Slow down in garment exports

Chinese garment exports are an import indicator of China’s export health given their importance to exports.

Chinese garment exports are an import indicator of Chinas export health given their importance to exports. Sector export value was on par at the YTD date in February 2018 with relative little distance between them. Since then the market has spaced out on the downward trend. Garments had a slight uptick in July, but are mostly flat. Given the move of manufacturers from relatively high wage China to other destinations like Vietnam and Bangladesh, coupled with trade war pressures, do not look for a bounce in this sector.

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