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Industry News | 2/4/2026
- Feb 4
- 8 min read
Updated: 7 days ago
By SPESA
Trade & Tariff Update
While tariffs are always at the top of every news cycle these days, we have also seen a surprising amount of actual trade deals in recent weeks. President Trump has signed reciprocal trade agreements with India, Guatemala, and El Salvador, and approved short-term extensions of two trade preference programs: the African Growth and Opportunity Act (AGOA) and the Haiti Economic Lift Program Extension Act (HOPE/HELP) (retroactively extended from their expiration date on September 30, 2025 for 15 months). See below for a round-up of information on each of these actions as well as some additional insights on the current administration’s trade and tariff policies.
Guatemala Trade Agreement:
El Salvador Trade Agreement:
The U.S. trade agreements with Guatemala and El Salvador will remove reciprocal tariffs on exports to the U.S. for certain products, including textile and apparel products, originating under the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR). Learn more here.
India Trade Agreement:
India-U.S. ‘Strike Trade Deal’ but Apparel Sector Holds Off on Celebrating - Just Style
Trump Touts Trade Deal with India, Drastically Slashing Duties - Sourcing Journal
India’s Modi Praised for U.S. Trade Deal as Opposition Questions Impact on Agriculture - AP News
Modi, Trump Announce India-US ‘Trade Deal’: What We Know and What We Don’t - Aljazeera
Trump Tariff Cut: India’s Textiles and Leather Set for U.S. Revival - The Economic Times
India-U.S. Deal Gives New Lease of Life to Indian Footwear Industry - Apparel Resources
AGOA & HELP/HOPE:
Critical Trade Preference Programs AGOA and Haiti HOPE/HELP Extended - Sourcing Journal
U.S. Textile Sector Applauds Renewal of AGOA, HOPE/HELP Trade Agreements - Just Style
Trump Extends AGOA by a Year – but Wants More U.S. Benefits - African Business
AGOA’s Short-Term Renewal May Not Be a Long-Term Win - Carnegie Endowment for International Peace
Other Trade & Tariff News:
SPESA MEMBER SPOTLIGHT | Michael Kilian Takes Over as MD at PFAFF INDUSTRIAL
Apparel Resources | February 4, 2026
Michael Kilian has been appointed Managing Director and spokesperson of PFAFF INDUSTRIAL, succeeding Dr Frank Meyer. Kilian will jointly lead the Kaiserslautern-based industrial sewing machine manufacturer alongside Managing Director Jing Fan. In addition to his new role, Kilian continues to serve as Managing Director of Dürkopp Adler GmbH. Both PFAFF INDUSTRIAL and Dürkopp Adler are part of the internationally operating Shang Gong Group (SGG). Together with Fan, Kilian is responsible for driving forward and implementing the group’s ongoing reorganization.
A central objective of this initiative is the strategic and operational integration of PFAFF INDUSTRIAL into Dürkopp Adler GmbH. According to the company, this step is intended to strengthen synergies within the group while securing and expanding its long-term market position in the textile and leather processing sector.
Deeptech Start-Ups Sparxell and Haelixa Secure Multimillion Pre-series A Funding Rounds: Sustainable Scene
Women’s Wear Daily | February 4, 2026
Investor interest in materials innovation appears to be re‑accelerating. Swiss traceability specialist Haelixa and U.K.-based color tech startup Sparxell have both secured new pre‑series A funding, signaling renewed confidence in next-gen materials and supply‑chain solutions. Elsewhere, Cascale’s Worldly is expanding its Product Impact Calculator to cover more product categories, including sporting goods, furniture and footwear.
January 2026 ISM® Manufacturing PMI® At 52.6%: Apparel Sector Reports Growth, Textile Mills Contraction
Press Release | February 2, 2026
Economic activity in the manufacturing sector expanded in January for the first time in 12 months, preceded by 26 straight months of contraction, say the nation’s supply executives in the latest ISM® Manufacturing PMI® Report. Nine manufacturing industries reported growth in January, including Printing & Related Support Activities; Apparel, Leather & Allied Products; Machinery; Chemical Products; and Computer & Electronic Products. Eight industries reported contraction in January, including Textile Mills; Wood Products; and Furniture & Related Products.
Shein Tried To Turn Brazil into a Production Hub. Local Factories Walked Away
Reuters | February 4, 2026
This is an interesting article. Shein’s setbacks in Brazil — the company’s largest market after the U.S. — highlight the hurdles the company faces in expanding its low‑cost, rapid‑production model beyond China.
SPESA MEMBER SPOTLIGHT | Aptean Launches Paragon Route 360 on AppCentral, Transforming AI-Driven Real-Time Routing and Scheduling for Logistics Teams
Press Release | February 3, 2026
Aptean, a global provider of mission-critical B2B enterprise software solutions, announced the launch of Paragon Route 360 on AppCentral, marking a major advancement in AI‑driven transportation planning and logistics optimization. Purpose‑built for fleets, drivers, and logistics teams, Paragon Route 360 delivers a unified, intelligent planning environment that transforms how transportation operations are scheduled, routed, and managed.
