The global trade of HS-560312 (nonwoven fabrics made from man-made filaments) plays a pivotal role in the US textile industry, catering to diverse applications such as automotive, medical, filtration, hygiene products, and industrial textiles. As a key importer, the United States offers free market access for these products under an MFN (Most Favoured Nation) tariff of zero per cent, making it an attractive destination for global exporters.
Table1: Key Observations and Trade Statistics on HS-560312- Nonwoven Fabrics (Man-Made Filaments) in CY 2024
Note: RCA - Revealed Comparative Advantage; UVR - Unit Value Realisation; LPI - Logistic Performance Index
Germany
Germany holds the top position in the export market for nonwoven fabrics of man-made filaments, with a significant export value of $68.678 million to the US. Its Revealed Comparative Advantage (RCA) of 2.78 indicates a strong specialisation in this segment, demonstrating that Germany exports these fabrics at a much higher rate than the global average. This high RCA underscores Germany’s competitive edge, positioning it as a leader in the trade of this product to the US.
Despite offering high-priced products with a Unit Value Realisation (UVR) of $6.30 per kg, Germany maintains its market leadership in the US market. This premium pricing is a result of advanced manufacturing technology, superior quality standards, and stringent regulatory compliance. German manufacturers prioritise innovation, durability, and performance, making their nonwoven fabrics suitable for high-end applications in industries such as automotive, medical textiles, filtration, and geotextiles.
Furthermore, Germany’s dominance is driven by its strong research and development (R&D) ecosystem, which fosters continuous product improvement. Investments in automation, precision engineering, and sustainability initiatives also contribute to its competitive positioning. While higher prices may limit cost-sensitive buyers, Germany’s reputation for reliability and excellence ensures continued demand from premium markets that prioritise quality over cost.
China
China’s position in the nonwoven fabrics of man-made filaments market is a mix of strength and challenge in the US market. With an export value of $56.263 million, the country showcases its large-scale manufacturing capacity, a key factor in maintaining its global presence. However, its RCA of 0.81 per cent suggests that China is losing its competitive edge in this category compared to other leading exporters to the US. An RCA value below 1 indicates that China is less specialised in this segment relative to global trade patterns.
Despite this, China’s low Unit Value Realisation (UVR) of $1.21 per kg allows it to remain a formidable player. A lower UVR implies that China’s pricing strategy is highly competitive, making its products more attractive to cost-sensitive buyers.
Tariff Impact: With the first tariff imposition on February 4th, 2025, the tariff rate increased to 10 per cent. This rise in the tariff burden would lead to an increase in the UVR as production and export costs escalate. As a result, the UVR would likely increase to around $1.3/kg, reflecting the growing challenges posed by the higher tariffs. The increase in the UVR shows that the products are becoming more expensive, which could make them less competitive for price-sensitive US consumers.
