Fashion
Uzbekistan taking steps to expand footprint in US
Uzbekistan, a rising power in the global apparel export domain, is one such name that is preparing to establish a stronger foothold in the US textile market.
Uzbekistan is working to strengthen its presence in the $100 billion US textile market through initiatives like opening trading houses in St. Louis and New York.
To boost exports and competitiveness, Uzbekistan is investing in modernising its textile sector even as reforms are reportedly focused on upgrading technology, improving compliance, and securing international certifications.
Speaking to Fibre2Fashion Isomiddin Mirzayev, the head of international relations and foreign investment at the Uztextile Industry Association, shared that while new US tariffs are often layered over existing ones—raising the risk of double taxation—Uzbek products still face lower overall duties compared to many other countries.
“The overall tariff burden on Uzbek goods remains lower than that on some other countries, potentially giving us a competitive edge—especially as buyers shift orders away from China,” underlined Isomiddin.
With deep roots in cotton production, Uzbekistan is taking calculated steps to expand its reach into the $100 billion US textile market.
President Shavkat Mirziyoyev has announced plans to open two textile trading houses in key American cities—St. Louis and New York—as part of this broader strategic vision. These hubs are expected to serve as promotional and sales centres, linking Uzbek manufacturers directly with US retailers, fashion brands, and buyers.
This move is more than a symbolic gesture; it is a practical and targeted effort to tap into one of the world’s most lucrative consumer markets. The idea is to eliminate intermediaries and create direct lines of communication between producers and buyers, thereby improving efficiency, responsiveness, and profitability.
By placing trading houses in cities with commercial significance and a well-established fashion ecosystem, Uzbekistan is positioning itself to play a more proactive role in the global apparel supply chains.
“Even though the actual export volume remains modest still— under $2 million annually, with proper positioning, a targeted marketing strategy, and optimised logistics, Uzbekistan could significantly increase its export volumes to the US,” claimed Isomiddin in an earlier interaction.
The trading houses, if industry insiders are to be believed, are just one aspect of a much broader push to modernise the Uzbek textile industry, which has been grappling with external pressures such as falling global cotton prices lately.
Recognising the availability of raw material alone is not enough, the government has reportedly launched a series of reforms aimed at upgrading infrastructure, technology, and compliance standards.
According to reports, a $200 million preferential fund has also been allocated to help manufacturers modernise operations and meet export goals. The focus is not only on increasing output but also on elevating the quality and traceability of products to meet international standards.
One of the critical steps in this modernisation journey is improving industry credibility through global certifications.
Uzbekistan is reportedly aiming to have at least 300 textile firms certified to international standards, making them more attractive to buyers who prioritise sustainability, ethical sourcing, and quality assurance.
These certifications are not just badges of compliance; they are gateways to larger orders and longer-term contracts from established brands.
In parallel, the government is also said to be investing in technological upgrades, which will help streamline operations, enhance inventory and supply chain visibility, and enable better decision-making at all levels of the production process.
The country is also reportedly turning to artificial intelligence to boost productivity, improve transparency, and reinforce traceability in the textile sector, according to industry insiders, who claimed that subsidies are also being offered to train workers in digital tools and automation, with the ultimate aim of building a smart, agile, and responsive industry.
The Uzbek government is also reportedly eyeing the European market with the overarching goal to double exports of finished textile products. By shifting focus from commodity exports to finished goods, the country aims to retain more economic value, generate employment, and elevate its status as a competitive player in the global apparel ecosystem.
In a world where supply chains are increasingly scrutinised for transparency, ethics, and sustainability, Uzbekistan is making the right moves, feel experts, who are of the opinion that if effectively implemented, these measures could transform the country’s apparel industry drastically.
Fibre2Fashion News Desk (DR)
With sustainability benchmarks rising, companies are rethinking how they produce and deliver, pivoting toward greener, more circular models that reduce waste, emissions, and resource use.