SPESA MEMBER SPOTLIGHT | AFFOA Expands Board with Four Industry Leaders To Accelerate Functional Fabric Technology and National Security Initiatives
Press Release | February 3, 2026
Advanced Functional Fabrics of America (AFFOA) announced the appointment of four distinguished leaders to its Board of Directors. The new members bring a broad spectrum of expertise across defense, medical devices, public-private partnerships, venture investment, and nonprofit operations, reinforcing AFFOA’s commitment to accelerating textile technology and manufacturing breakthroughs that safeguard the nation, advance industry, and improve quality of life.
Colombiatex 2026: Redefining Value in the World Sourcing Map
Modaes | January 28, 2026
Colombia’s premier textile and apparel fair took place last week in Medellín, showcasing over 500 exhibitors and drawing a crowd of 12,000 local and international fashion buyers. Learn more about what the show prioritized in 2026.
Target, Walmart Usher in New CEOs
Retail Dive | February 2, 2026
Walmart and Target — two of the most prominent retailers in the U.S. — both have new CEOs as of this week.
Successful AI in Retail Only Works When Operations Change with It
Supply Chain Management Review | February 2, 2026
For many retailers, artificial intelligence has reached an inflection point, not because the technology has suddenly matured, but because expectations have. But, after years of pilots and dashboards, retailers are learning that AI improves outcomes only when it reshapes how planning, execution, and decision-making actually work on the ground.
SPESA MEMBER SPOTLIGHT | Automated Textile Manufacturing without Sewing
Specialty Fabrics Review | February 1, 2026
Could on-demand automated no-sew apparel production bring some manufacturing back to the United States? CreateMe’s automated system integrates robotics and adhesives to enable fast, local and highly customizable production. The company’s Modular-engineering Robotic Assembly system, called MeRA™, debuted this past fall using its proprietary micro-adhesive technology Pixel™.
SEAMS Announces 2026 Board of Directors
Press Release | January 30, 2026
SEAMS has announced the membership selection for its Board of Directors 2026, led by new president Brent Jones.
Top Supply Chain Risks and Trends To Follow in 2026
Supply Chain Dive | January 30, 2026
Explore how tariff changes, key supply shortages, and volatile logistics capacity will test network resilience in this roundup of deep dives from Supply Chain Dive.
SPESA MEMBER SPOTLIGHT | Five Fashion Production Trends To Watch in 2026
Just Style | January 27, 2026
The fashion industry is entering a new phase of structural transformation as geopolitical tensions, regulatory pressure, and accelerating AI adoption force brands to reassess how they operate, compete, and create value, according to new insight from SPESA member Lectra.
SPESA MEMBER SPOTLIGHT | OEKO-TEX® Chooses TextileGenesis To Advance Digital Traceability for Organic Cotton
Press Release | January 21, 2026
Organic cotton continues to gain strategic importance in the global textile and apparel industry as brands, regulators and consumers increasingly demand credible sustainability claims and verified supply chains. As volumes grow, so does the need for credible, fraud-resistant certification systems. Against this backdrop, OEKO-TEX® chose TextileGenesis, a Lectra company, to take a future-facing approach to organic cotton certification, tackling one of the industry’s most pressing challenges: fraud prevention through the digitization of Transaction Certificates in organic cotton supply chains.
Charlotte Area Textile Company Cuts 81 Jobs, Will Outsource the Work Instead
Charlotte Observer | January 28, 2026
Firestone Fibers and Textiles is cutting 81 jobs between two manufacturing sites in Gastonia and Kings Mountain in Gaston County, North Carolina. The company is reportedly reducing its output and workforce due to the changes in the global market and supply chain, and will now be outsourcing its product, though a spokesperson declined to identify the product or say where the outsourcing will happen.
This is the second recent announcement of layoffs by a Gaston manufacturer. Parkdale Mills in Gastonia, once the world’s largest manufacturer of spun yarn, is closing its factory in Walnut Cove on March 13, cutting 72 jobs.
The Physical AI Craze and Other Automation Trends To Watch in 2026
Manufacturing Dive | January 29, 2026
As companies lean further into automated software, sensor technologies, and robots to fill labor gaps and remain competitive, they also are using AI tools to bolster their cybersecurity.
German Tire Giant Set To Close Georgia Textile Plant, Shedding 235 Jobs
Global Atlanta | February 3, 2026
German tire giant Continental Tire of the Americas LLC will close its Barnesville, Georgia plant by the end of 2026. The plant, which has been in the Continental portfolio since 1988, turns out tire cord fabric, hose yarn, and knitted fabric used in both tires and its ContiTech unit, which provides materials for non-automotive industries.
YKK Holds Groundbreaking Ceremony for Phase 3 Expansion of Vietnam Co., Ltd.’S Nhon Trach Factory
Press Release | January 30, 2026
YKK Vietnam will construct a new state‑of‑the‑art factory adjacent to its existing facilities in Nhon Trach. With the launch of the Nhon Trach Factory expansion, YKK Vietnam will increase production capacity and further enhance its product development capabilities, solidifying its position as a core technology hub within the ASEAN region. By leveraging advanced automation technologies, the new factory will establish a highly efficient production system capable of delivering products that meet the diverse needs of customers, including leading global brands.
AAFA Releases Version 26 Restricted Substance List
Press Release | January 28, 2026
The American Apparel & Footwear Association (AAFA) has published the 26th edition of its Restricted Substance List (RSL). RSL is an open-industry resource available to both AAFA members and the broader industry, identifying the most restrictive regulations worldwide and providing a reference of all banned and restricted chemicals and substances for finished apparel, footwear, accessories, and home textile products.
