New data shows that global merchandise trade volume fell by 3% in 2019, and entering the first quarter of 2020, exports of ready-made garments and textiles also fell.
According to data from the latest version of the “World Trade Statistical Review”, global merchandise trade volume experienced a slight decline of 0.1% in 2019 after a 2.9% increase in 2018. Global trade has been hampered by political tensions and protectionist measures.
Measured by the average import and export value of merchandise trade, global trade volume grew by 10.2% in 2018 and fell by 3% in 2019. The volume of merchandise trade among the least developed countries fell by 2% in 2019.
The report pointed out that exports of these commodities stagnated in 2019 as the economic slowdown coupled with weak demand had a serious impact on the textile and garment manufacturing industry. .
China is still the world’s largest garment exporter in 2019, with exports reaching US$152 billion, but its global market share dropped by 4% to 30.8%. European Union countries ranked second, with market share remaining unchanged at 27.6%, and export value reaching US$136 billion.
Bangladesh became the world’s third largest exporter of ready-made garments in 2019, with its market share increasing by 2% to 6.8% and export value reaching US$34 billion. Vietnam and India ranked fourth and fifth, with growth of 6.2% and 3.5% respectively.
In terms of garment imports, the EU is the largest garment importing region, followed by the United States, Japan, the United Kingdom and Hong Kong.
However, preliminary data show that trade in manufactured goods shrank by 9% in the first quarter of 2020, and apparel exports fell by 12%.
The data also shows that global demand for ready-made clothing dropped by 37% in April 2020 compared with the same period last year. The cancellation of export orders for ready-made garments has severely affected suppliers specializing in manufacturing services in the garment industry. In Bangladesh, clothing accounts for 33% of total exports, and the value of canceled orders in April reached US$3.18 billion, which was 81% less than the export value in April 2019.
World Trade Organization Secretary-General Roberto Azevêdo said: The new coronavirus pandemic has caused the most severe economic recession in human history. Output plummeted, unemployment climbed, and trade was wreaked havoc by supply and demand shocks. The key challenge for policymakers is to lay the foundation for economic recovery with a strong, sustainable and inclusive policy approach as the health crisis recedes. Sound decisions about steering the global economy toward recovery will require reliable data. </p
