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Guess has partnered with Authentic Brands Group to go private in a deal that values the apparel company at approximately $1.4 billion. As part of the transaction, Authentic will acquire a 51 per cent stake in ‘substantially all’ of Guess' intellectual property (IP). A group of ‘rolling stockholders,’ including Maurice and Paul Marciano, Co-founders and Carlos Alberini, CEO will own the remaining 49 per cent of the IP. The current Guess management team will continue to run the business, holding 100 per cent ownership of the operating company.
Under the agreement, remaining Guess shareholders will receive $16.76 per share in cash. This is a higher valuation than the $13 per share non-binding offer made by WHP Global in March 2025.
As a powerhouse brand, Guess has defined style and culture for over 40 years, says Jamie Salter, Founder, Chairman, and CEO, Authentic Brands Group. The brand has tremendous respect for the Marcianos and their team and aims to build on this legacy in partnership with them as Guess enters its next chapter within our platform.
Authentic Brands Group has a vast portfolio of over 50 global brands, including major surf brands like Quiksilver, Billabong, and Volcom, which collectively generate around $32 billion in annual retail revenues.
Paul Marciano, Co-founder and Chief Creative Officer, notes, joining forces with Authentic which is the world’s second-largest licensor will enable the brand to build on this foundation and expand reach as a global lifestyle brand.
Currently, Guess operates nearly 1,100 stores in Europe, the Americas, and Asia, with an additional 527 stores run by partners and distributors worldwide.
According to Carlos Alberini, CEO operating as a private company will give Guess enhanced flexibility to navigate today’s complex operating environment and execute on a more targeted, long-term strategy, enabling us to even better serve customers around the world.
Sales of Amer Sports Inc’s Technical Apparel Unit, rose by 25 per cent in Q3, FY25. Owner of the outerwear brand Arc’teryx, the company has been witnessing declining growth and is projected to fall further.
Sales from existing locations or revenue generated from owned retail stores and e-commerce sites open at least 13 months increased by 15 per cent as against the 19 per cent expectations by the Wall Street.
Despite this, the Finnish sporting goods conglomerate remains upbeat about the future and raised its full-year outlook for a second time this year. The company projects revenue will grow by 21 per cent as against 15 per cent to 17 per cent as per a prior forecast,
The company expects full-year earnings to reaching $0.77 to $0.82 per share, up from $0.67 to $0.72 last predicted, and more than the $0.75 analysts polled by Bloomberg had expected. The guidance assumes higher tariffs than previously expected.
Following high-level diplomatic engagements between Indian External Affairs Minister S. Jaishankar and Chinese Foreign Minister Wang Yi, a new chapter appears to be opening in the India-China trade relationship. While a basic summary of the meeting points to a renewed focus on dialogue to ease border tensions, the most concrete outcome on the trade front has been China's decision to lift export restrictions on key commodities, including rare earth magnets and fertilizers.
This strategic shift is being closely watched by India's textile and apparel sector, where analysis indicates that while there may be some benefits, the most likely outcome is a further increase in imports from China, particularly of raw materials and machinery.
The Economic Reality: Increased imports are likely
The fundamental reason for this lies in the sheer scale and efficiency of China's textile industry, which far surpasses India's. This dominance creates a trade dynamic where India relies heavily on China for crucial inputs, a reliance that is only set to deepen with the lifting of export curbs.
