Affected by the spread of COVID-19, almost all countries around the world have seen trade imbalances, and many countries have taken relevant anti-pandemic measures, resulting in the operation of textile and apparel industry factories in Central American countries facing almost no profit.

According to U.S. government statistics, in the first half of 2019, Central America’s sales of U.S. textiles totaled USD 17.593 million, but in the same period in 2020, it dropped sharply to only USD 11.553 million, a 34% decline. Statistics show that Panama (-49%), El Salvador (-48%), and Honduras (-47%) have the largest decline, followed by Costa Rica (-30%), Nicaragua (-27%), and Guatemala (-25%).

 

The Nicaragua Textile and Apparel Industry Association stated that due to the huge impact of the COVID-19, the textile industry in Central America is struggling. In response to the situation, the clothing dealership has also switched from store sales to online sales. However, most businesses are still in a loss.