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Press Releases
2018-12-17  download as PDF Download this press release in Adbobe Acrobat format | download as DOC Download this press release in Microsoft Word format
Malaysian clothing imports continue to surge

Malaysian clothing imports surged by no less than 425% in the seven years to 2017, according to a report in issue 194 of Textile Outlook International from the global business information company Textiles Intelligence.

Moreover, further growth in imports is likely as a result of increases in clothing sales in the domestic market--in line with rising personal disposable incomes--as the government moves towards its goal of achieving "high income status" by 2020.

Another factor which is likely to contribute to growth in clothing imports is that the age profile of the population is young--the young tend to be much more fashion conscious than their elders and spend more money on clothing.

One of the reasons for the surge in imports in recent years is the fact that clothing production has been rising at a much slower pace. This reflects a number of factors, including rising production costs, a general lack of skilled personnel, a high dependency on imported raw materials and, not least, competition from lower cost suppliers--especially those based in low cost producing countries in Asia.

Exports have also been rising at a slower pace. As a result, Malaysia is now a net importer of clothing--in contrast to the situation in most other major clothing producing countries in Asia.

A further significant rise in clothing imports would provide opportunities for several of Malaysia's key supplying countries. Among these are Cambodia, Indonesia, Thailand and Vietnam, which benefit from free trade with Malaysia through membership of the Association of Southeast Asian Nations (Asean).

Admittedly, Malaysia's largest clothing supplier, by a considerable margin, is China. In 2017 imports from China amounted to US$0.8 billion and accounted for a 47% share of Malaysia's clothing imports from all sources.

However, in May 2018, after 61 years, a new Malaysian government--the Barisan Nasional (BN) coalition led by Mahathir Mohamed--was voted into office and this government appears to want to loosen ties with China. The new government's approach to China stems from growing unease over China's rising economic and political influence in South-East Asia in what Mahathir Mohamed has described as a "new colonialism".

Having said that, it is likely that China will continue to be Malaysia's largest clothing supplier for some time yet, given that Malaysia has a free trade agreement with China under the auspices of Asean. Furthermore, China and Malaysia are two of 16 countries currently negotiating the Regional Comprehensive Economic Partnership (RCEP).

This report, "Prospects for the textile and clothing industry in Malaysia, 2018", was published by the global business information company Textiles Intelligence in issue No 194 of Textile Outlook International.

Other reports published in the same issue include: "Editorial: Environmental sustainability in textiles and apparel--ten years on"; "World textile and apparel trade and production trends: the EU, November 2018"; "Survey of the European yarn fairs for autumn/winter 2019/20"; "Product developments and innovations in textiles and apparel, November 2018"; and "World markets for textile machinery: part 1--yarn manufacture, November 2018".

Textile Outlook International is published six times a year by Textiles Intelligence. Each issue provides an independent and worldwide perspective on the fibre, textile and apparel industry.

During December 2018, this report, "Prospects for the textile and clothing industry in Malaysia, 2018", is available to purchase for half price at a cost of 155 + VAT (UK), Euro285 (Europe, Middle East or Africa) or US$375 (Americas or Asia Pacific).

Alternatively, a year's printed subscription to Textile Outlook International costs 1,165 (UK), Euro2,140 (Europe, Middle East or Africa) or US$2,790 (Americas or Asia Pacific). An electronic supplement is also available; please contact Textiles Intelligence for details. Single issues and multi-report packages are available on request.

For further information, please contact Clare Whitfield at Textiles Intelligence, Fulshaw Hall, Wilmslow SK9 1RL, UK. Tel: +44 (0)1625 536136; fax: +44 (0)1625 536137; email: subscriptions@textilesintelligence.com