Loose stitch: Local contractors flaunt high-end products as imports continue to dominate

Facing steep import competition and falling demand, cut and sew manufacturers have been forced into intense price competition, leading to declining revenue over the five years to 2017. The "made in the USA" label and the quick turnaround of domestic production is expected to temper the industry's poor performance, but revenue is expected to continue sliding over the next five years due to increased import competition and falling domestic participation...purchase to read more.

Industry Statistics & Market Size
Revenue
$2bn
Annual Growth 12-17
-3.0%
Forecast Growth 17-22
Profit
Employment
54,421
Businesses
19,028
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • The overarching downward trajectory of domestic apparel manufacturing over the past several decades is expected to persist
  • The industry’s growing product segments benefit from “made in the USA” marketing
  • Solid growth in disposable income will boost demand for this industry’s products
  • Industry Report - Industry SWOT Analysis Chapter

    The Cut and Sew Manufacturers industry is in the decline phase of its life cycle. The industry's value added (IVA), which measures its contribution to the overall economy, is forecast to decline at an annualized rate of 2.6% over the 10 years to 2022. In contrast, GDP is expected to grow an annualized 2.0% during the period. Import penetration at the manufacturing level is capturing an increasingly large portion of domestic demand for apparel, and has been the main cause of the industry's historical decline. Import penetration is expected to increase during the 10-year period, contributing to the industry's declining IVA.In order to remain competitive, industry operators are expected to decrease its reliance on labor in order to cut costs and increase efficiency. As ...purchase to read more.

    Additional Insights for the Cut and Sew Manufacturers Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Cut and Sew Manufacturers Industry are

  • Ability to expand and curtail operations rapidly in line with market demand
  • Access to multiskilled and flexible workforce
  • Having a large supply contract
  • IBISWorld analysts also discuss how external factors such as Import penetration into the manufacturing sector and Demand from apparel manufacturing in the Cut and Sew Manufacturers industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What's in this report

    What is the Cut and Sew Manufacturers Industry?

    Cut and sew manufacturers, commonly referred to as cut and sew apparel contractors, create apparel and accessories out of materials owned by the companies that contract them. The main difference between this industry and other apparel manufacturing industries is the ownership of the fabric.

    Industry Products
  • Men's and boys' work clothes, coats and jackets
  • Men's and boys' sweaters and pants
  • Women's and girls' coats, jackets and pants
  • Women's and girls' shirts and blouses
  • Men's and boys' shirts, excluding work shirts
  • Women's, girls', and infants' dresses
  • Underwear, nightwear, uniforms and infant appare
  • Industry Activities
  • Cutting material owned by others for men's and boys' apparel
  • Sewing material owned by others for men's and boys' apparel
  • Cutting material owned by others for women's, girls' and infants' apparel
  • Sewing material owned by others for women's, girls' and infants' apparel
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Import penetration into the manufacturing sector
  • Demand from apparel manufacturing
  • Per capita disposable income
  • Trade-weighted index

  • Current Performance
  • Rising imports
  • Redefining an industry
  • Profit persists and participation rises
  • Chart: Revenue Growth

  • Industry Outlook
  • More optimal conditions
  • Imports to continue surging
  • Profit and participation
  • Table: Cut and Sew Manufacturers Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Cut and Sew Manufacturers Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Men's & Boys' Apparel Manufacturing
  • Women’s, Girls’ and Infants’ Apparel Manufacturing
  • Costume & Team Uniform Manufacturing

  • Key Selling Industries
  • Commercial Leasing
  • Fabric, Craft & Sewing Supplies Stores
  • Furniture Stores
  • Industrial Machinery & Equipment Wholesaling
  • Real Estate Sales & Brokerage

  • Products & Services
  • Other
  • Women's and girls' shirts and blouses
  • Women's and girls' coats, jackets and pants
  • Men's and boys' sweaters and pants
  • Underwear, nightwear, uniforms and infant appare
  • Men's and boys' shirts, excluding work shirts
  • Women's, girls', and infants' dresses
  • Men's and boys' work clothes, coats and jackets
  • Chart: Cut and Sew Manufacturers Industry Products and Services Segmentation

  • Demand Determinants
  • Shifts in fashion
  • Brand strength
  • Consumer sentiment and unemployment

  • Major Markets
  • Women's and girls' apparel companies
  • Men's and boys' apparel companies
  • Clothing retailers
  • Costume, uniform and infant apparel companies
  • Other
  • Direct orders from consumers
  • Chart: Major Market Segmentation for the Cut and Sew Manufacturers Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesDepreciationOther
  • Chart: Cost Structure Benchmarking – Sector vs Cut and Sew Manufacturers

  • Basis of Competition
    Price- and quality-based competitionInternal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Cut and Sew Manufacturers Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Cut and Sew Manufacturers Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Cut and Sew Manufacturers Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Import penetration into the manufacturing sector (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Outsourcing
  • To obtain goods or services from an outside supplier instead of from an internal source.
  • Premium Denim
  • Denim marketed to promote its high-end qualities, such as superior fit, dye and fabric durability.
  • Vertical Integration
  • Owning different parts of the supply chain, either in the form of backward integration (owning upstream suppliers) or forward integration (owning downstream buyers).
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Cut and Sew Manufacturers Industry Research Report contains up-to-date data and analysis, allowing you to identify the strengths and potential weaknesses of major companies in the industry. Build your credibility with clients and prospects by sharing insights into the current and emerging trends driving their industry. Our market research gives you the tools to win new business and keep existing clients.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Cut and Sew Manufacturers:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Cut and Sew Manufacturers market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Cut and Sew Manufacturers, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.

    clear