Global Textile Sourcing Map Reshaped: Vietnam Rises, India Struggles, China's Share Plummets

Amid multiple pressures from geopolitics, trade policies, and rising costs, the global textile sourcing landscape has undergone a profound restructuring in early 2026. The performance of Vietnam, India, and China has sharply diverged.

Vietnam solidifies its position as the top supplier to the U.S. market. In the first two months of 2026, Vietnam accounted for 19.3% of total U.S. textile imports, maintaining a clear lead. The country's textile and garment exports reached $10.54 billion in the first quarter, up 2.3% year-on-year, demonstrating strong resilience.

India faces a double blow. On one hand, geopolitical conflicts in the Middle East have driven up energy and freight costs, causing polyester prices to surge by over 40%, severely raising costs for chemical fiber producers. On the other hand, U.S. tariff policies coupled with weak demand led to a 28.7% year-on-year plunge in India's textile exports to the U.S. in February. Industry observers expect India will struggle to reverse this downturn in the near term.

China's market share has fallen sharply. As a traditional textile export powerhouse, China is under dual pressure from rising export costs and accelerating order diversion. In January and February, China's textile exports to the U.S. plunged 56% and 45% year-on-year, respectively—drops far exceeding market expectations.

Analysts point out that the center of gravity for global textile sourcing is accelerating toward Southeast Asian countries like Vietnam, while India and China will continue to face headwinds in the short term. The trend toward supply chain diversification is now irreversible.