2001 export/import statistics: narrowing gap in U.S. trade of nonwoven roll goods shown. (Capital Comments).

According to statistics provided by the U.S. government, the amount of nonwoven roll goods exported from the U.S. increased last year by 6.8% compared to 2000 and hit a record of nearly 166 million kilograms (versus just under 159 million kg in 2000). While this is good news, it needs to be tempered by the fact that U.S. imports increased by a whopping 13.5% last year too, such that total imports last year reached a record 96.2 million kg (up from slightly less than 85 million kg in 2000). Over a five-year period, in fact, the gap between U.S. imports and exports of nonwoven roll goods has narrowed considerably. In other words, in 1997 the U.S. exported 205% more than it imported (121 million kg v. 59 million kg) whereas the U.S. only exported 173% more than it imported during 2001 (166 million kg v. 96 million kg).

Considering the circumstances other sectors of the U.S. textiles industry are facing when it comes to international trade, the U.S. export/import ratios for nonwoven roll goods are both remarkable and laudatory. Nevertheless, the fact that the gap has narrowed by so much and so quickly needs to be noted, and the long-term trends should be carefully monitored. After all, if this trend continues, it may be just a few years before there is little difference between U.S. imports and exports of nonwoven roll goods.

Export/Import Statistics

INDA, Association of the Nonwoven Fabrics Industry, Cary, NC, has been collecting export/import data for more than 10 years and reports these data to its member companies and publishes an annual summary in NONWOVENS INDUSTRY magazine. The raw information is provided by the U.S. International Trade Commission (ITC) based on reports filed with the U.S. Customs Service whenever goods enter or leave the U.S. ITC records are based on the Harmonized Tariff Schedule (HTS) designation of 5603.00 used globally to identify nonwoven roll goods.

In reporting these data, INDA aggregates the various "breakouts" for nonwovens that exist under HTS 5603.00 and does not report on separate categories of goods (spun-bonded materials versus wetlaid, for instance), even though this information can be teased out of the numbers available from ITC. INDA aggregates these data because, in the past, it has been informed by member companies that breakout data does not reflect their experience in the market and, therefore, is not reliable. This is understandable because it can be difficult for import/export brokers, customs agents and others to differentiate between various types of material. The end result being that mislabeled shipments can go undetected. Moreover, breakouts can vary from country to country under the HTS system such that it can be difficult to make an "apples to apples" comparison of various materials traded around the world. Similarly, INDA reports data based on kilograms even though other measurements are available--including estimated value--because it is an objective determination which does not rely on conjecture or speculation.

As with previous reports, therefore, readers should note that the figures contained here represent one presentation of available data. That said, following is a summary of U.S. imports and exports of nonwoven roll goods as reported under HTS category 5603.00 and measured in kilograms (one kg = 2.2 pounds).

Since 1996, the overall increase in exports during the past seven years has been an outstanding 159% (table 1). As for primary destinations for U.S. exports, Table 2 shows that nearly 60% do not leave the U.S. and that the "hottest" destination for U.S. exports last year was China.

Other countries that saw significant increases in the amount of nonwoven roll goods shipped from the U.S. include: 1) the Congo (growing from 0 kg in 1996 to 2.2 million kg in 2001, making this African nation the 12th most popular destination last year); 2) Poland (growing from 200,000 kg in 2001 to 1.0 million kg in 2001--an increase of 383%) and 3) Slovakia (more than doubling from 0.7 million kg in 2000 to just under 1.5 million kg last year). Overall, 104 countries around the world received some quantity of nonwoven roll goods from the U.S. last year, and 21 took quantities of more than 1 million kg.

In terms of imports to the U.S., Table 3 shows that growth has soared by more than 240% during the past seven years--growing from 39.8 million kg in 1996 to 96.2 million kg last year. But unlike exports from the U.S., Table 4 clearly shows that the vast majority of imported roll goods (nearly 87%) is being sent to the U.S. from just 10 countries. All told, in fact, 50 countries exported some amount of roll good to the U.S. last year and, of these, 16 exported one million kg or more. On the other hand, 25 of these 50 countries shipped quantities of less than 100,000 kg, while the U.S. exported quantities of at least 100,000 kg to 50 different countries last year.

