Global Textile Mills Market Outlook to 2028

Global Textile Mills Market Overview

The global textile mills market reached a market size of USD 1838 billion in 2023, driven by increasing demand for textiles across various industries, including apparel, home textiles, and industrial applications. The apparel industry accounts for the largest share, contributing significantly to the growth. Rising disposable incomes, coupled with fashion trends and population growth, have spurred demand, especially in developing countries. Additionally, technological advancements in textile manufacturing and growing e-commerce platforms have also accelerated market expansion.

The global textile mills market is highly competitive, with key players such as Toray Industries (Japan), Weiqiao Textile (China), Indorama Ventures (Thailand), Arvind Limited (India), and Luthai Textile (China). These companies dominate the market due to their extensive product portfolios, vertically integrated production systems, and global distribution networks. Their focus on sustainability and innovation has positioned them as leaders in the textile manufacturing sector. Their ability to meet rising demand through efficient production processes has also contributed to their market leadership.

Indorama Ventures has allocated $1.89 billion in capital expenditure over the next three years, focusing on recycling and expanding capacity in bio-based materials. This includes $660 million for 2024, with a plan to build four recycling plants in India through a joint venture. Additionally, the company is optimizing its asset footprint, reviewing underperforming assets, and targeting increased production volumes across its global operations. Indorama anticipates a recovery in earnings by 2026, driven by growing demand for recycled PET and improving operational efficiencies.

Key cities that dominate the global textile mills market include Surat, Guangzhou, and Bursa. Surat is known as the Textile City of India due to its high concentration of textile mills, producing over 40% of India's synthetic textiles. Guangzhou, as a manufacturing hub in China, dominates due to its well-established textile industry, with over 2,000 textile companies operating in the region. Bursa, Turkey, is a leader in technical textiles, catering to automotive and industrial sectors. These cities benefit from infrastructure, skilled labor, and government support.

Global Textile Mills Market Segmentation

By Product Type: The global textile mills market is segmented by product type into apparel fabrics, home textiles, and industrial textiles. In 2023, apparel fabrics dominated the product type segment due to high consumer demand for clothing and fashion products. The global expansion of the e-commerce sector and rising middle-class incomes in developing countries have further driven this demand. Leading brands, such as Zara and Uniqlo, have established strong supply chains that utilize apparel fabrics, cementing the dominance of this segment.

By Region: The textile mills market is segmented by region into North America, Europe, APAC, MEA, and Latin America. In 2023, Asia-Pacific (APAC) dominated the regional market, accounting for the largest share. This region's dominance is driven by countries like China and India, which are global leaders in textile production due to their low labor costs, abundant raw material supply, and large manufacturing capacity. APACs growing middle class and increasing disposable incomes are also contributing factors, making it a central hub for textile exports to North America and Europe.

By Raw Material: The textile mills market is segmented by raw materials into cotton, polyester, and wool. In 2023, cotton led the raw materials segment due to its widespread use in apparel and home textiles. Cotton is a preferred raw material for consumers due to its natural properties, comfort, and breathability. Major cotton-producing countries such as India, the US, and China supply raw cotton to textile mills globally. The rising demand for organic cotton is also contributing to this segments dominance.

Global Textile Mills Market Competitive Landscape

Company

Establishment Year

Headquarters

Toray Industries

1926

Tokyo, Japan

Weiqiao Textile

1997

Shandong, China

Indorama Ventures

1994

Bangkok, Thailand

Arvind Limited

1931

Gujarat, India

Luthai Textile

1987

Shandong, China

Toray Industries: In 2023, Toray Industries implemented energy conservation initiatives through advanced materials such as TORAYCA carbon fibers, which help reduce energy consumption in various sectors, including automobiles, aircraft, and construction. These materials enhance fuel efficiency and lower energy usage by making structures and vehicles lighter and stronger. Additionally, Toray is actively improving its production processes to reduce carbon emissions, supporting global efforts towards sustainability by incorporating eco-friendly materials.

