China tariff cuts to benefit strategic fibres & textiles, not apparel

According to the announcement, the tariff adjustments are designed to support industrial upgrading and stabilise supply chains. Within textiles, the reductions mainly cover man-made and speciality fibres, chemical fibre filaments and yarns, and advanced textile inputs that are either in short domestic supply or essential for high-value manufacturing. Products linked to technical and functional textiles, blended yarns, and performance fabrics used in export-oriented production are set to gain the most. The scope also includes textile auxiliaries used in dyeing and finishing, as well as textile machinery components and spare parts, helping manufacturers lower operating costs.

Finished garments, including cotton-based apparel and mass-market clothing, are not part of the reduced-tariff list, limiting the impact on consumer-facing imports and reinforcing the policy’s manufacturing-led intent.

In terms of sourcing countries, Japan and South Korea are among the key beneficiaries, given their strong positions in speciality fibres, high-performance yarns and advanced textile chemicals. Taiwan is also well placed to gain, particularly in man-made fibre yarns and technical textile inputs. Within Southeast Asia, Vietnam, Thailand, Indonesia and Malaysia are likely to benefit through increased shipments of synthetic yarns and intermediate textile materials under the Regional Comprehensive Economic Partnership framework.

Outside Asia, Turkiye and Italy could see selective gains in niche yarns, premium fibres and specialised textile components used in high-end or technical applications. Least-developed garment exporters such as Bangladesh and Cambodia are expected to see limited direct benefit, as their exports to China are concentrated in finished apparel, which remains outside the scope of the tariff cuts.

Overall, the move signals China’s intent to lower input costs, stabilise textile manufacturing margins and strengthen export competitiveness, particularly in technical and value-added textiles, rather than encourage higher imports of finished clothing.

ALCHEMPro News Desk (KUL)