Vietnam Leather Shoes Industry Is Threatened In 09 Years

According to the forecast released by Vietnam textile and Apparel Association in February, Vietnam's total exports will reach 9 billion 500 million US dollars in 2009, up 5% compared with 2008.

Faced with the economic downturn, manufacturers in Hanoi, Hu Zhiming and Da Nang have taken active strategies to overcome the difficulties.

In addition, the Consumer Product Safety Commission of the United States has implemented regulations from February this year to conduct a closer inspection of products to enhance product safety.

Despite the challenges, Vice Premier Huang Zhonghai said that textile, clothing and leather shoes producers should maintain production and consolidate their position in the traditional market while trying to expand new markets.

Products from mainland China are cheap, and competition for Vietnamese clothing is fierce. The recession also affects the spending patterns of local and overseas consumers.

Vietnamese enterprises will try to enter new export markets in the Middle East, Eastern Europe and Africa, and businesses in Hongkong, mainland China and other regions will join the ranks.

The Vietnam textile and Apparel Association and Vietnam leather and Footwear Association have asked the government to allocate about $286 million from its economic stimulus package and expand export activities in Africa, Japan, Eastern Europe and South America in the first 6 months of this year.

In addition, the two associations requested the government to postpone the value added tax on imported processing equipment or products needed for export of textiles, clothing and leather shoes, and hoped that the government would lower the tax on imported equipment.

Editor in chief: Xu Qiyun