Australia Textile Market Report and Forecast 2025-2034

Australia Textile Market Report and Forecast 2025-2034

Market Outlook

According to the report by Expert Market Research (EMR), the Australia textile market size reached around USD 10.83 billion in 2024. Aided by the rising focus on sustainable, eco-friendly materials and increasing demand for innovative, performance-driven fabrics in both fashion and industrial applications, the market is projected to grow at a CAGR of 0.50% between 2025 and 2034 to attain nearly USD 11.41 billion by 2034.

The Australia textile market growth is being supported by changing consumer preferences, rising demand for sustainable materials, and evolving fashion trends. The industry encompasses a wide range of products, including apparel, home furnishings, industrial fabrics, and technical textiles. As consumers place greater emphasis on quality, functionality, and environmental responsibility, manufacturers and retailers are adapting by offering textiles that align with modern expectations. Innovation in fibres, improved production processes, and a focus on ethical sourcing are playing significant roles in transforming the textile sector into a more versatile and future-ready industry. With its well-established domestic base and access to global markets, the market continues to contribute to both the economy and the creative sector.

The Australian apparel segment remains a key driver driving the Australia textile market expansion, fuelled by consumer interest in fashion, comfort, and performance. Local and international brands are investing in fabric technologies that enhance durability, breathability, and moisture control to meet the growing demand for versatile clothing. From casual wear and sportswear to formal and work attire, textiles that combine aesthetic appeal with functionality are gaining popularity. The rise of activewear and athleisure has particularly boosted the use of synthetic and blended fabrics that offer stretch, support, and resilience. Designers and manufacturers are responding with collections that reflect changing lifestyles and support year-round wearability in Australia’s varied climate conditions.

Sustainability is significantly shaping the Australia textile market dynamics as consumers increasingly seek products that are ethically produced and environmentally friendly. There is growing interest in organic cotton, bamboo, hemp, and recycled fibres that reduce the environmental impact of textile production. Brands are adopting circular fashion principles by focusing on materials that are biodegradable, recyclable, or produced using less water and fewer chemicals. Transparency in sourcing, along with third-party certifications, is gaining importance among shoppers who value traceability and social responsibility. Retailers are also offering clothing recycling programmes and promoting slow fashion concepts to encourage mindful purchasing and extended product lifecycles.

As per the Australia textile market analysis, the home textile segment is also showing promising growth, driven by heightened interest in interior design and home improvement. Consumers are investing in high-quality fabrics for bedding, curtains, upholstery, and decorative items to enhance comfort and aesthetics. The demand for sustainable home textiles is rising in line with broader environmental concerns, prompting suppliers to offer organic and eco-friendly alternatives. Soft textures, neutral colours, and natural materials are being favoured for their calming and timeless appeal. As remote work and hybrid living models become more common, creating inviting and functional home environments has become a priority, which in turn supports steady demand for stylish and durable textile products.

Technical and industrial textiles are emerging as growth areas revolutionising the Australia textile market landscape, particularly in sectors such as healthcare, agriculture, construction, and defence. These specialised fabrics offer unique properties, including flame resistance, UV protection, anti-bacterial treatment, and tensile strength. Applications range from medical bandages and protective clothing to shade structures and geotextiles used in soil reinforcement. The development of smart textiles, which integrate electronics for monitoring and interactive functionality, is also attracting attention in research and development spaces. As industries increasingly adopt advanced materials for efficiency and safety, demand for performance textiles is expected to expand significantly.

Digitalisation and e-commerce are boosting the Australia textile market revenue. Online platforms allow consumers to browse a wide variety of options, compare prices, and access exclusive designs. This convenience, coupled with targeted advertising and virtual try-on technologies, is boosting online textile sales across all age groups. Small and medium-sized enterprises are leveraging digital tools to reach niche markets and offer customised textile solutions, while larger retailers are investing in omnichannel strategies to deliver seamless shopping experiences. These trends are not only enhancing market accessibility but also fostering innovation in product presentation and customer engagement.

Despite the positive outlook, the Australia textile market faces challenges, including fluctuating raw material prices, supply chain disruptions, and the pressure to remain cost-competitive in a global market. The reliance on imported textiles and finished goods makes the industry sensitive to international trade dynamics and currency fluctuations. Labour costs, environmental regulations, and changing fashion cycles also require manufacturers and retailers to remain agile and resource-efficient. To address these challenges, industry players are focusing on local production capabilities, sustainable sourcing practices, and technological upgrades to enhance productivity and product quality.

Looking ahead, the Australia textile market outlook is expected to be shaped by sustainability, innovation, and digital transformation. As consumer awareness grows and lifestyle trends continue to evolve, the demand for eco-conscious, high-performance, and stylish textile products will remain strong. The industry’s ability to adapt to changing market conditions and embrace forward-thinking strategies will be crucial for long-term growth and competitiveness. With a blend of traditional craftsmanship and modern technology, the market is poised to thrive as a dynamic and responsive part of the global textile industry.

Market Segmentation

The market can be divided based on raw materials, application, and region.

Market Breakup by Raw Materials

• Synthetic Fibers
• Nylon
• Kevlar
• Rayon
• Acrylic
• Nomex
• Spandex
• Polyester
• Others
• Natural Fibres
• Silk
• Wool
• Cotton
• Jute
• Line
• Wood (Cellulose)
• Others

Market Breakup by Application

• Technical
• Household
• Fashion and Clothing
• Others

Market Breakup by Region

• New South Wales
• Victoria
• Queensland
• Australian Capital Territory
• Western Australia
• Others

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the Australia textile market. Some of the major players explored in the report by Expert Market Research are as follows:

• Mittal Australia
• Urvara Pty Ltd.
• Bendigo Woollen Mills Pty Ltd
• Victoria Carpets
• K-Lee Designs
• The Australian Yarn Company
• Axon Corporation Pty Ltd.
• Natural Rugs Australia
• Banglaozy
• Others

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*We at Expert Market Research always strive to provide you with the latest information. The numbers in the article are only indicative and may be different from the actual report.