State of the Industry

May 16, 2017

Miami, FL

Total apparel +2.7% in 2016: most categories grew

Source: The NPD Group

$0$20,000,000$40,000,000$60,000,000$80,000,000

Cold Weather Underg.Athletic SetsTights/Sheer HosierySpecial InfantswearChildren/Infant SetsApparel AccessoriesSwimwearUnderwearSocks/HosierySleepwearTailored ClothingIntimatesOuterwearDressesSweats/Active BottomsBottomsTops

DOLLAR VOLUME (000)

-5% 0% 5% 10% 15% 20% 25% 30% 35% 40%

DOLLAR VOLUME CHANGE (2015 v. 2016)

Channel Share is Shifting to Mass, Off Price, Online.

Source: The NPD Group

$0$30,000,000$60,000,000$90,000,000$120,000,000$150,000,000

National Chains

Department Stores

Mass Merchants

All Others

DOLLAR VOLUME (000)

-10% -5% 0% 5% 10%

DOLLAR VOLUME CHANGE (2014 v. 2015)

Channel Share is Shifting to Mass, Off Price, Online

Source: The NPD Group

$0$30,000,000$60,000,000$90,000,000$120,000,000$150,000,000

National Chains

Department Stores

Mass Merchants

All Others

DOLLAR VOLUME (000)

-10% -5% 0% 5% 10%

DOLLAR VOLUME CHANGE (2015 v. 2016)

-

2,000,000,000

4,000,000,000

6,000,000,000

8,000,000,000

10,000,000,000

12,000,000,000

China SME _ASEAN SME _CAFTA-DR SME _NAFTA SME _SUB-SAHARA SME

U.S. Apparel Imports (SME)

NAFTACAFTA-DR & Quota Ends

Source: Office of Textiles and Apparel (OTEXA)

U.S. Apparel Imports (SME) Top 10 Suppliers

Source: Office of Textiles and Apparel (OTEXA)

China50%

Vietnam9%

Bangladesh8%

Indonesia6%

Honduras6%

India5%

Cambodia4%

Mexico5%

El Salvador4%

Pakistan3%

2010

China49%

Vietnam15%

Bangladesh8%

Indonesia5%

Honduras5%

India4%

Cambodia4%

Mexico4%

El Salvador4%

Pakistan2%

2016

Source: Office of Textiles and Apparel (OTEXA)

Total Apparel Imports (SME)

0%10%20%30%40%50%

China

Vietnam

Bangladesh

Indonesia

Honduras

India

Cambodia

Mexico

El Salvador

Nicaragua

PERCENT SHARE FEB 2017

-20% -10% 0% 10% 20%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

M/B Knit Shirts, Cotton

0%5%10%15%20%

Honduras

China

Haiti

Nicaragua

El Salvador

Vietnam

India

Mexico

Bangladesh

Pakistan

PERCENT SHARE FEB 2017

-15% -10% -5% 0% 5% 10% 15%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

W/G Knit Shirts, Cotton

0%5%10%15%20%25%

China

Vietnam

Nicaragua

Honduras

Indonesia

Guatemala

Cambodia

Bangladesh

India

El Salvador

PERCENT SHARE FEB 2017

-25% -20% -15% -10% -5% 0% 5% 10%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

M/B Cotton Shirts, Not Knit

0%5%10%15%20%25%30%35%

Bangladesh

China

Vietnam

Indonesia

India

Sri Lanka

Mauritius

El Salvador

Nicaragua

Malaysia

PERCENT SHARE FEB 2017

-30% -20% -10% 0% 10%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

W/G Cotton Shirts, Not Knit

0%5%10%15%20%25%30%35%

China

India

Bangladesh

Vietnam

Indonesia

Sri Lanka

Pakistan

Cambodia

Thailand

Mexico

Honduras

PERCENT SHARE FEB 2017

-20% -10% 0% 10% 20%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

M/B Cotton Trousers/Breeches/Shorts

0%5%10%15%20%25%30%

Bangladesh

China

Mexico

Vietnam

Pakistan

Indonesia

Nicaragua

Cambodia

Honduras

India

PERCENT SHARE FEB 2017

-15% -10% -5% 0% 5% 10% 15% 20%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

W/G Cotton Trousers/Slacks/Shorts

0%10%20%30%40%

China

Vietnam

Bangladesh

Indonesia

Cambodia

Pakistan

Sri Lanka

India

Jordan

Nicaragua

Haiti

Mexico

El Salvador

PERCENT SHARE FEB 2017

-30% -15% 0% 15% 30% 45% 60%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

Cotton Underwear

0%5%10%15%20%

Vietnam

El Salvador

Bangladesh

Honduras

India

China

Thailand

Dominican Republic

Sri Lanka

Philippines

Haiti

PERCENT SHARE FEB 2017

-30% -20% -10% 0% 10% 20%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

M/B MMF Knit Shirts

0%5%10%15%20%

Honduras

Nicaragua

China

El Salvador

Vietnam

Mexico

Jordan

Guatemala

Haiti

Indonesia

PERCENT SHARE FEB 2017

-10% 0% 10% 20% 30% 40%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

W/G MMF Knit Shirts/Blouses

0%10%20%30%40%

China

Vietnam

Indonesia

Mexico

Guatemala

Cambodia

El Salvador

Honduras

Nicaragua

Jordan

PERCENT SHARE FEB 2017

-10% 0% 10% 20% 30% 40% 50%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

M/B Not-Knit MMF Shirts

0%5%10%15%20%

Honduras

China

Bangladesh

Mexico

Vietnam

Indonesia

Haiti

Egypt

Dominican Republic

Nicaragua

PERCENT SHARE FEB 2017

-30% -20% -10% 0% 10% 20%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

W/G Not-Knit MMF Shirts/Blouses

0%10%20%30%40%50%

China

Vietnam

Indonesia

India

Bangladesh

Philippines

Mexico

Cambodia

Haiti

Egypt

PERCENT SHARE FEB 2017

-20% 0% 20% 40% 60% 80% 100% 120%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

M/B MMF Trousers/Breeches/Shorts

0%5%10%15%20%25%

Vietnam

China

Bangladesh

Indonesia

Mexico

Egypt

Honduras

Thailand

El Salvador

Cambodia

Jordan

Nicaragua

Haiti

PERCENT SHARE FEB 2017

-30% -20% -10% 0% 10% 20% 30% 40%

PERCENT CHANGE V. FEB 2016

Source: Office of Textiles and Apparel (OTEXA)

W/G MMF Slacks/Breeches/Shorts

0%5%10%15%20%25%30%

China

Vietnam

Indonesia

Guatemala

Cambodia

Jordan

Bangladesh

El Salvador

Lesotho

Egypt

PERCENT SHARE FEB 2017

-30% -20% -10% 0% 10% 20%

PERCENT CHANGE V. FEB 2016

Thank You!

• Sources:• The NPD Group, www.NPD.com

• OTEXA, Office of Textiles and Apparel, http://otexa.trade.gov