China’s dominance in Japan’s apparel market is gradually weakening, with its share falling to 46.8% in the first four months of 2025. Although China remains the largest apparel supplier to Japan, its market share has steadily declined from over 55% in recent years.
According to Japan’s Ministry of Finance trade data, the country is diversifying its sourcing base. Imports from Vietnam, Bangladesh, and Indonesia have grown, reflecting a shift toward alternative sourcing destinations amid rising costs in China and global supply chain recalibrations.
Industry observers note that Japanese retailers are increasingly exploring suppliers outside China to mitigate geopolitical risks and over-dependence. Vietnam, in particular, has become Japan’s second-largest source of apparel, showing consistent year-on-year growth.
Experts suggest that if the current trend continues, China’s share may dip below 45% within the next couple of years, although its vast manufacturing scale and long-standing trade relationships with Japanese brands still give it a competitive edge.
The shift marks a broader transformation in global apparel sourcing, where Japan, like many other markets, is reevaluating supplier diversity and cost-efficiency in a post-pandemic world.
