Canada’s apparel market showed signs of slowing in the first quarter of 2026 as imports declined amid softer consumer demand and cautious retail buying. While the downturn was milder than the sharp fall seen in the US, sourcing patterns shifted noticeably, with Asian suppliers gaining ground as China and the US lost share. At the product level, demand weakened for several core apparel basics, though select categories such as outerwear and knitwear continued to post strong growth. World imports fell from US$ 2,758m → US$ 2,591m (–6.1%). This indicates a moderate contraction in Canada’s apparel demand, though less steep than the U.S. decline in the same period. China & USA: Both saw double-digit declines, reducing their share in Canada’s apparel sourcing. Vietnam & Cambodia: Showed positive growth, strengthening their role as reliable suppliers. Pakistan: Strongest growth (+11%), signaling rising competitiveness. Sri Lanka & Honduras: Sharp contractions, losing market share. Overall mix: Canada is diversifying away from China/USA toward South & Southeast Asia suppliers. Sharpest declines: Men’s cotton shirts (knitted, –25%), women’s synthetic trousers (–18%), socks hosiery (–18%). Strongest growth: Women’s overcoats MMF (+25%), men’s briefs cotton (+18%), men’s cotton trousers knitted (+18%). Staple basics (T-shirts, pullovers, trousers): Mostly down, showing weaker demand in core categories. Growth niches: Knit trousers, briefs, and some outerwear categories bucked the trend.
Canada’s apparel market showed signs of slowing in the first quarter of 2026 as imports declined amid softer consumer demand and cautious retail buying. While the downturn was milder than the sharp fall seen in the US, sourcing patterns shifted noticeably, with Asian suppliers gaining ground as China and the US lost share. At the product level, demand weakened for several core apparel basics, though select categories such as outerwear and knitwear continued to post strong growth.
If you wish to Subscribe to Textile Excellence Print Edition, kindly fill in the below form and we shall get back to you with details.