The stakes are high. In 2025, Vietnam’s exports to the EU reportedly reached $56.2 billion, up 10.1 per cent year on year, underscoring how pivotal Europe is for the country’s manufacturing base.
Vietnam’s textile and footwear exporters are accelerating sustainability efforts as stricter EU regulations reshape market access requirements.
Rising compliance pressure from measures such as CBAM and ESPR is pushing manufacturers toward circular production, cleaner technologies and greater supply-chain transparency, though limited green finance remains a major challenge for smaller firms.
The EU market, nevertheless, comes with its own challenges as access to this market increasingly depends on meeting strict environmental and product-design requirements.
The EU is rolling out an ambitious sustainability agenda, including the Carbon Border Adjustment Mechanism (CBAM) and the Ecodesign for Sustainable Products Regulation (ESPR). Together, these measures are changing what global suppliers must document, design, and decarbonise.
ESPR shifts expectations toward durability, repairability, and recyclability, while pushing manufacturers to reduce products’ overall environmental footprint. Supply chains are also expected to become more transparent through Digital Product Passports, and practices such as destroying unsold goods being phased out gradually.
For Vietnam’s exporters, compliance is becoming a baseline requirement to keep EU orders and remain competitive.
Recognising this, both the Government and industry players are stepping up. Vietnam’s long-term development strategy for textiles and footwear, which stretches to 2030 with a vision toward 2035, places sustainability at its core. The plan charts a path toward efficient, environmentally responsible growth anchored in a circular economy, where materials are reused, waste is minimised, and production cycles are closed rather than linear.
Crucially, it also provides a legal backbone to help businesses align with global sustainability trends.
On the ground, change is already underway. Textile and apparel manufacturers are investing in renewable energy, upgrading machinery, and fine-tuning production processes to cut emissions and resource use. These shifts are not just about compliance; they are about future-proofing operations in a market where green credentials increasingly determine who wins contracts.
However, the transition has not been entirely seamless. A key barrier seems to be access to green finance, especially for small and medium-sized enterprises. Large firms can more readily fund clean technologies and certification, while smaller suppliers often struggle to fund the shift, risking exclusion from high-value export markets if they cannot keep pace.
There is also a growing recognition that policy support needs to go further. As Vietnam leans into a circular economy, industry voices are calling for a more cohesive and comprehensive framework, one that not only sets clear standards for circular products but also actively incentivises recycling, cleaner production, and sustainable innovation.
Without this, progress risks being uneven, with smaller firms left behind.
Momentum is, nevertheless, building as manufacturers and policymakers push for better-aligned standards and support mechanisms. The goal is to narrow the gap between sustainability ambition and day-to-day implementation across the sector.
The aim is clear: create an ecosystem where businesses of all sizes can invest in circular solutions, strengthen their export capabilities, and meet the EU’s exacting standards head-on.
Fibre2Fashion News Desk (DR)
The increase was driven primarily by higher reinvested earnings and intra-company loans, indicating continued engagement by existing investors with Bangladesh.
Reinvested earnings rose by 318.25 per cent, from $103.79 million in 2024 to $434.10 million in 2025, while intra-company loans increased by 25.68 per cent, from $621.96 million to $781.68 million.
Bangladesh’s net FDI inflows increased by 39.36 per cent last year to $1,770.42 million compared with $1,270.39 million in 2024, the Bangladesh Bank said.
The increase was driven primarily by higher reinvested earnings and intra-company loans.
Reinvested earnings rose by 318.25 per cent, from $103.79 million in 2024 to $434.10 million in 2025, while intra-company loans rose by 25.68 per cent.
Equity capital remained broadly stable, rising by 1.84 per cent, from $544.64 million to $554.64 million in 2025, a release from Bangladesh Investment Development Authority said.
Greenfield project announcements declined by 16 per cent in 2025.
Fibre2Fashion News Desk (DS)
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