I don’t see how you can “mitigate bullet damage” without stopping it. If the bullet goes through the armor it goes into you, which means you’re probably dead or severely injured.
1/8th inch titanium is still going to be pretty heavy, and you won’t be able to easily move with a sheet of it over you. The military/police do use bullet protection, they have kevlar vests with ceramic plates. Anything more advanced is going to get ridiculously expensive fast for something that probably won’t even be needed.
That tuxedo is expensive because it’s diamond encrusted and has water cooling, not because of the kevlar vest underneath. 9mm rounds aren’t even that hard to stop, your skull can stop them dead if you hit it right.
Even if you do something creative with lamination or weaving, it will still get really thick really fast. A few smallish plates to protect your vitals might be okay for encumbrance, but we all know how well low coverage armor works in Cataclysm. Braided steel/titanium probably isn’t even going to protect you that well since it can’t compress like it’s intended to. As armor it would just act like a thin sheet of metal as far as stopping penetration is concerned.
Something with braided steel and kevlar plates isn’t going to be the encumbrance of a jean jacket, not thick enough that it can stop a bullet. And that’s not nearly something you could craft in Cataclysm.
The issue is that you’re arguing that you can make light, flexible, bulletproof or resistant armor and you really can’t. You can make vests that will stop a handgun round and we have those ingame, if you want something that protects more of you or protects against bullets, you have to make it bigger and heavier.