ISLAMABAD: Pakistan’s textile sector witnessed a sharp slowdown in June 2026, with exports declining significantly on both a monthly and annual basis, according to the latest trade data. Despite the weak end of the fiscal year, the country’s textile exports managed to register a marginal increase over the entire fiscal year.
Official data shows that textile exports stood at $1.282 billion in June 2026, representing a decline of 22.63 percent over the previous month. The data also reflects a decline of 15.77 percent over June 2025, highlighting softening international demand and sluggish export activity.
The latest data shows that Pakistan exported textile products worth $1.657 billion in May 2026, while exports reached $1.522 billion during June 2025.
Despite a weak performance in the final month, overall textile exports during the fiscal year 2025-26 reached $17.97 billion, compared to $17.91 billion in the previous fiscal year, reflecting a modest 0.34 percent year-on-year increase.
Industry observers say the modest annual growth reflects the resilience of Pakistan’s largest export sector despite persistent challenges including rising production costs, volatile global demand, high financing costs, and increasing competition from regional textile-producing countries.
Textiles remain Pakistan’s leading export industry, contributing the largest share to the country’s foreign exchange earnings. Analysts believe that sustained policy support, lower energy costs, and improved market access will be necessary to restore the momentum of strong exports in the coming months.
