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Egypt’s garments exports carve out 15% increase despite volatile geopolitics

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As per the Apparel Export Council of Egypt (AEC), the sector’s exports reached approximately USD 1.15 billion between January and April 2026

Despite the ongoing Iran war and the trade disruptions at the Strait of Hormuz, Egypt’s ready-made garment exports have still managed to carve out a 15% increase in the first four months of 2026.

As per the latest report issued by the Apparel Export Council of Egypt (AEC), the sector’s exports reached approximately USD 1.15 billion between January and April 2026, compared with USD 1.002 billion during the same period of 2025, sustaining strong growth momentum amid rising demand from key international markets and the North African country’s ongoing efforts to diversify its export destinations.

The month of April delivered the strongest 30-day performance so far this year, with exports surging by 33% year-on-year to USD 287 million, up from USD 216 million in April 2025. The United States remained the largest single destination for Egyptian garments, with shipments rising by 13% to USD 429 million during the first four months of the year, compared with USD 379 million in the corresponding period of 2025.

European markets, on the other hand, further strengthened their position as the largest regional bloc importing Egyptian garments, accounting for 44.6% of total sector exports. Exports to the continent climbed 29% to USD 512 million, compared with USD 398 million a year earlier.

As per the AEC, among the European countries, Turkey (USD 135 million), Spain (USD 102 million), Germany (USD 67 million), the Netherlands (USD 64 million), the United Kingdom (USD 42 million), and Italy (USD 33 million) remained the key export destinations for the North African country’s garment players. In fact, exports to Italy showed a massive 95% year-on-year jump.

Fadel Marzouk, Chairperson of the Apparel Export Council of Egypt, said the council remains committed to achieving annual export growth exceeding 22%, despite challenges arising from geopolitical tensions and their impact on the global economy.

“The strong export performance during the first four months of the year reflects the growing competitiveness of Egyptian products in international markets. This comes amid major shifts in global supply chains and an increasing tendency among international brands to diversify sourcing destinations and rely more heavily on flexible and strategically located production hubs,” Marzouk told the Daily News Egypt.

As per the official, the US market has remained the primary engine of Egypt’s export growth, alongside strong expansion across European markets, particularly Spain, Germany, and Italy. Egyptian manufacturers, in Marzouk’s opinion, have succeeded in improving product quality and delivery reliability, strengthening the confidence of international buyers in Egypt’s garment industry.

The AEC is right now implementing a strategy aimed at opening new markets and increasing Egypt’s market share in key export destinations like Europe and North America, while also pursuing “promising opportunities” across African markets.

“The sector has significant potential to achieve even higher growth rates in the coming years, particularly with ongoing factory expansions and new investments in textiles, spinning, and ready-made garments,” he said.

For Marzouk, sustaining the garment industries’ current growth trajectory will require continued export support programs, apart from measures like adequate financing for manufacturers, deeper industrial integration, and greater reliance on locally produced raw materials and production inputs to increase value-added manufacturing and enhance global competitiveness.

The AEC Chair sees garment exports rising by more than USD 1 billion in 2026, bringing total sector exports to around USD 4.4 billion, which would mark the highest export level in the history of the North African country’s ready-made garments industry. The export council, in cooperation with the government entities, is actively addressing challenges faced by the industry when it comes to sustaining industrial development and export growth.

According to Marzouk, the industry will see an unprecedented export expansion over the next three years, supported by new production capacities resulting from foreign direct investment (FDI) inflows and expansion projects undertaken by Egyptian manufacturers.

The sector is making efforts to maximize existing production capacity by modernizing manufacturing processes, utilizing higher-quality materials, integrating environmental considerations into production, and last but not least, adopting circular economy practices to ensure sustainable long-term growth.

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