Vietnam to Reach Top 5 in Textile Exports

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Vietnam is undergoing a makeover consisting of social improvements, environmental wellbeing, and a focus on specialization and modernization. These improvements are expected to catapult Vietnam to a spot among the top five clothing and textile exporters in the world.

The economic growth has been markedly steady for the last seven years. Between 2005 and 2011, the value added rate of Vietnam’s textile and clothing exports rose from 30.2% to 47.8%, according to Textile Outlook International.

Last year, however, Vietnam experienced slower growth, due most likely to the economic troubles of its target markets, the U.S. and E.U. Even so, the growth took the textile giant from $14 billion to $16 billion.

In order to continue the upward momentum, the Vietnamese government has implemented incentives to attract foreign direct investment. Furthermore, Vietnam recently secured free trade agreements (FTAs) with various countries and regions. Another huge contributor to the growth is the country’s membership with the Association of Southeast Asian Nations (ASEAN) and the benefits it reaps from the Asean-China Free Trade Area (ACFTA).

Vietnam benefits from FTAs with Australia and New Zealand, India, Japan, and South Korea. Also, it has bilateral FTAs with Israel and Japan.

Yet another boost is on the horizon as , Vietnam has entered into negotiations with the EU to sign a comprehensive FTA. Most importantly, it has entered into negotiations to be part of the Trans Pacific Partnership (TPP), which aims to establish a free trade area for the Asia Pacific region.

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One comment on “Vietnam to Reach Top 5 in Textile Exports

  1. SIMON ROSS

    GOOD DAY SIRS MADAM MOST AMAZING TO SEE VIETNAM STRETCHING SO FAR FROM TIME PAST BY MY WIFE AND I WHERE IN VIETNAM MANY YEARS AGO AFTER THE TERMOIL THEY HAD TO THRU AND NOW THEY ARE GROWING NICE TO HEAR IN FACT WE WOULD LIKE TO DO TEXTILE BUSINESS WITH VIETNAM AS USUALY OUR BUSINESS IS WITH CHINA INTO SOUTH AFRICA SO IF VIETNAM CAN SUPPLY THE TEXTILE FOR OUR USE INTO SOUTH AFRICA THEN LET ME KNOW HAVE A GOOD DAY SIMON ROSS OF BALMORAL TEXTILE SALES SINCE 1987 ALL THE BEST TO VIETNAM