WASHINGTON — Apparel and textile imports from Pakistan, Brazil and South Korea rose significantly in February despite China’s rising dominance, while goods coming from Hong Kong, Thailand, Turkey and the Philippines fell by double digits.
Combined imports from the twin industries rose 6.2 percent to 3.32 billion square meters equivalent in February versus a year ago, driven primarily by increases in textile shipments, according to the Commerce Department’s trade report released Wednesday.
Imports of textiles rose 14.9 percent to 1.88 billion SME, while imports of apparel fell 3.4 percent to 1.4 billion SME in February, marking the second consecutive year-over-year decline for apparel.
Two of the largest apparel categories with significant decreases across the globe were man-made fiber nightwear and infants’ wear, according to Ross Arnold, acting director of the Agreements Division at Commerce’s Office of Textiles and Apparel.
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Meanwhile, apparel and textile imports from China totaled 618 million SME in February, an increase of 16.2 percent against February 2003. For the year ended Feb. 29, those imports from China rose 55 percent to 8.7 billion SME and China’s share of U.S. imports for the twin categories rose to 20.4 percent.
By contrast, imports fell 26.6 percent from Hong Kong in such areas as knit cotton shirts and blouses, and cotton and man-made fiber underwear; 17.6 percent from Thailand, primarily in luggage, man-made fiber bags and infants’ wear; 15.5 percent from Turkey in cotton trousers, cotton nightwear and cotton duck fabric, and 15.8 percent from the Philippines in man-made fiber dresses, shirts and blouses, according to Arnold.
China’s growth has been primarily in categories where quotas were lifted in 2002, including blankets and travel rugs, tents and man-made fiber bags and luggage.
There were some big growth countries in quota and nonquota categories in February, aside from China. Imports from Pakistan rose 26.6 percent, primarily in man-made fiber sheets, bar mops, dust cloths and carded yarn, while imports from Brazil rose 88 percent in such categories as cotton yarn and man-made fiber sheets and pillowcases, and shipments from South Korea rose 14.7 percent, mostly in knit fabric and nontexturized filament yarn, according to Arnold.
“Most countries are still sheltered from China and aren’t feeling the impact yet because most Chinese products are still under quota,” said Cass Johnson, president of the National Council of Textile Organizations.
He claimed countries would start losing orders in the next six months in the run-up to the elimination of global apparel and textile quotas on Jan. 1. Johnson said, “You are going to see a shocking reality of what China is capable of and it is going to increase month by month from this point on.”
Imports from the five Central American countries and the Dominican Republic fell 10.8 percent in the first two months of the year, according to the Commerce Department.
Kevin Burke, president of the American Apparel & Footwear Association, said falling imports from Central America are alarming and continued to push for the passage of the Central American Free Trade Agreement.
“In an ominous sign for the region…imports from Central America declined significantly in the first two months of 2004, while Central America’s and the Dominican Republic’s share of the U.S. export market continued to grow,” Burke said.
However, he claimed that the U.S. textile industry would be hurt if CAFTA is not passed because it would see a decline in exports to the region. But Johnson countered that any duty savings the Central American countries derive from a free-trade agreement would be eliminated by China’s price gouging.
CAFTA faces a tough battle on Capitol Hill this year and there is speculation about whether Congress will even take it up in an election year during which U.S. jobs are a key campaign issue.