
As per the report published in the latest issue of Textile Outlook International from Textiles Intelligence, a global business information firm, the textile and apparel manufacturing industry in the USA is witnessing a resurgence. Even companies based in India and China are investing in the US facilities, the report mentions.
This resurgence, also dubbed as ‘reshoring’, may have surfaced as it is easier to monitor and control factory safety and product traceability – a growing concern among retailers and brands – in the supply chain at factories in the USA than they are in far-off developing countries.
Additionally, the ongoing technological developments, especially automation and robotics are enabling US factories to cut their costs while proximity to the market provides producers in the USA with a significant competitive advantage in terms of quick response and market knowledge.
Also Read – Walmart investing to increase manufacturing volumes in US
However, the report states that one of the major obstacles to reshoring is the shortage of skilled operatives in addition to a lack of people who can provide training. Most of the people engaged in textile manufacturing have retired long ago without being replaced by younger entrants. There is also a lack of skilled technicians who are able to maintain sewing machinery. The US apparel industry still supplies less than 3 per cent of the US domestic market for apparel in volume terms. Also, US apparel imports continue to be dominated by low-cost Asian suppliers, reflecting the fact that cost minimization continues to play a vital role in sourcing decisions.






