EU Mega Market Set To Explode in 2004

The clock is ticking. By the end of 2004 approximately ten additional countries could become part of the European Union. There are currently 13 countries asking for membership, Estonia, Latvia, Lithuania, Czech Republic, Slovakia, Hungary, Slovenia, Romania, Bulgaria, Malta, Cyprus, Poland and Turkey.

These changes will forever change the face of the European textile community. The change is already occurring as traditional manufacturers in Spain, Portugal, Germany, Italy and others find that one way to compete is to move cut and sew operations to many of these nations.

Internal consumption of apparel in much of the eastern block is rapidly improving. Many of these countries experienced economic growth far above the U.S. or Europe in 2001. One estimate places annual apparel consumption growth in the former eastern block of Poland, Hungary, Czech Republic, Slovak Republic, Estonia, Latvia and Lithuania at nearly 5% . This is phenomenal growth and if it continues it will play a major role in shaping apparel consumption patterns.

The strong growth in apparel consumption is making these markets quite attractive for importers as well as manufacturers. Chinese exporters have targeted many of the markets. So far, their main penetration has occurred in the lower end markets and in underwear, gloves and sportswear.

Back to Index of April 2002