Home > knowledge > Content

Vietnam's textile and garment industry aims to export $40 billion in 2019

Feb 20, 2019

Based on the success in 2018 and the strong development momentum, Vietnam's textile and garment industry is expected to achieve a breakthrough in 2019.

According to the Vietnam textile and garment association (VITAS), 2018 was a successful year for the country's textile and garment sector, with total exports exceeding $36 billion, up 16 percent year-on-year.

This has earned Vietnam the distinction of being one of the world's top three textile and garment exporters.

VITAS President Peter wu said in 2018 that the world has seen complex changes as a result of rising trade disputes and technological developments.

In the field of clothing and textile, the association has put forward many constructive Suggestions to relevant departments and governments to reduce obstacles to the development of enterprises in this field.

With the harvest in 2018, Vietnamese textile companies have seen positive signs of increased trade orders in 2019.

Many businesses have received orders for the first six months of 2019 or even the full year.

At the same time, due to the continuous influx of capital and raw materials into the garment and textile industry, the country has gradually completed the textile supply chain.

The upcoming new free trade agreement is a positive factor supporting the sector's business activities in 2019.

On that basis, VITAS set a target for export turnover of $40bn this year, up 10.8 per cent year-on-year.

The industry is aiming for a $20 billion trade surplus that will create jobs and boost incomes for 2.85 million workers.

Many sectors in Vietnam are expected to gain momentum in 2019 with the launch of the trans-pacific partnership's comprehensive progress agreement, experts in the sector said.

In addition, the trade war between China and the United States, textile and garment industry has been relocating, also provided more orders for Vietnam.

According to Pham Xuan Hong, the board of a clothing company in Vietnam, many orders are flowing into the country from China, giving Vietnamese companies the opportunity to select high-priced and high-demand orders.

But local businesses need to improve their technology to match the high quality and quantity of their products.

According to the Vietnam ministry of industry and trade, 2019 will continue to be a key year for the industry to integrate into the global textile supply chain.

In particular, in response to the fourth industrial revolution, it will have a significant impact on the textile and garment industry in the future, forcing enterprises to transform and increase investment in human and material resources.

Bui Kim Thuy, chief representative of the us-asean business council (USABC), said Vietnam was currently working on 16 free trade agreements.

Among them, 11 of the 12 signed agreements have come into force, such as the asean-china free trade agreement and the asean trade agreement on goods. CPTPP also came into force yesterday (14).

But the asean-hong kong (China) free trade agreement has yet to be developed.