Apparel Exports Rise 5.4% amid Policy and Tariff Concerns

Sri Lanka’s apparel exports reached $4.57 billion during the first 11 months of 2025, recording a 5.42% year-on-year increase, according to the Joint Apparel Association Forum (JAAF). Despite the strong cumulative performance, exports in November declined by 1.96% to $367.6 million, reflecting mixed market conditions.

Exports to the EU (excluding the UK) showed robust growth of 13.07% year-to-date, while the US market grew 1.73%, though manufacturers report margin pressure due to tariff exposure. In contrast, exports to the UK and other markets declined, raising concerns about market concentration.

Industry representatives warn that policy uncertainty and slow government intervention could undermine future growth, particularly as smaller factories face rising costs and weakening buyer confidence. Stakeholders are urging clearer policy direction and stronger trade engagement to protect the sector’s sustainability.

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