Key imports from China for Indian textiles
|
Category |
Old Scenario (Restrictions) |
New Scenario (Easing) |
Likely Impact on Imports |
|
Machinery Components |
Supply Chain Disruptions |
Smoother Access, Less Downtime |
Increased. Indian manufacturers will import more to upgrade technology and ensure production stability. |
|
DAP Fertilizers |
Price Volatility, Scarcity |
Improved Supply, Cost Stabilization |
Increased. Cheaper and more reliable access to fertilizers will boost cotton yields, but imports will likely rise to meet agricultural demand. |
|
Raw Materials (Yarn, Dyes) |
Volatile Supply, Higher Costs |
Potential for Stable Supply and Lower Costs |
Increased. Lower costs and stable supply will make Chinese inputs more attractive, further cementing reliance. |
|
Finished Goods |
Competition and Trade Barriers |
Potential for Eased Access, Cheaper Goods |
Increased. China's scale advantage means it can flood the Indian market with cheaper finished products. |
This dynamic is already reflected in the significant trade deficit that India maintains with China in the textile and apparel sector.
|
Category |
India Imports from China (USD Billion) |
India Exports to China (USD Billion) |
|
Textiles & Articles |
3.5 |
0.8 |
|
Raw Materials (Yarn) |
1.2 |
0.1 |
|
Garments & Accessories |
0.8 |
0.3 |
|
Total |
5.5 |
1.2 |
Source: Ministry of Commerce and Industry, Government of India (latest available data, FY 2022-23)
The bilateral trade reality and the case for caution
While the new developments could help Indian textile manufacturers become more price-competitive in the global market, particularly in Western countries that are seeking to diversify their supply chains, the direct bilateral trade with China remains a significant challenge. Analysts argue that with its colossal production capacity, China is in a prime position to increase its exports of cheaper finished goods to India. This could exacerbate the existing trade surplus and pose a direct threat to India's domestic manufacturing base.
Tirupur and Surat industries’ heavy import dependence on China
The knitwear cluster in Tirupur and the synthetic textile industry in Surat both rely heavily on raw material imports from China. The recent developments could indeed stabilize their supply chains for inputs like yarns and dyes. However, this same opening exposes them to fierce competition from cheaper Chinese finished goods. This underscores a crucial point: the lifting of restrictions benefits India's ability to produce competitively for global markets but does not inherently provide an advantage for exporting finished goods directly to the Chinese market. Instead, it makes the Indian market a more attractive destination for China's products.
Diplomatic thaw, a double-edged sword for India's textile sector
The recent diplomatic thaw and the lifting of China's export restrictions, while seemingly beneficial, are a double-edged sword for India's textile sector. The likely outcome is a deeper reliance on Chinese raw materials and machinery, leading to an increase in imports. This, coupled with China's superior scale, could allow it to further dominate the Indian market with cheaper finished goods. While the developments offer an opportunity for India to strengthen its domestic production for global export, the challenge of a significant trade imbalance with China remains a complex and critical issue that requires strategic long-term planning.
The addition of spandex yarn in the textile industry has changed the sector in many ways. While traditional metrics like yarn count (NE) and GSM (grams per square meter) have long dictated fabric quality and feel, the inclusion of spandex is adding a new layer of complexity, impacting not just a fabric's stretch but also its weight, cost, and design possibilities.
Understanding the yarn count and GSM
At its core, fabric quality is defined by two fundamental metrics:
Yarn Count (Ne): This number indicates the fineness of the yarn. A higher count (e.g., 60s, 80s) signifies a finer, more lightweight yarn, ideal for soft, breathable fabrics. Conversely, a lower count (e.g., 20s, 30s) indicates a coarser, heavier yarn used for more durable and structured materials.
Fabric GSM (grams per square meter): This metric measures the fabric's weight and density. It's a crucial indicator of a garment's intended use.
• Lightweight (100–150 GSM): Perfect for summer shirts, linings, and innerwear.
• Medium-weight (150–250 GSM): The standard for everyday T-shirts, dresses, and casual wear.
• Heavy-weight (250+ GSM): Reserved for durable items like hoodies, sweatshirts, and towels.
Adding weight and complexity
Spandex, also known as Lycra or elastane, is a synthetic fiber renowned for its exceptional elasticity. When blended with natural fibers like cotton, it provides stretch and recovery, making garments more comfortable and form-fitting. However, its impact extends beyond just elasticity; it directly influences a fabric's GSM and, consequently, its cost.