Weiqiao Textile: In 2022, Weiqiao Textile reported significant performance improvements driven by its focus on sustainable and smart manufacturing practices. The company increased production efficiency through automation and integrated digital solutions, which led to reduced operational costs and higher output. Additionally, Weiqiaos commitment to green energy and resource conservation has positioned it strongly in the global textile market, allowing it to maintain a competitive edge and meet the rising demand for sustainable textiles globally.

Global Textile Mills Market Analysis

Growth Drivers

Sustainability and Eco-Friendly Textiles: The global demand for sustainable and eco-friendly textiles is a major growth driver in the textile industry. Brands like H&M and Adidas have made commitments to using 100% recycled or sustainably sourced materials by 2030.This is propelling textile mills to shift toward organic cotton and recycled polyester to meet this demand.

Growth of E-Commerce Platforms: The surge in global e-commerce sales, which reached USD 5.7 trillion in 2022, has significantly impacted the global textile mills market. The shift to online retail has increased demand for textiles, particularly in the apparel and home textiles sectors. As consumers increasingly turn to digital platforms for purchasing, textile mills are scaling up production to meet this growing online demand, particularly in emerging markets such as India and Southeast Asia.

Technical Textiles Demand in Emerging Industries: The demand for technical textiles in industries such as automotive, construction, and healthcare has grown exponentially. In 2023, the global demand for technical textiles reached USD 200 billion, with applications in medical textiles, geotextiles, and automotive textiles leading the market. As industries evolve, especially in developing economies like India and China, demand for high-performance textiles is expected to rise by 30% through 2025. Government incentives supporting technical textile production, such as Indias National Technical Textiles Mission, further drive this demand.

Challenges

Rising Raw Material Costs: The textile mills market faces significant challenges due to rising raw material costs, particularly cotton and synthetic fibers. Textile mills are grappling with these rising costs, which affect their profitability and lead to higher end-product prices, impacting their competitiveness in the global market.

Environmental Regulations and Compliance Costs: Stringent environmental regulations are becoming a growing challenge for textile mills, particularly in regions like Europe and North America. The European Union's new Textile Strategy mandates sustainable production practices by 2025, further complicating compliance for mills operating in multiple jurisdictions.

Government Initiatives

Indias Production Linked Incentive (PLI) Scheme for Textiles: The Indian government's Production Linked Incentive (PLI) Scheme for textiles, launched in 2021, allocates INR 10,683 crore to enhance the production of man-made fibers and technical textiles. This initiative is expected to boost investments, aiming to generate INR 19,000 crore in new manufacturing activities and create around 7.5 lakh direct jobs in the textile sector. The scheme focuses on strengthening Indias position as a key player in global textile exports, particularly in sustainable and high-performance textile segments.

Chinas Textile Industry Upgradation Plan: In 2021, China introduced its 14th Five-Year Plan for the textile and apparel industry, focusing on technological innovation, sustainability, and upgrading its manufacturing processes by 2035. The plan includes promoting smart manufacturing, increasing the use of green technologies, and enhancing China's global competitiveness in the textile sector. The initiative aims to transform the industry with a significant reduction in carbon emissions and higher production efficiency to meet the evolving global demand for sustainable textiles.

Global Textile Mills Future Market Outlook

The Global Textile Mills Market is projected to grow exponentially over the next five years. This growth will be driven by the sustainability and eco-friendly textiles, growth of e-commerce platforms and technical textiles demand in emerging industries.

Future Trends

Increasing Investment in Sustainable Textiles: Soon, the global textile mills market is expected to be driven by significant investments in sustainable and eco-friendly textile production. With growing consumer demand and government mandates pushing for sustainability, textile mills will increasingly adopt recycled materials and water-efficient technologies. Countries like India, China, and the U.S. are expected to lead this shift globally.

Expansion of Technical Textiles for Industrial Applications: The global textile mills market is projected to see a rise in demand for technical textiles, driven by their growing use in sectors such as automotive, healthcare, and construction. Innovations in high-performance fabrics, such as fire-retardant and antimicrobial textiles, will drive this expansion. Governments, particularly in Asia-Pacific, are expected to invest heavily in R&D to develop new applications for technical textiles.
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