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Industry News | 10/17/23



In Israel, Sewing for the Security Forces
The New York Times | October 17, 2023

Not long after the Hamas attack on Israel, security forces in the country reached out to Shenkar College of Engineering, Art and Design's Textile Innovation Center in Tel Aviv, Israel, about making equipment for the security forces. Despite a lack of experience in making special equipment for military, a group of professors, students, and graduates got together to tackle the request. Read more about the work being doing at Shenkar to support Israel's armed forces.


 
Robotics Offers Route for U.S. Manufacturing Renaissance
Financial Times | October 17, 2023

While the U.S. is unlikely to compete in some manufacturing sectors — such as the production of high-volume electronics which require higher wages and a stronger, skilled workforce — advances in 3D printing and artificial intelligence are helping to build the pathway for a U.S. manufacturing renaissance based on robotics and automation. “The US is not going to build the same type of manufacturing China has built for the last four decades,” says Lior Susan, partner at Eclipse Ventures. "But we’re going to use technology — a lot of automation, a lot of software — and do manufacturing in Charlotte, Cincinnati, Salt Lake City, and outside of Boston.”


 
Cambodia Raises Monthly Minimum Wage for Garment Workers to $204
Fibre2Fashion | October 3, 2023

Cambodia’s National Council on Minimum Wage recently arrived at a consensus on $202 as the new monthly minimum wage for garment, travel goods, and bag industries. Prime Minister Hun Manet later added an additional $2, which made the final figure $204 for next year.


 
In Sustainability, Who Holds the Mantle of Accountability?
Sourcing Journal | October 17, 2023

The answer to that question can be found in Sourcing Journal’s latest Sustainability Report: Measuring the Impact. According to the report, some companies are leading by example. Reports from Madewell, Reformation, Lululemon, and American Eagle Outfitters, plus manufacturers such as Gildan and Artistic Milliners show great strides toward sustainability, with actions specifically tracked and accounted for.


 
AI Project Aims To Add Value to Fashion Brands While Boosting Supplier Profits
Just Style | October 17, 2023

The International Trade Centre (ITC) and International Apparel Federation (IAF) have partnered on an AI-based innovation that claims to deliver full supply chain profitability and added value to both fashion brands and manufacturers. The joint study applies learnings from the car and electronics industries to show how material suppliers and fashion manufacturers can create "smart flexibility" by postponing production commitments closer to actual demand and unlocking capital from unneeded inventory and excess production.


 
Governor Newsom Signs Twin Climate Disclosure Bills into Law
National Law Review | October 17, 2023

Earlier this month, Governor Newsom passed Senate Bills 253 and 261 into law, which significantly expanded California companies’ disclosure requirements concerning greenhouse gas emissions and climate-related financial risks. California continues to take the lead in the U.S. in the push for transparency and disclosures related to carbon emissions and climate risks. Many large companies are likely already collecting and preparing to report on these metrics, consistent with regulations in Europe and Asia and the SEC’s proposed regulation. Check out additional coverage on the legislation here and here.


 
Adobe Previews Dress Design You Can Change on a Dime
Sourcing Journal | October 17, 2023

The San Jose-based software giant showed off what it calls Project Primrose as part of the “Sneaks” portion of Adobe Max 2023 creative conference, which took place in Los Angeles last week. Christine Dierk, a research scientist at Adobe, took the stage in a dress that changed patterns and colors with the click of a button. “Fashion doesn’t have to be static; it can be dynamic and even interactive. Furthermore, the role of designers doesn’t have to end once a product has shipped. With reconfigurable apparel, consumers could download new designs for clothes already in their closets,” Dierk said.


 
U.S. Manufacturing Output Rises Solidly in September
Reuters | October 17, 2023

Production at U.S. factories increased more than expected in September despite strikes in the automobile industry curbing motor vehicle output, serving as further evidence that the economy exited the third quarter of 2023 with momentum. Manufacturing output rose 0.4% last month, the Federal Reserve said on Tuesday. Data for August was revised lower to show production at factories dipping 0.1% instead of nudging up 0.1% as previously reported.


 
SPESA Works To Build Cut-and-Sew Database
WhatTheyThink | October 16, 2023

SPESA's Michael McDonald recently spoke with WhatTheyThink about barriers to apparel manufacturing reshoring in the U.S., plus the industry's need for a comprehensive cut-and-sew database. Check out the full interview at the link below to hear more about Mr. McDonald's vision of how to best address some of the challenges impacting the sewn products industry today.


