Big news! On June 27, 2025, the Ministry of Commerce website released the latest progress of the China-US London Framework! The US said that the two sides have reached a trade agreement. This is undoubtedly a ray of sunshine that penetrates the haze for China’s textile export industry, and textile exports are expected to usher in the dawn of recovery.
Looking back, affected by the trade war, the export situation of China’s textile industry is grim. From January to May 2025, China’s exports to the United States fell by 9.7% year-on-year, and in May alone, it plummeted by 34.5%. Many textile companies are facing many difficulties such as reduced orders and declining profits, and the operating pressure is huge. If the trade agreement reached between China and the United States can be implemented smoothly, it will bring a rare turnaround for textile companies that have been hit by the trade war.
In fact, the high-level economic and trade talks between China and the United States held in Geneva, Switzerland from May 10 to 11 this year have achieved important results. The two sides issued the “Joint Statement of the China-US Geneva Economic and Trade Talks” and agreed to reduce the mutual tariff rates in stages. The United States has canceled some high tariffs, revised the “reciprocal tariffs”, and suspended some tariffs. China has also made corresponding adjustments. This agreement has been in effect since May 14, which has given the textile industry a glimmer of hope. The trade agreement under the London framework has further consolidated the previous achievements and is expected to create a more favorable environment for textile exports.
For Chinese textile companies, the reduction of tariffs means that export costs will be reduced and price competitiveness will be improved. In particular, orders for price-sensitive mid- and low-end textiles may accelerate the return. It is expected that the number of orders to the United States will increase significantly in the future. This will not only ease the operating pressure of enterprises, but also contribute to the overall recovery of the industry, allowing many textile companies to see new development opportunities.
However, we cannot take it lightly. In view of the United States’ consistent capricious performance on economic and trade issues, textile companies still need to be prepared for both hands. On the one hand, we must seize the opportunities brought by this agreement, actively expand the market, strive for more orders, and accelerate the development of enterprises; on the other hand, we must also be vigilant about possible changes in US policies and formulate response strategies in advance, such as optimizing product structure, increasing product added value, expanding diversified markets, etc., to reduce dependence on a single market and enhance the ability of enterprises to resist risks.
In short, the conclusion of the China-US trade agreement is a positive signal, which has brought new opportunities for China’s textile export industry. However, there are still uncertainties ahead. Textile enterprises need to stay sober and follow the trend in order to move forward steadily in the complex international trade environment and usher in the spring of the industry.
Post time: Jul-04-2025