Home breadcru News breadcru Policy breadcru  | Post-FTA, China to compete with US in Nicaragua's clothing market

Prime Content | 
Post-FTA, China to compete with US in Nicaragua's clothing market

07 Feb '24
2 min read
Pic: Adobe Stock
Pic: Adobe Stock

Insights

  • Nicaragua, a key textile and clothing market for the US, now faces intense competition from China, following the signing of a FTA between China and Nicaragua on August 31, 2023.
  • This FTA, effective from January 1, 2024, not only positions Nicaragua as a major market for the US but also highlights China's efforts to gain ground in Nicaragua's textile market.

China and Nicaragua signed an FTA on August **, ****, which came into effect on January *, ****. It&#**;s worth noting that Nicaragua is not only a major textile and clothing market for the US but also a significant textile supplier to Nicaragua. China has been trying to make inroads into Nicaragua&#**;s market for years. Its FTA with Nicaragua could boost China&#**;s prospects.

Apparel exports from the US to Nicaragua were $***.*** million during January-October ****. This was nearly half the exports of $***.*** million in ****. It is evident that textile exports have declined to the Central American nation, mirroring the global trend. Nicaragua, being a neighbouring country, is one of the major markets for US textile and clothing, and it relies on the US for logistic convenience, according to *f_homepage_tpblock&utm_medium=logo&utm_campaign=texpro_****" target="_blank">Fibre2Fashion&#**;s market insight tool TexPro.

Get Free Weekly Market Insights Newsletter

Receive daily prices and market insights straight to your inbox. Subscribe to AlchemPro Weekly!