Apparel Wholesalers NAICS 424350

May 30, 2026 - Offshoring Remains Dominant in Apparel: Report

• Rising reliance on imported apparel and continued offshoring trends could create challenges for US apparel wholesalers by increasing supply chain complexity and exposure to trade and tariff risks, according to Kearney's 2026 Reshoring Index. Apparel and accessories remain one of the largest categories dependent on Asian low-cost-country imports, with imports continuing to outpace domestic production. Overall US manufactured goods imports increased 4.6% between 2024 and 2025, while domestic manufacturing output remained largely flat. The report also notes that apparel continues to be more reliant on offshoring than many other product categories despite broader reshoring efforts. For apparel wholesalers, this suggests ongoing dependence on overseas suppliers, potential sourcing volatility, and continued pressure to balance costs, inventory availability, and changing trade policies.
• The US apparel wholesale industry received an encouraging signal in April as clothing and accessories stores led all major retail categories in sales growth, according to the latest CNBC/NRF Retail Monitor. Clothing sales rose 0.59% month over month and 9.75% year over year, compared with overall retail sales growth of 0.34% and 5.73%, respectively. Apparel retailers led all categories in annual growth, ahead of sporting goods, hobby, music and book stores (8.55%), health and personal care stores (8.42%), and digital products (8.09%). The strong retail performance suggests continued inventory replenishment and healthy consumer demand for apparel despite higher gas prices, inflation concerns, and cautious consumer sentiment. For apparel wholesalers, the results point to stronger order volumes, inventory restocking activity, and potential growth in shipments as retailers prepare for upcoming seasonal demand.

• US textile and apparel imports remained relatively stable in 2025, signaling steady supply for apparel wholesalers, with imports declining just 3.3% to $104 billion from $107 billion in 2024 after a 22% drop in 2023, according to a Fashion Network report. Tariffs reshaped sourcing rather than reducing volume, with China imports falling 32.3% while Vietnam rose 12.9% to $18.4 billion. Bangladesh (up 11.5%) and Cambodia (up 26.4%) also gained share, while India held at $8.3 billion. For US apparel wholesalers, the shifting supplier mix increases sourcing complexity but supports supply continuity. Tariff-related cost pressures were often passed back to suppliers, though potential reimbursement delays create uncertainty. Overall, stable import levels support inventory availability, but ongoing geopolitical and pricing dynamics may pressure margins and require more diversified sourcing strategies.
• The wholesale trade sector outperformed the broader services economy in April, a positive indicator for the US apparel wholesalers industry, according to the latest ISM Services PMI Report. While the ISM Services PMI edged down to 53.6%, Wholesale Trade was among the strongest-performing services industries, reporting growth in business activity, new orders, employment, imports, exports, and order backlogs. Expanding order activity suggests continued demand from apparel retailers, while rising imports may support merchandise availability. However, wholesalers also faced mounting cost pressures, with the Services Prices Index remaining elevated at 70.7% and respondents citing higher fuel, freight, transportation, and supplier costs. Slower supplier deliveries further point to ongoing supply-chain challenges. For apparel wholesalers, strong sales activity and trade flows provide support for growth, but rising operating expenses and logistics costs could continue to pressure margins.