How spandex impacts GSM
Contrary to popular belief, adding spandex to a fabric blend, even in small percentages, typically increases the overall GSM. This is because spandex yarn, despite its fine appearance, is denser than most natural fibers like cotton or polyester. When a spandex filament is wrapped by or twisted with a cotton yarn, the combined yarn becomes slightly heavier. This results in a finished fabric that, for the same given yarn count, has a higher GSM than its 100 per cent cotton counterpart. For example, a 30s cotton single jersey might have a GSM of around 150-160, while a 30s cotton/5 per cent spandex blend could easily jump to 170-180 GSM.
The cost equation
The introduction of spandex also adds a layer of complexity to costing. While the primary cost is the spandex fiber itself, there are other factors at play. For example, raw material cost as spandex is a petroleum-based product and is significantly more expensive per kg than cotton or polyester. Even a small percentage can increase the raw material cost of the yarn. Moreover, special machinery and more delicate handling are often required during knitting and weaving to prevent the spandex from breaking or losing its elasticity. This can slow down production and increase operational costs.
Spandex also requires specific dyeing processes and chemical treatments to ensure the color consistency with the blended fibers. These specialized finishes can add to the overall cost. Fabrics with spandex are often marketed as "stretch" or "performance" fabrics, allowing brands to command a higher price point. This allows them to pass on the added costs to consumers who are willing to pay for the comfort and durability benefits.
GSM and cost comparison
The following hypothetical data table illustrates the impact of a simple 5 per cent spandex blend on a common single jersey fabric.
|
Fabric composition |
Yarn count (Ne) |
Typical GSM range |
Estimated cost per kg (raw fabric) |
|
100% Cotton |
30s |
150-160 |
$4.00 - $4.50 |
|
95% Cotton / 5% Spandex |
30s |
170-180 |
$5.50 - $6.00 |
|
100% Cotton |
40s |
120-130 |
$4.50 - $5.00 |
|
95% Cotton / 5% Spandex |
40s |
140-150 |
$6.00 - $6.50 |
|
Note: Costs are illustrative and subject to market fluctuations. |
As seen in the table, the 5 per cent spandex blend not only increases the fabric's GSM but also adds a substantial premium, making the fabric approximately 25-30 per cent more expensive at the raw material stage.
The bottom line for designers and consumers
The "spandex effect" is a critical consideration for designers and manufacturers. While it offers a pathway to creating more comfortable and functional apparel, it requires careful planning to balance the desired hand feel and performance with the increased weight and cost. For consumers, the price tag on a spandex-blended garment reflects not just the stretch but also the specialized processes and premium materials that went into its creation. The takeaway is clear: the modern textile landscape is no longer a simple calculation of yarn count and weight; it's an intricate dance of fibers, function, and finance, with spandex leading the way.
The ZDHC (Zero Discharge of Hazardous Chemicals) Foundation has launched a new online tool to help the textile, apparel, and footwear industries measure and manage their air emissions. Called the ZDHC Air Emissions Module, this tool is a part of the organization's broader ‘Roadmap to Zero’ program.
The tool has been designed to help companies track two main types of air pollutants: Volatile Organic Compounds (VOCs) and Greenhouse Gas (GHG) emissions (specifically Scope 1 and Scope 2)
ZDHC's philosophy is to work on ‘input chemistry’ to manage ‘output.’ The tool calculates potential VOC emissions based on the chemical inventory used in a facility's production processes. It requires suppliers to annually report their air emissions data. This helps facilities establish a baseline and track their progress toward meeting the ZDHC's Air Emissions Guidelines.
The tool aligns with the Science Based Targets Initiative (SBTi) to help companies set emission reduction goals in line with the Paris Agreement's 1.5°C pathway.
By providing a standardized way to track and report air emissions, the ZDHC aims to help the industry reduce its environmental impact and improve air quality in the communities where these facilities operate.
