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Cotton is the most commonly used natural fiber worldwide, and as such is an important component of the textile industry. Cotton is grown in the tropics and is seasonally dry in the northern and southern hemispheres, although most of the world's production occurs north of the equator. The main producing countries are India, China, the United States, Brazil and Pakistan. Together, these countries account for more than three-quarters of global production. The outlook for global cotton use depends on developing and emerging economies.

After China placed an additional 15% tariff on US cotton imports earlier in the month, cotton futures recovered from 2020 lows of 63 cents to settle around the 66–67 cent region since mid-March. The market bounced back thanks to robust US export sales, which reached a three-week high of 271,814 running bales of upland cotton sold in the week ending March 6 according to USDA's Export Sales report. Meanwhile, a 750,000-bale rise in China more than offset reductions in Argentina and Pakistan, and the USDA's March 2025 WASDE report increased the 2024/2025 worldwide output prediction by 500,000 bales to 121.0 million. Demand in Pakistan, Bangladesh, and Egypt is predicted to fuel a nearly 600,000 bale increase in global consumption to 116.5 million.

China is expected to remain the top raw cotton importer over the next decade, followed by Vietnam and Bangladesh. By 2030, imports in China are expected to grow by 17%, and in Bangladesh and Vietnam by 41%. The United States will remain the world's largest exporter during the outlook period. Its exports have stabilized in recent years, recovering from lows in 2016, and the US share of world trade is projected to be 33% by 2030, compared with 36% during the baseline period. department. Brazilian exports are expected to grow strongly over the next decade as Brazil establishes its position as the second largest exporter by 2030, further increasing its share in the global market. India will continue to be the third largest exporter with shipments expected to reach 1.5 million tonnes by 2030, 70% more than the base period.