Ecuador's textile and footwear sector began to show signs of recovery in the second half of 2025, with nearly 9% growth despite previous declines, although challenges remain.
The Ecuadorian textile and footwear sector has reportedly experienced a 'slight recovery' in the latter half of 2025, marking a significant turnaround after a difficult year in 2024 when sales fell by 5%. This positive trend is showcased by a growth rate of nearly 9% as businesses strive to find stability after navigating economic fluctuations. Despite this growth, sector analysts emphasize that the numbers reflect only a 'partial adjustment' rather than a full recovery, warranting a cautious approach to future projections.
In addition to recovering sales, the sector continues to grapple with ongoing challenges, particularly the threat posed by smuggling. Smuggled goods disrupt local market prices and can undercut domestic producers, hindering their ability to compete effectively. As lashed out by some industry representatives, curbing smuggling is critical to ensuring the longevity and stability of the textile and footwear markets, which are integral to Ecuador's economy.
Looking ahead, stakeholders in the Ecuadorian textile industry are focusing on strategies to not only bolster sales but also to mitigate the impacts of illegal importing. Collaborative efforts between government agencies and industry leaders will be vital in creating a fair marketplace, thus safeguarding local jobs and sustaining growth. The emphasis on comprehensive policy changes and enforcement could help balance the scales between legal and illegal operations within this essential sector of the economy.
