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Crisis and comeback: Can Los Angeles rebuild its garment industry?

18 Jan '26
7 min read
Crisis and comeback: Can Los Angeles rebuild its garment industry?
Pic: Shutterstock

Insights

  • LA's garment industry enters 2026 amid disruption and cautious revival.
  • Immigration raids, rising costs and sustainability rules continue to strain factories, while tariffs and supply-chain risks are driving limited reshoring.
  • Any rebound is likely to be selective, centred on specialised and higher-value production rather than a return to mass manufacturing.

After decades of offshoring and contraction, the industry has been jolted by a convergence of shocks: immigration enforcement raids, climate-driven disasters, rising tariffs and ongoing global supply-chain instability even as brands once again explore domestic production to hedge against overseas risk. The upheaval has exposed deep structural vulnerabilities, particularly around labour security and cost pressures, while simultaneously sharpening LA’s strategic value at a moment when speed, flexibility and proximity to market are becoming competitive imperatives.

As luxury and high-moderate brands test limited ‘Made in LA’ runs and factories reactivate dormant machinery, industry leaders say the coming year could determine whether LA cements its role as a specialised, high-skill manufacturing hub or remains constrained by policy uncertainty and economic headwinds.

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