HanesBrands in El Salvador Produces Fabric That Circles the Planet Two Times

Leading Exporter in El Salvador

For 11 consecutive years, HanesBrands has been the company with the most exports in El Salvador, according to a ranking prepared by the Salvadoran Association of Industrialists (ASI). In 2023, the firm shipped containers valued at $637.7 million, equivalent to 9.8% of the country’s total exports. The company operates four plants: Construcciones Jiboa and Confecciones El Pedregal, both dedicated to producing multi-style clothing, as well as El Salvador Textiles, where it manufactures textiles, and El Salvador Socks for socks. The company is also the largest private employer in the Salvadoran economy, occupying more than 6,000 workers.

Strategic Vision and Market Adaptation

“The company’s strategy has been very visionary in the sense that it has opted for the sectors, within textiles and clothing, of products that are basic consumption, such as underwear, which has allowed us to withstand the drop in demand for products,” said Francisco Barahona, manager of the Textiles El Salvador plant and legal representative. HanesBrands in El Salvador has adapted to market changes by focusing on essential products like socks and underwear, which remain in high demand even when other sectors experience downturns.

Demand for Socks Keeps the Operation Going

HanesBrands began the forced closure of a plant dedicated to producing sports and casual clothing due to a drop in demand in the US market due to inflationary pressures. “These are the areas that have suffered. The majority of manufacturing and clothing companies are the areas in which demand has fallen; however, in the coming years, after the election year in the United States, which is full of speculation, we may see an increase in demand,” said Barahona. On the other hand, the company saw a growth in demand for socks and underwear because they are considered mass-consumer products. In 2023, more than 32.5 million pairs were exported from the El Salvador Socks plant in San Juan Opico. This production is enough to “dress every American citizen with a pair of socks with everything we produce in the year,” said the executive.

Continued Operations and Sustainability Strategy

The company spokesperson explained that the departure of the El Salvador Sew plant was executed in two stages, one in November 2023 and the second planned for the first quarter of 2024. However, the plant remains in operation because the “demand has been requiring a little more from us,” and the closure is expected at the end of the year. Through its sustainability strategy, HanesBrands in El Salvador accounts for savings of $23 million in three years, of which $10 million corresponds to 2023. The plan, implemented in 2019, includes a reduction in polluting emissions and control of the use of water and waste.

HanesBrands in El Salvador: A Model of Industrial Resilience and Sustainability

HanesBrands in El Salvador exemplifies a significant industrial presence within the country and globally. The company’s annual production of 82 million meters of fabric highlights its immense capability and contribution to the textile industry, with its fabric production stretching around the planet twice. Over its 30-year tenure in the Salvadoran market, HanesBrands has consistently led in exports, contributing $637.7 million in 2023, nearly 10% of El Salvador’s total exports. The company’s four plants specialize in multi-style clothing, textiles, and socks, making it a versatile and critical player in the sector. Employing over 6,000 workers, HanesBrands is the largest private employer in El Salvador, emphasizing its economic impact. Despite challenges like the reduced demand for sports and casual clothing due to US market inflation, the company has maintained robust operations, particularly in the high-demand sectors of socks and underwear. The foresight and adaptability of HanesBrands in El Salvador and a robust sustainability strategy that has saved $23 million in three years underscore its resilience and commitment to environmental responsibility. As the company navigates market fluctuations and anticipates future demand shifts, it remains a cornerstone of the Salvadoran economy, demonstrating the substantial influence and potential of strategic, sustainable manufacturing in the global textile industry.