Global requirements of apparel and clothing has increased significantly over the years, depicted by the diagram below:-
Majority of the production of these garment comes from garments manufacturers in asia as depicted in the below diagram:-
If you look at the above date, you can clearly see that almost 50% of the apparel manufacturing takes place in Asia. There are several reasons why are most clothes are made in Asia:
- Cost of labor: One of the primary factors is the lower cost of labor in many Asian countries compared to Western countries. Wages in countries like China, Bangladesh, Vietnam, and India are generally lower than in Europe or North America. This lower labor cost allows for more cost-effective production, especially for labor-intensive industries like garment manufacturing.
- Manufacturing infrastructure: Over the years, Asian countries, particularly China, have developed extensive manufacturing infrastructure to support large-scale production. They have invested in factories, machinery, and supply chains that are well-suited for the garment industry. This infrastructure, combined with the availability of skilled and semi-skilled workers, makes Asia an attractive location for clothing manufacturing.
- Supply chain efficiency: Asia has developed a well-established and efficient supply chain network for the textile and apparel industry. Raw materials, such as fabrics and trims, are often produced in the same region or nearby countries, which reduces transportation costs and lead times. This proximity of suppliers and manufacturers within the region enhances the overall efficiency of the supply chain.
- Trade policies and agreements: Many Asian countries have actively pursued policies to attract foreign investment and promote export-oriented industries. They have implemented trade policies and entered into trade agreements that offer favorable conditions for international businesses, making it easier and more cost-effective for clothing companies to establish manufacturing operations in these countries.
- Scale of production: Asia’s large population provides a vast labor pool for the garment industry. This enables manufacturers to achieve economies of scale, producing clothing in large quantities to meet global demand. The availability of a large workforce allows for quick scaling of production when needed.
It’s important to note that while a significant portion of clothing production is based in Asia, there are also clothing manufacturers in other regions of the world, such as Europe, North America, and South America. Factors such as proximity to markets, specialized expertise, and specific design requirements can influence companies’ decisions to produce clothing in different regions.