2024 Top 100 Importers & Exporters

Tepid consumer confidence keeping clothing imports on the rack

By Ari Ashe

Consumer demand for imported apparel and footwear is rising in early 2024 after import volumes fell for the first time in three years in 2023 , but retailers are still reluctant to bring in a lot of new inventory out of fear of being overstocked again .

“ Consumer demand was down as our members were still trying to clear out their excess inventory ,” said Nate Herman , senior vice president of policy for the American Apparel and Footwear Association . “ This year , we ’ ve started to see that slowly turn on both sides , both [ a ] small uptick in consumer demand as well as our members have finally cleared out the inventories . But it ’ s very slow at this point .”

US apparel and footwear imports plummeted 18.7 % to 1.6 million TEUs last year , the lowest level since 2020 , but have since rebounded , climbing 15.6 % year over year in the first quarter , according to PIERS , a sister product of the Journal of Commerce within S & P Global .

Clothing shippers have also been shifting where their cargo lands in the US from the West Coast to the Gulf and East coasts . West Coast ports handled 53.8 % of total apparel and footwear imports last year , down from 62.3 % in 2018 .

“ The transition during COVID took us to the point where now nearly half of our product is coming through to the East or Gulf ,” Herman said . “ But that also means our members have new concerns . We have already sent a letter to President Biden about the East Coast labor contract negotiations because we ’ re very concerned about that . We ’ ve had an impact because of the Red Sea crisis , which is nowhere near any sort of conclusion at this point .”

Although most shippers have adjusted their supply chains to account for the longer transit times around

Clothing

IMPORTS

1,561,201 TEUS

↑18.7 %

Change from 2022

↓1.7 %

5-year compound annual growth rate

Adidas Group Gildan Activewear VF Corp .

US apparel and footwear imports rose 15.6 % in Q1 2024 after plunging 18.7 % in 2023 . Shutterstock . com

Clothing imports rising from post-pandemic nadir

Monthly containerized US apparel imports , in laden TEUs , with year-over-year percentage change

TEU volume

200,000

150,000 100,000 100,000

50,000

20 %

0 %

100 -20%

-40 %

-60 %

Year-over-year % change

TEU Year-over-year % change

Source : PIERS , S & P Global

© 2024 S & P Global

44 Journal of Commerce | May 20 , 2024 www . joc . com