Ah, America – that bustling behemoth of an economy! It seems they’ve been doing rather well, if the US Department of Commerce is to be believed, with their real gross domestic product (GDP) and consumer spending on the rise. Wages are also having a moment. The US economy isn’t just about numbers, though.
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Economic Outlook and Forecasts
In September, the clever folk at S&P Global Ratings forecasted a 2.7% boost in the US economy for 2024. They’re also betting on a 1.8% increase for 2025, slightly up from their initial estimates in June. Interestingly, they’ve put the odds of a recession starting within the next year at 25%. Businesses, meanwhile, are a bit tight-fisted with capital purchases, likely due to rising costs and policy unpredictability.
Read more about these economic predictions from S&P Global Ratings.
Employment Overview
Now, on to employment, a topic that’s always teetering between optimism and despair. The clever chaps at the Bureau of Labour Statistics (BLS) noted that the US added some 254,000 jobs in September. With an unemployment rate at a cheerful 4.1% – the lowest in 50 years – it must be said, well done indeed.
That said, S&P Global suspects we’ll see an uptick in this rate, expecting 4.5% by the latter part of 2025. This rise isn’t due to falling employment, but rather an expanding labour force. Quite the shift from historic recession patterns.
Trade Tidbits
On a rather different note, trade isn’t looking as sunny. Between January and June 2024, US textile and apparel imports dropped by 3.58% to $49.349 billion. Meanwhile, exports in that category fell by 3.17% to $11.5 billion. Mexico and Canada remain America’s top export buddies. But importing from China and Vietnam, the two largest suppliers, dropped by a few percentage points.
Ports and Policy Challenges
Speaking of which, the US faced a port strike come October – a three-day affair that caused quite the hullabaloo. Dockworkers on the East and Gulf Coasts walked off, leading to a backlog in cargo. Luckily, a tentative agreement was reached, but not without driving up freight rates considerably. It’s a tricky situation that’s likely to influence shipping schedules well into the New Year.
Legislation and Sustainability
Moving to policy, California has quite taken the lead in sustainability matters with its Senate Bill 707. Passed under the, ahem, Responsible Textile Recovery Act of 2024, it seeks to mend and recycle more garments, inevitably giving a nod to the environment. No more careless toss away of used textiles—all thanks to this significant legislative feat!
Learn more about California’s ground-breaking textile recycling legislation.
Cotton Commitment
Ah, and have you heard? The US Cotton Trust Protocol is proving how committed it is to greener fields, with grower enrolment ballooning by 35% in 2024. It seems the good lads and lasses are dedicated to sustainability, with over two million acres now under eco-friendly cultivation. Well done to America for making their cotton fields as green as ye olde English countryside.
Election Waves
The recent electoral proceedings also piqued much interest, with trade policy hanging in the balance. The Republican party, with their protectionist policies, promise turbulence for supply chains. Conversely, the Democrats talk of heftier taxes and rising production costs. Consequently, eager eyes are on how these political dalliances will influence the ever-dependable US textile trade.
Exhibition Extravaganza
To cap it all, textile aficionados were treated to a semi-annual exhibition at New York City’s Javits Center in July. Over 500 Chinese companies showcased their sustainable innovations, aiming to shatter old perceptions of poor quality. This marks a rather impressive shift toward premium standards.
As one might say, it’s a fascinating time in the fabric of US commerce! Fibre2Fashion News Desk (SB – WE).
