Abstract
The US apparel industry continues to be a large, mature industry that is intensely competitive. It is also highly fragmented and is undergoing restructuring and operational changes that further accentuate past trends. The principal drivers of change continue to be the increasing levels of low‐cost imports, but also include dramatic changes in retailing following consolidation of the retail sector, new technology, changing work habits and demographic changes (principally the ageing of the baby boomers). In addition, trade and tax legislation that confers special status on firms operating in certain Caribbean countries has resulted in the growth of outward processing that in turn has led to further domestic firm operational restructuring.
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