013, which was almost
double. Growth rate of India is 108%, much higher than the global growth rate. India
had 4.32% share in textile exports in 2009 and in 2013; it increased its share to
6.18%.
Pakistan is next to India because it exported textile goods of worth US $6.5 billion in
2009 and US $9.3 billion in 2013 and enjoyed growth rate of 43% less than the global
textile growth rate. Moreover, Figure 14 shows that Pakistan had 3.08% share in
international textile exports in 2009, which reduced to 3.05% in 2013. As we have
discussed in the previous section, share of Pakistan in clothing exports has a
decreasing trend. It throws light on the performance of the textile industry of Pakistan
during 2009 to 2013. Finding reasons of low performance is out of the scope of this
report.

Textile Exports of SA
20,000
18,000
16,000

MN US$

14,000
12,000
India

10,000

Pakistan

8,000
6,000
4,000
2,000
-
2009

2013

Figure 14 Textile Exports of India and Pakistan

Share (%) in Textile Exports of India and Pakistan


7.00
6.00
5.00
4.00

India

3.00

Pakistan

2.00
1.00
0.00
2009

20013

Figure 15 Share in Textile Exports of India and Pakistan

Textile Exports of Far East, Far Southeast Asia and Japan


Five countries of Far East and Far South East Asia are among top twenty textile
exporting countries including Indonesia, Japan, Korea, Taiwan and Thailand. Total
share of these countries was 13.90% in 2009 and 12.30% in 2013. Figure 17 shows a
decreasing trend. Nevertheless, there is a marginal decrease in their share and it is
mainly due to significant increase in exports of China, which cannibalized their share.
Korea is at the top with 4.34% share in 2009 and 3.94% share in 2013. Taiwan is
second in the region with 3.74% share in 2009 and 3.35% share in 2013. Japan enjoys
third position. Share of these developed countries is mainly due to exports of hi-tech
fibers and fabrics.

Textile Exports
14,000
12,000
US MN $

10,000
8,000
6,000

2009

4,000

2013

2,000
-
Korea, Chinese
Republic Taipei
of

Japan Indonesia Thailand

Figure 16 Textile Export of Far East, Far Southeast Asia and Japan

Share %

Share % in Textile Exports


5.00
4.50
4.00
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00

2009
20013

Korea, Chinese
Republic Taipei
of

Japan

Indonesia Thailand

Figure 17 Textile Export Share % of Far East, Far Southeast Asia and Japan

Textile Exports of USA


USA is fifth in textile exporting countries with 4.70% share in 2009 and 4.55% share
in 2013. USA exported textile goods of worth US $9.9 billion in 2009 and US $13.9
billion in 2013. It shows growth rate of 40%, which is marginally low as compared to
international growth rate. USA has the highest production of cotton in the world and it
is the biggest cotton exporter. Moreover, USA is also exporting high tech fibers and
fabrics.

Textile Exports of USA


16,000
14,000

MN US $

12,000
10,000
8,000
6,000
4,000
2,000
-
2009

2013

Figure 18 Textile Exports of USA (MN US$)

Share of USA in Textile Exports


4.75

Share%

4.70
4.65
4.60
4.55
4.50
4.45
2009

2013

Figure 19 Share of USA in Textile Exports

Conclusion
All the above discussion shows that developing countries are increasing their share in
textile and clothing exports. We also observed that the developed world still had more
than 25% share in textile and clothing exports despite the fact that there is a

decreasing trend in their exports. It seems that in coming decades, developing world
will be major player in clothing exports. Moreover, China is still having an increasing
trend and it will not give space to other countries, which are already having minor
share.

Many experts have optimistic views about the role of China in textile and clothing
exports. They believe that China is leaving textile and clothing industry. Data issued
by WTO depicts that China is increasing its share in textile and clothing markets.
Growth rate of China is higher than the growth rate of the international market. It
means that China will grow faster than other countries in coming years. Moreover, no
other country is comparable to China for growth in textile and clothing exports. China
is at the top and Italy, the country next to China, has five times less share in textile
and clothing markets. It is a huge gap, which apparently seems difficult-to-fill. The
only solution is increasing production capacity and achieving economies of scales. Or
invite China to invest in countries with very low share in textile and clothing exports.

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