Global Textile Demand to Reach 58 Million Metric Tons in 2012

World demand for manufactured fibers is forecast to increase 4.7 percent per year to over 58 million metric tons in 2012, outpacing real (inflation-adjusted) gains in GDP.  Overall growth will be supported by the continued replacement of natural fibers by less costly, better performing manmade alternatives in many market applications.  The global manufactured fiber market will also benefit from a generally sound macroeconomic outlook.  Increases in industrial activity will promote gains in technical yarns and fabrics (e.g., tire cord, airbags and geotextiles), while the rising level of personal income in both developed and developing countries will promote demand for textile fibers used in apparel and household items. 

Polyester will continue to dominate manufactured fiber output.  However, the fastest gains will be seen in specialty products, such as spandex, aramid and carbon fibers. These and other trends, including market share and product segmentation, are presented in World Textile Fibers, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.

Maintaining an established trend, the world manufactured fiber industry will continue to be concentrated in Asia, particularly China and India, where the fastest growth is also expected.  By 2012 China is expected to account for 70 percent of global polyester output.  India will also post strong increases, but total production levels will remain well below that of China.  In these countries, strong gains in fiber production and demand reflect vast spinning and weaving sectors, coupled with growing domestic markets for fibers and lower labor costs.  As a result of this intense competition, countries such as Japan, South Korea and Taiwan have shifted away from fiber commodities such as polyester, and moved toward lower-volume, higher-end products with specialized market niches.

North American and European mills will continue to face tough challenges, including market maturity, capacity rationalization, competition from imports and business shifting to nations that benefit from lower production costs.  For their part, Latin America, Eastern Europe and the Africa/Mideast region are expected to fare better, experiencing slow growth compared to the Asia/Pacific region, but growth nonetheless.  In particular, Brazil and Turkey should continue to evolve into major factors in manufactured fibers, bolstering their already strong positions in cotton.

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.