 
258 Jobs on the Line in Gildan North Carolina Facility Closure
Sourcing Journal | October 16, 2023

Gildan Yarns will close a North Carolina manufacturing facility by the end of the year, citing efforts to “balance production and inventory levels.” The 258 Gildan employees impacted by the closure can move to the company’s second Salisbury, N.C. facility or another plant in Mocksville, N.C. nearly 17 miles away. Gildan notified the state of the permanent closure in a WARN Notice filed on October 10.


 
Weekend Briefing: China’s Fashion Market Continues to Slow
Glossy | October 15, 2023

In the latest Glossy Week in Review podcast, international reporter, Zofia Zwieglinska shared that consumer demand for both luxury and non-luxury goods was slowing down in China. According to reports, multiple Wall Street brokerages cut forecasting for the Chinese e-commerce company JD over concerns that it would not be able to meet its revenue goals. Morgan Stanley, in particular, cut JD’s outlook by 40%, saying that it did not have confidence JD could stand up to the slowdown happening across the Chinese market.


 
IAF, SPESA World Fashion Convention To Explore Regional Sourcing Solutions
Just Style | October 13, 2023

Just Style's Laura Husband offers an overview of what you can expect on the first day of the 38th World Fashion Convention: In addition to a morning networking event, the event will kick off with a fireside chat with GK Foundation Chairman and Forbes Author, Yusuf, Amdani. The U.S. Department of Commerce will offer an industry update, and live panel discussions will range from what’s new in Made-in-America manufacturing to everything you need to know when manufacturing in emerging markets such as Sub-Saharan Africa and Central America. Plus, there will be a market update on Türkiye as a key sourcing destination by analysis company McKinsey & Company. Learn more about the 38th World Fashion Convention here.


 
Zara, H&M and American Eagle: Fashion Responds to Israel-Hamas Situation
Fashion United | October 13, 2023

Shortly after the Hamas attack on Israel, brands, retailers, and fashion influencers across the globe responded to the conflict. Spanish fashion giant Inditex swiftly announced the closing of its 84 stores in Israel, in what it called a temporary move made until further notice. American Eagle made a statement of its own, replacing its flagship billboard in Times Square with an image of the Israeli flag. H&M’s store franchises in Israel are also believed to have closed, with a spokesperson for the Swedish retailer commenting that they would remain shut “until further notice,” according to Bloomberg. Additional coverage on the Israel-Hamas conflict can be found here.


 
Levi’s Brings Inventory Under Control, Expands Supplier Base Connection
Retail Dive | October 12, 2023

The apparel company has made swift progress in cleaning up its stock recently after a “tough” time trying to operate its distribution centers. Levi’s inventory has come into line with its revenue, helping the apparel company beat its own estimates on gross margin, CEO and President Chip Bergh told analysts on the company’s third quarter conference call. For Q3, inventories were up 6% year over year by dollar value.


 
Middle East Violence Triggers Regional Freight Delays
DC Velocity | October 12, 2023

Fighting between Israel and Hamas has not yet shackled major international trade flows, but it has caused cancellations and delays of certain air and ocean cargo routes in the region. According to published reports, the U.S. carriers American Airlines, United Airlines, and Delta Air Lines have suspended flights to and from Israel, in addition to overseas airlines including Air France, Lufthansa, Cathay Pacific Airways, Virgin Atlantic, and KLM. FedEx and UPS likewise canceled certain freighter flights. And on the water, the Israeli shipping line ZIM has alerted its customers about possible service disruptions. Additional coverage can be found here.


 
Avery Dennison Signs a Definitive Agreement to Acquire Silver Crystal Group
Press Release | October 11, 2023

Avery Dennison has signed a definitive agreement to acquire Silver Crystal Group, an established player in sports apparel customization and application across in-venue, direct-to-business, and e-commerce platforms. The acquisition will allow the combined businesses to build on their collective industry knowledge, expertise, quality, and service to drive further growth in Avery Dennison’s high-value external embellishments segment. Once the deal closes, the Silver Crystal Group will become part of the Solutions Group of Avery Dennison. This will expand its Embelex solutions portfolio, a full-service, end-to-end platform for on-product branding, graphics, and trims.


 
Bionic Silkworms Produce Full-Length Fibers
ATA | October 9, 2023

Exciting news from ATA last week: for the first time, scientists have successfully produced full-length spider silk fibers using genetically modified silkworms. Newatlas.com reports that this silk has the potential to provide a scalable, sustainable and better-quality alternative to current synthetic fibers like nylon.


