Accelerating Opportunities for Vietnam’s Garment and Textile Industry
According to Vu Duc Giang, Chairman of the Vietnam Textile and Apparel Association (VITAS), Vietnam’s export value of textiles and garments hit more than 40 billion USD in 2023 thanks to reaching 104 markets globally for the first time. Now, the industry has its eyes set on a turnover of 44 billion USD in 2024.
Giang said the signs are positive, with orders rising and inventories falling significantly. Vietnam has signed or is negotiating 19 free trade agreements , including 16 that have already been implemented, and three that are awaiting the seal of approval. Vietnam is also the only country to have signed free trade deals with all the major global economies.
Vietnam’s development strategy for the textiles and clothing, leather, and footwear industries will act as a stimulus attract even more foreign investment in the fields of fiber, weaving, and dyeing, creating opportunities for the sector as whole.
However, according to Giang, the global economy is forecast to experience continued fluctuations in 2024 that are unlikely to abate as more and more large import markets introduce mandatory regulations related to human rights, product traceability, green development, and expedient delivery.
It has become clear that manufacturing enterprises wishing to join the global supply chain need to innovate and become more transparent. VITAS Chairman Giang said that SaigonTex & SaigonFabric 2024 will bring together domestic and international enterprises and provide access to advanced technology and modern equipment, thereby orienting their future investments.
This year’s event is expected to attract more than 1,000 machinery manufacturers and material suppliers from 20 countries. The exhibition’s key goal is resolving supply shortages with the support of global material manufacturers, added Giang.
Manufacturers from major economies will have the opportunity to see the potential for industry development, while offering Vietnamese textile and garment enterprises the chance to increase their localization rate and competitiveness by meeting rules of origin to receive low or tax-free export tariffs in markets that have signed FTAs with Vietnam.
This will also offer access to leading automation technology and production equipment to meet fast supply and environmentally friendly demands, and the chance to shake hands with global giants.
Feedback from previous exhibitions is testament to how enterprises have grasped a greater understanding of customer needs, development trends, and market forecasts, while connecting with new suppliers of raw materials, technology, and buyers.
Clear proof of the annual exhibition’s success is that major companies continue to vie for positions, and many newcomers have lamented the fact that, due to limited space, they will unable to take advantage of this year’s event.
