Slowing retail sales of clothing and home furnishings
According to the data of the United States Department of Commerce, the US retail sales in April this year increased by 0.4% month on month and 1.6% year on year, the lowest year-on-year increase since May 2020. Retail sales in the clothing and furniture categories continue to cool down.
In April, the US CPI increased by 4.9% year-on-year, marking the tenth consecutive decline and a new low since April 2021. Although the year-on-year increase in CPI is narrowing, the prices of core necessities such as transportation, dining out, and housing are still relatively strong, with a year-on-year increase of 5.5%.
The senior research analyst of Jones Lang LaSalle’s US retail said that due to the persistent inflation and the turbulence of the US regional banks, the fundamentals of the retail industry have begun to weaken. Consumers have had to downgrade their consumption to cope with high prices, and their spending has shifted from non essential consumer goods to groceries and other major necessities. Due to the reduction of actual disposable income, consumers prefer discount store and e-commerce.
Clothing and clothing stores: The retail sales in April were $25.5 billion, a decrease of 0.3% compared to the previous month and a decrease of 2.3% compared to the same period last year, both continuing a downward trend, with a growth of 14.1% compared to the same period in 2019.
Furniture and home stores: The retail sales in April were 11.4 billion US dollars, a decrease of 0.7% compared to the previous month. Compared to the same period last year, it decreased by 6.4%, with an expanded year-on-year decrease and an increase of 14.7% compared to the same period in 2019.
Comprehensive stores (including supermarkets and department stores): The retail sales in April were 73.47 billion US dollars, an increase of 0.9% compared to the previous month, with department stores experiencing a decrease of 1.1% compared to the previous month. An increase of 4.3% compared to the same period last year and 23.4% compared to the same period in 2019.
Non physical retailers: The retail sales in April were $112.63 billion, an increase of 1.2% compared to the previous month and 8% compared to the same period last year. The growth rate slowed down and increased by 88.3% compared to the same period in 2019.
The inventory sales ratio continues to rise
The inventory data released by the United States Department of Commerce showed that the inventory of US enterprises fell 0.1% month on month in March. The inventory/sales ratio of clothing stores was 2.42, an increase of 2.1% compared to the previous month; The inventory/sales ratio of furniture, home furnishings, and electronic stores was 1.68, an increase of 1.2% compared to the previous month, and has rebounded for two consecutive months.
China’s share of US clothing imports has dropped below 20% for the first time
Textile and Clothing: From January to March, the United States imported textile and clothing worth 28.57 billion US dollars, a year-on-year decrease of 21.4%. Import from China reached 6.29 billion US dollars, a year-on-year decrease of 35.8%; The proportion is 22%, a year-on-year decrease of 4.9 percentage points. Imports from Vietnam, India, Bangladesh, and Mexico decreased by 24%, 16.3%, 14.4%, and 0.2% year-on-year, accounting for 12.8%, 8.9%, 7.8%, and 5.2%, respectively, with increases of -0.4, 0.5, 0.6, and 1.1 percentage points.
Textiles: From January to March, imports reached 7.68 billion US dollars, a year-on-year decrease of 23.7%. Import from China reached 2.58 billion US dollars, a year-on-year decrease of 36.5%; The proportion is 33.6%, a year-on-year decrease of 6.8 percentage points. Imports from India, Mexico, Pakistan and Türkiye were – 22.6%, 1.8%, – 14.6% and – 24% year on year respectively, accounting for 16%, 8%, 6.3% and 4.7%, with an increase of 0.3, 2, 0.7 and -0.03 percentage points respectively.
Clothing: From January to March, imports reached 21.43 billion US dollars, a year-on-year decrease of 21%. Import from China reached 4.12 billion US dollars, a year-on-year decrease of 35.3%; The proportion is 19.2%, a year-on-year decrease of 4.3 percentage points. Imports from Vietnam, Bangladesh, India, and Indonesia decreased by 24.4%, 13.7%, 11.3%, and 18.9% year-on-year, accounting for 16.1%, 10%, 6.5%, and 5.9%, respectively, with increases of -0.7, 0.8, 0.7, and 0.2 percentage points.
Post time: May-25-2023