Textile Furnishings Mills NAICS 3141

Jul 29, 2025 - De Minimis Exemption to End

• An expansive bill signed into law by President Trump in July 2025 includes a provision to eliminate the de minimis exemption, according to a report in Supply Chain Drive. The exemption had allowed imports under $800 to enter the US duty and tax free. While the change was slated to go into effect in 2027, the Wall Street Journal said the White House is ending the exemption as early as August 29, 2025. The National Council of Textile Organizations (NCTO) supported the Trump administration’s closing of the “destructive” de minimis loophole, which it said gave an unfair trade advantage to foreign producers. The new bill establishes a civil penalty for anyone trying to use de minimis entry in a way that violates any other provision of US customs law. Earlier this year, the Trump administration had removed the de minimis exemption for imports from China and Hong Kong.
• Consumer confidence levels, an indicator of discretionary spending, increased in July 2025 month over month, rising by 2 points, according to the Consumer Confidence Index. Consumer confidence levels have stabilized since May but remain lower than last year’s levels, according to The Conference Board, which publishes the monthly index. July’s gain can be attributed to consumers over 35 years old and shared across all income groups, except the lowest income group earning below $15K. In addition, the consumer sentiment index from the University of Michigan increased in July 2025, rising to 61.8 in preliminary July data from 60.7 in June, according to a report in the Wall Street Journal. July’s inflation expectation results were lower than June’s, when respondents expected a 5% price increase for the coming year. The index serves as a predictor of consumer spending as it indicates consumers’ perception of their financial prospects and the broader economy.

• The US textile furnishings mills industry is projected to grow at a CAGR of 0.02% between 2025 and 2029, slower than the overall economy's anticipated growth, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The nondurable goods manufacturing sector forecast indicates that the labor force is expected to diminish, barring immigration reform that allows greater numbers. However, new technologies could support labor productivity for the industry. Consumer sentiment is expected to improve in the forecast period, which bodes well for the sector. A factor that may curb consumer spending is substantially higher tariffs on consumer goods, which may be painful for households. On a positive note, lower inflation supports a moderate increase of real disposable income by about 2% in 2025 and 1.9% in 2026. Real income could suffer if average prices rise due to tariff implementation.
• Textile mills are one of the six manufacturing industries reporting contraction in June’s Manufacturing ISM Report on Business. Textile mills reported declines in production and new orders, a decrease in employment, slower supplier deliveries, lower order backlogs, higher inventories, and higher prices for raw materials. Other industries reporting contraction were Wood Products; Paper Products; Chemical Products; Transportation Equipment; and Fabricated Metal Products. Nine manufacturing industries reported growth during the period including Apparel, Leather & Allied Products; Petroleum & Coal Products; Nonmetallic Mineral Products; Miscellaneous Manufacturing; Furniture & Related Products; Computer & Electronic Products; Machinery; Food, Beverage & Tobacco Products; and Electrical Equipment, Appliances & Components. Overall, economic activity in the manufacturing sector contracted for the fourth consecutive month in June, with the Manufacturing PMI registering 49%.