2009 Retrospective: Consumers Shrink Their Closets in 2009
Americans went on a clothing diet in 2009, buying far less than they have in previous years.
The proof is in the import numbers. Overall, apparel and textile imports dipped 15 percent during the first 10 months of this year compared with the same period last year, as consumers cinched in their belts (the ones from a few years ago) and tried to save money.
With unemployment at 12.5 percent in California and 10 percent nationwide, clothing sales took a back seat to essentials such as food and gas.
One of the hardest-hit apparel exporters was Hong Kong, whose textile and apparel exports to the United States nosedived 80 percent during the first 10 months of this year, while South Korea’s clothing exports to the United States tumbled 45 percent.
China was less affected by the downsizing of clothing purchases. It shipped 6 percent less in the first 10 months of this year, or $30.5 billion, compared with $32.5 billion during the same period in 2008. China is still the largest clothing factory for U.S. consumers.
Even Vietnam, whose apparel and textile exports to the United States grew at a nice pace in 2008, experienced a 1 percent decline for the year ending in October to $5.3 billion in orders. Vietnam is now the No. 2 overseas provider of apparel to the United States.
U.S. apparel and textile exports didn’t fare much better than imports. U.S. factories shipped 18 percent fewer goods in the first 10 months of 2009 than they did last year. Textiles were more affected than apparel, partly because the countries producing clothing under free-trade agreements, which encourage using U.S. textiles, were seeing their share of the apparel pie shrink. For example, fabric exports to Central America, which has a free-trade agreement with the United States, were off 39 percent during the first 10 months of this year.—Deborah Belgum
(Click here for U.S. Textile and Apparel Imports and Exports charts)
