President Luis Abinader Promotes the Dominican Republic as the Ideal Destination for Textile and Footwear Industry Investment
President Luis Abinader assured at the Executive Summit of the American Apparel and Footwear Association (AAFA) that the Dominican Republic is the ideal destination for those seeking infrastructure and a reliable workforce, in addition to being closer to one of the world’s most dynamic consumer markets.
The president emphasized that, beyond an industrial and logistics platform that sets the pace in Latin America and the Caribbean, the Dominican Republic offers favorable market policies, transparency, and stability, making it an ideal partner for any U.S. company seeking sustainable growth.
In his participation in the “Global Supply Chain and Trade” conference by AAFA, Abinader stated that the Dominican Republic is not only setting records as a top-tier tourist destination in the hemisphere but also growing as a manufacturing hub, strengthening stable and secure supply chains in North America while generating prosperity and social progress domestically.
He expressed that a key lesson learned in recent years is that the strength of supply chains is crucial to facing the challenges of an ever-changing world. He pointed out that disruptions affecting many sectors, including the apparel and footwear industry, have made clear that efficient production for a healthy export market is fundamental to economic resilience.
The president highlighted that companies are being driven to rethink their strategies, and nearshoring is emerging as a competitive option by reducing logistical costs and minimizing risks, providing key markets with greater security and efficiency while decreasing dependency on distant suppliers.
Abinader emphasized that, for decades, the Dominican Republic has cultivated solid social, political, and macroeconomic stability, positioning itself as one of the most dynamic and fastest-growing countries in the region.
“Today, we are the seventh-largest economy in Latin America and the Caribbean, and we are projected to grow by 5% this year, according to the International Monetary Fund. This strength reflects the trust and positive investment climate we have built—an environment where businesses and investments are welcomed and supported by clear policies and a solid legal framework,” he noted.
Geostrategic Location of the Dominican Republic Offers Unmatched Advantages for the Apparel and Footwear Sectors
Abinader further indicated that the country’s geostrategic location, in the center of the Americas—just two hours by air and three days by sea from the United States—offers unparalleled advantages for companies in sectors such as apparel and footwear, which need to meet strict deadlines from their distributors and retailers who seek agility and resilience.
“With the ability to deliver products in shorter times and with competitive logistics costs, the Dominican Republic is the ideal partner. In addition to this enviable location, the connectivity we offer is exceptional. We are among the countries in the region with the best maritime and air connectivity, and because of this, major multinational companies, airlines, and logistics companies have established operations in the Dominican Republic,” he explained.
The Dominican leader also noted that the country has eight international airports with more than 182 daily flights connecting to nearly 170 international destinations, and the recent Open Skies agreements with the United States and Canada will make air travel even more affordable.
“These characteristics reinforce our position as an important hub for global connections. Last year, our maritime connectivity was recognized by the United Nations Conference on Trade and Development as the seventh best in the region, out of 40 Latin American and Caribbean countries,” he emphasized.
World-Class Infrastructure Supports Supply Chains
Abinader pointed out that the country also boasts world-class port infrastructure. Several of the country’s ports, including DP World Dominicana and the HIT Puerto Río Haina, have positioned themselves as key terminal operators, playing a critical role in the sustainability of global supply chains.
The president expressed his conviction that the country’s connectivity and logistics infrastructure opens doors to over 900 million consumers who benefit from free trade agreements with different regions, including, of course, the U.S.-Central America-Dominican Republic Free Trade Agreement (CAFTA-DR) and agreements with the European Union.
Additionally, he highlighted the government’s close collaboration with the private sector in promoting important initiatives such as the Logistics Centers Law, with 24-hour dispatch programs and zero bureaucracy, as part of the country’s strategy to strengthen its position as a first-class industrial and logistics hub.
Human Capital: A Key Strength of the Dominican Republic
The president also noted that human capital is another key strength of the country, with a young, skilled, and competitive workforce. These qualities, combined with legal security and clear rules, provide international companies in the apparel and textile industries with an ideal ecosystem for expansion.
“One example of this synergy is our Free Trade Zone regime, which has been operating efficiently for over five decades, generating trust and enabling investors to develop their operations with certainty and predictability. This regime is exceptional for this sector, as it exempts companies from income taxes and other import duties,” Abinader said.
Through this regime, he pointed out, more than 850 companies operate in the country, generating exports of over US$8.6 billion, representing 67% of the country’s total exports, as well as hundreds of thousands of jobs. This network of Free Trade Zones has become a source of great resilience, helping the Dominican Republic achieve a solid post-pandemic recovery.
The president highlighted that the apparel and textile industries have shown remarkable adaptability and have accumulated vast experience in the country. “We have moved from light manufacturing to vertically integrated production, from design and component manufacturing to the final product. This complete-package production model has been one of the key factors in our competitive advantage in the global market,” he stated.
Dominican Republic: A Key Player in the Global Supply Chain
Abinader also mentioned that the Dominican Republic is the leading exporter in Latin America of rubber or plastic-soled shoes and women’s wool coats to the United States.
He acknowledged that this success would not be possible without investments from renowned companies such as Hanes, which, in its fifty years of presence in the country, has proven to be an example of resilience and innovation.
Hanes has adapted to global environmental challenges, becoming one of the largest exporters and job generators under the Free Trade Zone regime, implementing sustainable practices. As a result, almost 100% of the energy used in its textile facilities comes from renewable sources, including solar power for electricity and biomass for steam generation (pioneering this in the country since 2008). “I want to take this opportunity to publicly recognize Hanes in this forum for its valuable history and contribution to the development of the Dominican Republic,” the president said.
An Ideal Location for Global Expansion
The president also mentioned other important companies in the textile industry, such as Gildan, Boombah, Sakira Manufacturing, Joe Anne, Will-Bes, and Spirit Apparel, which are specialized in manufacturing sports items, primarily for the U.S. market, making products for well-known brands such as Champro, GAP, Target, Walmart, Jostens, and many others.
In the footwear sector, companies like Five Star, Keen Dominican Republic, Skysands, and Tonka Footwear also export mainly to the United States, manufacturing for renowned brands like Timberland, Walmart, Allen Edmon, Keen Footwear, Rocky Brands, and Tonka Footwear.
“All of these brands and the hundreds of companies operating in the country have found in the Dominican Republic an ideal place to compete and thrive. These brands have become our best ambassadors and promoters of the strengths and advantages that the country has to offer,” the president stated.
A Bright Future for the Dominican Republic
Abinader concluded by stating that it is time to look to the future with optimism. The Dominican Republic is a safe and reliable destination, ready to welcome investments from companies represented at the summit, to be the home of new productive operations, and to offer a favorable environment for the development of new businesses.
He assured that the government will continue working tirelessly, taking firm actions to materialize the country’s development vision and solidify its position as a world-class industrial and logistics platform, as well as a nearshoring destination for companies looking to relocate their supply chains to a more sustainable environment.
The president invited all present to visit the Dominican Republic, discover the warmth and energy of its people, and explore the many opportunities the country offers, affirming that the country is ready, willing, and capable of being their strategic partner as they build a safer and more resilient future.
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