The ZDHC (Zero Discharge of Hazardous Chemicals) Foundation has launched a new online tool to help the textile, apparel, and footwear industries measure and manage their air emissions. Called the ZDHC Air Emissions Module, this tool is a part of the organization's broader ‘Roadmap to Zero’ program.
The tool has been designed to help companies track two main types of air pollutants: Volatile Organic Compounds (VOCs) and Greenhouse Gas (GHG) emissions (specifically Scope 1 and Scope 2)
ZDHC's philosophy is to work on ‘input chemistry’ to manage ‘output.’ The tool calculates potential VOC emissions based on the chemical inventory used in a facility's production processes. It requires suppliers to annually report their air emissions data. This helps facilities establish a baseline and track their progress toward meeting the ZDHC's Air Emissions Guidelines.
The tool aligns with the Science Based Targets Initiative (SBTi) to help companies set emission reduction goals in line with the Paris Agreement's 1.5°C pathway.
By providing a standardized way to track and report air emissions, the ZDHC aims to help the industry reduce its environmental impact and improve air quality in the communities where these facilities operate.
Welcoming the UK government's recent announcement of liberalized rules of origin under the Developing Countries Trading Scheme (DCTS), the Joint Apparel Association Forum (JAAF) hailed it as a major boost for Sri Lanka's apparel industry.
The new reforms will permit Sri Lankan manufacturers to source up to 100 per cent of their garment inputs from any country worldwide while still benefiting from duty-free access to the UK market, says Yohan Lawrence, Secretary General, JAAF, This change reduces processing restrictions and aligns Sri Lanka's apparel sector with the ‘Comprehensive Preferences’ enjoyed by other nations under the DCTS, he adds.
The UK is one of the most important export destinations for Sri Lankan apparel. Lawrence opines, the simplified rules will allow manufacturers to be more competitive globally, diversify their sourcing strategies, and maintain consistent access to UK buyers. The changes also reinforce Sri Lanka's reputation as a reliable, value-added supplier within global fashion supply chains.
By removing sourcing restrictions, the UK has leveled the playing field for Sri Lankan manufacturers, giving them the flexibility to provide greater value to both global brands and UK consumers, Lawrence notes. The reforms will lead to expanded trade, enhanced industry competitiveness, and the creation of more jobs within the sector, he anticipates.
The JAAF also acknowledged the collaborative efforts of the UK High Commission, the Department of Commerce, and the Sri Lankan apparel industry in advocating for this positive change. The new rules are expected to increase exports, improve efficiency, and strengthen the long-standing trade partnership between the two nations. As Sri Lanka's largest export earner, the apparel industry, which employs over 350,000 people directly and supports over a million livelihoods, relies on such liberalized trade agreements to drive the country's economic recovery and long-term growth.
Rahul Mehta, Chief Mentor, Clothing Manufacturers Association of India (CMAI), has hailed the government's objective to simplify the GST structure by reducing the number of tax slabs and to make essential consumer products, like clothing, more affordable. This goal aligns perfectly with the interests of the apparel industry, he notes.
However, currently, garments are taxed at 5 per cent for those priced up to Rs 1,000 and at 12 per cent for those above that threshold, Mehta points out. If the 12 per cent slab is eliminated, garments in that category might be pushed into a new, higher 18 per cent slab, which would be ‘disastrous,’ he warns.
To avoid this outcome and truly benefit the industry, Mehta advocates for a single, uniform 5 per cent GST rate across the entire textile value chain. He argues, this is a solution the apparel industry has been seeking since the GST's inception. A uniform rate would not only make clothing more affordable for consumers but also resolve the long-standing issue of the inverted duty structure.
Mehta further warns, increasing the Rs 1,000 price threshold pushes garments above the new limit into a much higher 18 per cent slab. The significant gap between a 5 per cent and 18 per cent rate would encourage manufacturers to compromise on product quality to fall into the lower tax bracket, he says. It could also lead to unethical practices like under-invoicing and the growth of an unregulated ‘grey market,’ as businesses may seek to avoid the high tax rate, he adds.