When looking at new destinations for U.S. exports last year, there are some standouts. in addition to the Congo, there were 12 countries that received some amount of nonwoven roll goods from the U.S. last year but had no recorded shipments in 2000. Tunisia, for instance, went from zero in 2000 to 567,000 kg in 2001, and Benin went from zero in 2000 to 102,000 kg last year. Other new destinations included: Dominica Island (15,000 kg), Vatican City (just under 9,000 kg), Ghana (7400 kg), Mauritius (7300 kg), Christmas Island (6900 kg), Cameroon (5300 kg), the British Virgin Isles (2300 kg), Bulgaria (1000 kg), Bermuda (702 kg) and Zambia (65 kg). Eighteen countries, on the other hand, did not receive any nonwoven roll goods from the U.S. during 2001 but took some quantity in 2000.

With imports, nine countries sent some amount of nonwovens to the U.S. last year even though they had no recorded shipments during 2000. These countries include: Greece, Iceland, Bulgaria, Slovakia, Chile, Guatemala, Costa Rica and New Zealand).

Conclusions

Every year that INDA has published export/import data, it has generally been left it to the reader to draw his or her own conclusions from these statistics. Other than noting that the gap between exports and imports appears to be narrowing, its continue this practice with one exception--it appears that NAFTA has had a noticeable impact on U.S. trade of roll goods, especially with exports to Mexico. Indeed, U.S. exports to Mexico have rocketed nearly 340% during the past seven years, and the most likely explanation is that these goods move duty free from the U.S., whereas shipments from most other countries are subject to significant duties. There is no telling, therefore, how much growth can be expected for U.S. exports if the Free Trade Area of the Americas (FTAA) agreement is successfully implemented later this decade.

TABLE 1

U.S. Exports of Nonwoven Roll Goods (In Millions, kg)

1996   1997   1998   1999   2000   2001

104.3  121.0  119.2  109.7  158.7  165.5
TABLE 2

Top 10 Destinations of Nonwoven Roll Goods

Exported from the U.S. During 2001

(In Millions, kg)

Country   Amount  % Change 2000-2001

Mexico     62.2          6.8
Canada     33.3          9.6
U.K.       9.8          (25.8)
Japan      6.2          (13.7)
Germany    5.5           61.1
Honduras   5.0           2.3
Belgium    3.5          (7.0)
Korea      3.4           8.3
Columbia   2.6           41.8
China      2.5           71.9

Total     133.9          5.1

% of World Total: 80.9

% of World Total Staying in N.America: 57.7
TABLE 3

U.S. Imports of Nonwoven Roll Goods (In Millions, kg)

1996  1997  1998  1999  2000  2001

39.8  59.5  56.3  59.3  84.8  96.2
TABLE 4

Top 10 Sources of Nonwoven Roll Goods Imported to the U.S. During 2001
(In Millions, kg)

Country     Amount  % Change 2000-2001

Israel       20.9          11.6
Canada       15.3         (0.6)
Germany      13.7         146.8
Italy        10.9          20.2
Mexico       5.6           27.7
Japan        5.2          (15.9)
Spain        3.5           31.9
U.K.         3.3          (9.6)
France       2.8          (35.2)
Luxembourg   2.6          (32.7)
Total       83.5           16.5

% of World Total: 86.8

Peter Mayberry is the director of government affairs for INDA, Association of the Nonwoven Fabrics Industry. He can be reached in care of Mayberry & Associates, LLC at 252 N. Washington Street, Ste. A, Falls Church, VA 22046. Telephone: [phone]; Fax: [phone]; E-mail: [e-mail]. His Capital Comment column appears monthly in NONWOVENS INDUSTRY.