by The global textile and apparel Market is estimated to be valued at US$ 2524 Bn in 2022 and is expected to exhibit a CAGR of 3.88% over the forecast period 2022-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The textile and apparel market consists of products such as tops and bottoms, intimate and sleepwear, socks, accessories, and others. Apparels provide aesthetic value as well as functional benefits such as protection from climate. Emergence of new textile materials such as performance and smart fabrics is enhancing product applications in various end-use industries. Smart textiles integrate electronics and technology into their structures for functionality beyond standard textile products. Their advantages include monitoring health and performance.
Market Key Trends:
One of the major trend influencing the market growth is automation of textile and apparel production. Growing labor costs and shortage of skilled workforce has prompted manufacturers to incorporate automation technology in manufacturing processes. Automated machines are deployed for cutting, sewing, assembling, quality inspection and packaging. This improves productivity while reducing errors and costs. For example, Arvind Ltd has implemented robotics automation for sewing, ironing, packaging, and quality inspection across its facilities. Automation driven by Industry 4.0 technologies such as IoT, AI and robotics is expected to make production more sustainable and optimize various manufacturing stages.
Porter’s Analysis
Threat of new entrants: The textile and apparel industry has moderate threat of new entrants due to the requirement of high initial capital investment, strong branding and established distribution channels.
Bargaining power of buyers: The bargaining power of buyers is high in this industry as there are many manufacturers providing substitute products. Buyers can easily switch to other brands if manufacturer increases price.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as there are many suppliers offering raw materials to manufacturers. However, suppliers of specialized raw materials can negotiate better prices.
Threat of new substitutes: The threat of new substitutes is low as textile and clothing are necessity goods and no strong substitutes exist. However, digitalization is providing alternatives to purchase clothing online.
Competitive rivalry: The competitive rivalry is high among existing key global players in this industry.
Key Takeaways
The global Textile And Apparel Market is expected to witness high growth, exhibiting CAGR of 3.88% over the forecast period 2022-2030, due to increasing disposable income and changing fashion trends.
Regional analysis: Asia Pacific dominates the global textile and apparel market with over 45% share in 2021 attributed to presence of China and India which are major exporters. North America is the fastest growing region on account of presence of key players and demand for sustainable clothing.
Key players: Key players operating in the textile and apparel market are Arvind Ltd, Toray Industries Inc., Tjx Companies Inc., Far Eastern New Century Corp., Vf Corporation, and Industria De Diseno Textil Sa (Inditex). Arvind Ltd leads the Indian textile market while Inditex has strong presence across Europe and America.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
