Targeting 48 billion USD in 2025
Mr. Vu Duc Giang - Chairman of the Vietnam Textile and Apparel Association (Vitas) said that this year's import turnover is estimated to reach 25 billion USD, an increase of nearly 14.8%. Thus, Vietnam's textile and garment industry is expected to have a trade surplus of 19 billion USD, an increase of approximately 7% compared to 2023.
The US remains the largest buyer of Vietnamese garments, estimated at over 16.7 billion USD, up 12.3% over last year. This market accounts for nearly 38% of the total export turnover of this item.
This year's results were achieved thanks to the textile and garment industry benefiting from 17 free trade agreements (FTAs) coming into effect.
In the context of the world situation continuing to be complicated and trade recovering slowly, Vietnamese enterprises are taking advantage of the trend of shifting orders, having a strategy to diversify products and markets and gradually improving management capacity. Domestic garment enterprises are also gradually meeting green standards.
Mr. Vu Duc Giang forecasts that the textile and garment production situation next year will be relatively favorable. Therefore, the industry plans to export 47-48 billion USD by 2025. According to Vitas, most businesses have orders for the first quarter and are negotiating orders for the second quarter.
Mr. Cao Huu Hieu - General Director of the Textile and Garment Group said that in 2024, the textile and garment industry will recover due to the shift of orders from China, Bangladesh, and Myanmar to Vietnam.
Inventory in key markets such as the US, Europe, and Japan has tended to decrease compared to the same period last year, combined with an increasing purchasing power, creating a recovery in demand for orders from partners.
However, Mr. Hieu said that in the short term, in the last months of 2024 and 2025, there are problems that need to be faced and resolved immediately, including the problem of labor shortage.
Therefore, the human resources department of enterprises needs to implement plans to maximize the use of existing resources; optimize the management model... Enterprises also need to be steadfast in the goal of greening the production chain.
5 bottlenecks to solve
Mr. Ngo Chung Khanh - Deputy Director of the Multilateral Trade Policy Department (Ministry of Industry and Trade) said that the five main problems that the Vietnamese textile and garment industry is facing are: The supply of raw materials is still largely dependent on imports; orders and markets are unstable, mainly processed goods; lack of capital, difficulty in accessing credit; lack of information and policies of the import market; and failure to build a brand.
Therefore, to find a solution to this problem, Mr. Khanh said that the Ministry of Industry and Trade, as the focal agency for negotiating and implementing FTAs, has been strengthening connections with ministries, localities, associations and relevant parties to create a linked ecosystem to help the textile and garment industry take advantage of FTAs effectively.
"The FTA exploitation ecosystem in the textile and garment sector will connect central management agencies, local management agencies, enterprises, textile and garment business associations, credit institutions and textile and garment material suppliers to form an ecosystem to support enterprises in optimizing benefits from FTAs.
Especially for the textile industry, it is necessary to connect textile enterprises with raw material suppliers," said Mr. Ngo Chung Khanh.
