During September 2026, apparel exports from Sri Lanka totalled $416.99m, rising 3.47% compared to the same month in 2025.
JAAF, which represents Sri Lanka’s apparel industry, said shipments to the US climbed 7.17% to reach $172.03m, while exports to the EU, excluding the UK, grew 6.5% to $132.46m.
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The forum described the growth in the US and EU as an “encouraging sign,” but cautioned that it does not yet constitute a turnaround.
Despite the uptick in its two largest markets, performance was uneven across other destinations.
Exports to the UK dropped by 5.92% to $47.33m, and shipments to other regions decreased by 3.89% to $65.17m in September.
For the first nine months of the year, exports remain lower than last year, reflecting persistent challenges for the industry.
From January to September 2026, apparel exports were valued at $3.59bn, a decline of 5.52% or roughly $210m compared to the same period last year.
Cumulative export data show declines across all major markets. Exports to the UK recorded the sharpest year-on-year fall at 10.85%, followed by decreases in the EU and other markets of 5.44% and 5.43% respectively. The US market saw a smaller contraction at 3.69%.
JAAF stated that global shifts in trade dynamics are influencing Sri Lanka’s apparel export outlook.
US import data indicates that Chinese apparel shipments to the US dropped by approximately 34% in the first seven months of 2026.
Industry stakeholders in other apparel-exporting countries observe that China and India have redirected more exports to Europe after facing higher tariffs in the US, increasing competition in the EU market.
Data shows China’s share of apparel imports to the EU grew from 26.9% to 28.6% between January and April 2026.
This intensifying competition, particularly in Europe, highlights the need for Sri Lankan producers to focus on competitiveness, reliability, and market diversification.
JAAF secretary general Yohan Lawrence said: “September’s growth in the US and EU is encouraging, and it shows our manufacturers can compete when demand is there. We’re still more than five percent behind where we were this time last year.
“What the industry needs now is steady, competitively priced energy and a supportive policy environment, so that this momentum lasts beyond a single month.”
