Global home textile market grows as yarn demand rises

The global home textile retail market is set to expand by $74.7 billion from 2025 to 2029 at a 6.6 per cent CAGR, driven by product innovation, premiumization, and expanding distribution, according to Technavio.

Yarn demand is rising as home textile brands focus on organic cotton, recycled fibers, and sustainable materials. Hotels and serviced apartments are increasing purchases of bed linens, mattress covers, and blankets, boosting demand for high-quality yarns. Meanwhile, home retailers are shifting to eco-friendly options like lyocell and recycled cotton to meet consumer preferences.

E-commerce is helping sales, with Amazon, Rakuten, and Alibaba leading online growth. Brands like IKEA, Williams-Sonoma, and Crate & Barrel are increasing their digital platforms, aligning with the growing B2C market, where direct online sales surpassed $1.5 trillion in 2021.

However, fluctuating cotton, silk, and leather prices is raising production costs, prompting price adjustments. Climate change and supply chain disruptions are adding uncertainty. Despite this, demand remains strong across housing, hospitality, and exports, particularly for curtains, blinds, and soundproof drapes. The market's expansion is supported by rising single-person households, DIY trends, and home construction, reinforcing the need for premium and sustainable yarn-based textiles.