With the United States among the major importers, brassieres (HS 6212) are very vital in the worldwide textile trade. A great range of styles, sizes, and functions provided by different manufacturers fuels the continuous need for brassieres. China, Vietnam, Indonesia, Sri Lanka, and Bangladesh are the main brassieres exporting countries to the United States. But current tariff hikes—especially a 20% tariff on Chinese goods—are expected to change the competitive scene.
China’s Dominance and Tariff Conundrums
With an export value of $579.47 million in 2024 and a Revealed Comparative Advantage (RCA) of 1.98, China continues to be the top brassiere supplier to the United States. Efficient manufacturing techniques and economies of scale help China’s great worldwide competitiveness in brassiere manufacture to be reflected in this high RCA.
Chinese brassieres, with a Unit Value Realisation (UVR) of $21.89/kg, are reasonably priced and enticing to American buyers on a budget. Rising tariffs, nevertheless, pose a danger to this price advantage.
How American tariffs affect competitiveness?
China maintained a competitive UVR of $21.90/kg while first dealing with a Most Favoured Nation (MFN) tariff of 4.8%. But the extra 20% tax, effective March 4, 2025, will greatly increase expenses for American importers, therefore reducing the competitiveness of Chinese brassieres.
Rising China’s tariff rate from 4.8% to 14.8%, the first tariff rise on February 4, 2025 caused manufacturing and export costs to skyrocket. China’s UVR is so likely to climb to roughly $24.1/kg, so undermining its position in markets sensitive to prices. A second rise on March 4, 2025, will drive duties to 24.8%, thus raising the UVR even more to around $26.3/kg and so placing Chinese brassieres in the mid-price range and so lowering their appeal to budget-conscious importers.
Vietnam: A formidable rival nation
At $ 529.62 million in exports to the United States in 2024, Vietnam ranks second among brassiere exporters. Although its RCA of 1.65 is somewhat less than that of China, it nevertheless shows a strong competitive posture. Vietnamese brassieres with a UVR of $58.94/kg are probably in a higher-end market sector, appealing to customers looking for best quality.
Growing presence of Indonesia
Rising as a prominent exporter with brassiere exports valued at $271.63 million in 2024 and an outstanding RCA of 14.57 is Indonesia. Its UVR of $44.43/kg puts it in a competitive mid-range pricing bracket, therefore balancing cost and quality. The rising RCA shows Indonesia’s brassiere industry knowledge and manufacturing efficiency.
With the 4.8% tariff applied equally to all nations except China exporting to the United States, Indonesia has an advantage in grabbing the middle-market sector. Its exporting capacity is improved by its positive Logistics Performance Index (LPI), which is 3.00, thereby helping it to control logistics expenses.
Sri Lanka: Emphasising Quality
Standing out with an amazing RCA of 125.93, Sri Lanka is a major participant in the premium market since it shows a great concentration on high-quality brassies. Its UVR of $67.56/kg appeals to discriminating American consumers who prioritise quality over cost since it reflects this orientation.
Bangladesh: Variable Competitiveness
Bangladesh comes seventh with brassiere exports worth $108.60 million. Its RCA of 19.60 suggests a reasonable competitive edge, but its UVR of $28.46/kg indicates positioning in the more affordable range. While competitive in pricing, Bangladesh’s smaller market share compared to larger players like China and Vietnam may offer opportunities as U.S. importers seek alternatives to avoid tariff burdens.
Mail Outlook
As competition in the U.S. brassiere market evolves, Indonesia is well-positioned to capitalize on its competitive strengths. With an RCA of 14.57 and UVR of $44.43/kg, Indonesia offers an attractive balance of affordability and quality, benefiting from a moderate 4.8% tariff and an efficient LPI of 3.00, which helps manage logistics costs.
Although China will face higher tariffs impacting its position, it is expected to maintain a strong presence due to its large-scale manufacturing capabilities. While China’s UVR will rise, it is likely to stabilize at levels comparable to its competitors, reducing its traditional cost advantage. Despite potential market share losses, the competitive landscape is poised to remain stable, with Indonesia gradually increasing its share without drastically undermining China’s dominance. Bangladesh may also benefit from the ongoing trade tensions, potentially increasing its market share in the U.S. brassiere market.
