HS Code:
Cotton sewing thread, whether or not put up for retail sale, falls under HS Code 5204. This category includes threads made primarily of cotton, used for sewing, stitching, and other textile applications. These products can be presented in various forms, such as spools, cones, or balls, and are essential in garment manufacturing, home textiles, and industrial sewing. The trade of cotton sewing thread is influenced by the global textile and apparel industry, with demand driven by fashion trends, population growth, and industrial production capacities.
Total Trade Volume
USD 1.2 billion
Data from 2022
Source
United Nations Comtrade Database
USD 350 million
29.2% of total trade of total trade
Increasing
USD 200 million
16.7% of total trade of total trade
Increasing
USD 150 million
12.5% of total trade of total trade
Stable
USD 120 million
10.0% of total trade of total trade
Decreasing
USD 100 million
8.3% of total trade of total trade
Increasing
Average Rate
6.5%
Highest Rate
12% (imposed by certain developing countries to protect domestic industries)
Lowest Rate
0% (under free trade agreements such as EU-UK Trade and Cooperation Agreement)
Shift towards sustainable and organic cotton threads
Increased demand for eco-friendly products is driving manufacturers to adopt sustainable practices, influencing sourcing and pricing strategies.
2021-2023
Automation in textile manufacturing
Rising automation in garment production has boosted demand for high-strength, uniform cotton threads suitable for industrial machines.
2020-2022
Regionalization of supply chains
Post-COVID-19, there is a trend towards nearshoring and regional supply chains, reducing dependency on distant exporters like China.
2021-2023
The European Union introduced stricter sustainability and traceability requirements for cotton products, including sewing threads, to ensure ethical sourcing and environmental compliance.
March 2023
Exporters to the EU market may face higher compliance costs, potentially affecting trade volumes from non-compliant countries.
India launched a new export promotion scheme providing subsidies to cotton thread manufacturers, aiming to capture a larger share of the global market.
January 2023
This initiative is expected to increase Indiaโs trade volume and competitiveness, especially in price-sensitive markets.
Ongoing trade disputes have led to fluctuating tariffs on Chinese cotton sewing thread imports to the US, prompting importers to explore alternative suppliers.
October 2022
Diversification of supply sources may benefit countries like India and Turkey, while Chinese exporters could face reduced market share in the US.