In conclusion, while the intentions behind the GST reforms are ‘commendable’ and ‘long overdue,’ Mehta emphasizes, the government must be meticulous in its implementation to avoid unintended, harmful consequences for the apparel industry.
According to a report by marketsandmarkets.com, ‘Textile Recycling Market – Global Forecast to 2030,’ the global textile recycling market is projected to grow at a CAGR of 7.2 per cent from $8.41 billion in 2025 to $11.88 billion by 2030.
This rapid growth is driven by a combination of environmental, economic, and regulatory factors. As the global textile industry expands, particularly with the rise of fast fashion, a massive amount of waste is being generated. This has led to growing concerns about pollution, resource depletion, and climate change, prompting consumers and brands to embrace circular business models. Additionally, governments worldwide are implementing stricter policies, such as Extended Producer Responsibility (EPR) and landfill bans, which are pushing manufacturers to manage their waste more responsibly. Advances in mechanical and chemical recycling are also making it more feasible to process complex fiber blends.
The polyester and polyester fibers segment is the fastest-growing material in the market due to its widespread use in fast fashion and activewear. Advancements in chemical recycling now allow for the creation of high-quality, recycled polyester (rPET), which is increasingly being adopted by brands to meet their sustainability goals.
The pre-consumer textile waste category is projected to grow fastest because it is easier to recycle. Pre-consumer waste, such as cutting scraps and production overruns, is cleaner and more uniform than post-consumer waste. Brands are creating closed-loop systems to recycle this waste internally and align with zero-waste goals.
The online channel is growing rapidly due to its convenience and scalability. Digital platforms simplify textile collection, resale, and donation, while e-commerce sites boost sales of recycled products with features like digital labels and sustainability credentials.
The Asia Pacific region is expected to have the highest CAGR. As the world’s dominant textile manufacturing hub, countries like China, India, and Bangladesh generate a massive supply of waste. Governments in the region are increasingly focusing on sustainable waste management, and international brands are investing in local recycling infrastructure to meet global targets. This combination of supply, policy support, and growing awareness is positioning Asia Pacific as a leader in textile recycling.
In a major strategic move to boost its clothing business and compete with rivals like Next and M&S, John Lewis is launching 100 new menswear and womenswear brands in its stores.
This expansion includes high-end labels such as Mulberry, which will feature an exclusive collection of bags and accessories. Other new additions include brands like Akyn, By Malene Birger, and Iro. The retailer is also diversifying its offerings with specialized labels, such as Japanese camping wear brand Snowpeak and parkas from British designer Nigel Cabourn. This latest initiative builds on a previous expansion earlier this year, which saw 49 new fashion brands added for the spring/summer season. John Lewis currently stocks 650 clothing brands.
This fashion initiative is a key part of the company's wider $800 million turnaround program, which also involves store renovations and hiring more staff. The overhaul is being led by Peter Ruis, who joined the company last year with over 30 years of fashion experience. Ruis's goal is to give customers even more reasons to shop in our brilliant stores and to more than double the retailer's clothing revenue from $1.2 billion to $2.5 billion.
While Next and M&S have grown their share of the clothing and footwear market over the past five years, John Lewis's market share has remained flat at 1.5 per cent. However, this new push comes at a opportune time, as M&S has recently been hit by a cyber attack that disrupted its online and click-and-collect services for weeks. According to Louise Deglise-Favre, Analyst, Global Data, this situation creates a clear opportunity for John Lewis to capture some of this lost spending.
In addition to the new brands, John Lewis is expanding its own-label lines, including its largest-ever cashmere collection this autumn, which is expected to boost cashmere sales by at least 20 per cent. According to Rachel Morgans, Fashion Director, John Lewis, the retailer is carefully curating a premium quality range and is focused on adding brands that appeal to their customers rather than simply ‘chasing numbers.’