 
China’s Factory Floor Is Moving—But Not to India or Mexico
Wall Street Journal | October 7, 2023

China's factory floor is move to...China? Companies seeking alternatives to China are finding the country’s vast interior still holds big advantages. Low-cost manufacturing is expanding away from China’s bustling coast as companies hunt for cheaper land and labor in central and western provinces. The migration has accelerated in recent years as U.S. tariffs push up costs for factories, and China’s coastal megacities focus on high-tech electronics, electric vehicles and other advanced industries. The result has been an export boom for China’s inland provinces that dwarfs the acceleration in overseas sales enjoyed by would-be rivals to China’s manufacturing crown.


 
New Shein Executive Aims to Expand Supply Chain Outside China
Mint & The Wall Street Journal | October 6, 2023

It was announced earlier this month that fast-fashion giant Shein had appointed Marcelo Claure, a former SoftBank executive, to oversee its global growth initiative as the company seeks to diversify its supply chain beyond China in an effort to be closer to its consumers.


 
International Textile Manufacturers Federation (ITMF): Results Of The 22nd ITMF Global Textile Industry Survey
Press Release | October 6, 2023

According to ITMF’s Global Textile Industry Survey (GTIS) from September 2023, survey participants exhibited a cautious sentiment regarding the current industry climate, due to the entire textile value chain struggling with rising costs and weak demand. Business expectations jumped into positive territory in January 2023 based on the assumption that the Chinese economy would give an additional boost, but this hope did not materialize. The analysis indicates that a hard landing of the global economy is not in sight.


 
Release of GOTS Due Diligence Handbook Marks Sustainable Milestone for Textile Industry
Press Release | October 5, 2023

The Global Organic Textile Standard (GOTS), in cooperation with the Hague-based UpRights Foundation, recently announced the launch of the GOTS Due Diligence Handbook for Certified Entities. "The GOTS Due Diligence Handbook marks a significant progression following the incorporation of Due Diligence Criteria in the latest GOTS 7.0 version. It is a testament to GOTS's commitment to supporting Certified Entities in their journey towards required responsible business practices. The Handbook underscores GOTS's dedication to promoting human rights, social justice and environmental integrity".

The Global Organic Textile Standard (GOTS) is a sponsor for the upcoming World Fashion Convention.


 
SPESA MEMBER SPOTLIGHT | TextileGenesis, a Lectra Company, Inks MOU with International Cotton Association
eTextileCommunications | October 12, 2023

TextileGenesis – the pioneering traceability platform dedicated to the fashion and textile ecosystem, part of the Lectra Group – and the International Cotton Association (ICA) have signed a memorandum of understanding to strengthen their cooperation and increase their digital collaboration on ethical trade and sustainability. This partnership with the ICA means that all those involved in the cotton supply chain, from production to the creation of fashion products, will be informed that they could potentially be doing business with a company that the ICA has identified as unsafe.


 
SPESA MEMBER SPOTLIGHT | VDMA: Sales Still on Growth Track, Order Intake in Decline
eTextileCommunications | October 12, 2023

SPESA Associate Member VDMA's Elgar Straub: "The mood among European manufacturers of Textile Care, Fabric and Leather Technologies is currently subdued, the outlook uncertain," said Mr. Straub, during VDMA's industry meeting in Stuttgart last month. "The continuing tense geopolitical situation, the ongoing labor shortage, as well as the still rising costs for energy and primary products are putting a strain on the entire industry and causing unrest in the markets. However, the resulting steady increase in customer demands for automation, digitization and sustainability, give hope for a surge in investment and thus an improvement in the order situation."


 
SPESA MEMBER SPOTLIGHT | Lectra Appoints Anne Borfiga as General Secretary
Press Release | October 10, 2023

This appointment marks a new stage in Lectra's transformation and confirms the Group's commitment to Corporate Social Responsibility (CSR). In addition to her duties as Secretary to Lectra's Board of Directors, Anne Borfiga will act as CSR referent and will be responsible for Human Resources, IT, Legal and Facility Management. Anne Borfiga will also lead the implementation of "The Lectra Way", a set of values and managerial practices that embody the corporate culture Lectra wishes to promote.


 
SPESA MEMBER SPOTLIGHT | Brother's Century-Long Legacy in Sewing & Crafting Machines
Design Boom | October 13, 2023

Design Boom takes a look at the legacy brand that is Brother, from its introduction of the first electronic sewing machine to the brand's transition to its 'At Your Side' tagline. We encourage you to visit Design Boom to check out some classic Brother machines.


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