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    Vietnam'S Textile And Garment Industry Faces Recession Crisis

    2011/10/19 14:17:00 25

    Vietnam'S Textile Exports Face Recession Crisis

    According to Vietnam's Ministry of industry and commerce, although this (2011) 3 seasons ago

    Vietnam?

    Exports of textile garments amounted to US $10 billion 300 million, up 28% over the same period (2010), but the recession in the main export markets of the United States and European Union countries has affected the growth of Vietnam's textile and garment industry.


    According to the Vietnam Textile Association, the US and European Union orders for Vietnamese textile garments will be reduced by 10% at the end of this year. Vu Duc Giang, Vietnam textile and Garment Association, said that the United States was the biggest export market for Vietnam, and because of the poor US market, Vietnam's textile exports are facing a crisis of recession.


    In addition, the recent economic downturn in the European Union has also affected Vietnamese textile products.

    Exit


    In addition, as Vietnam's textile industry relies heavily on imports of raw materials, and since October 1st this year, Vietnam has raised the minimum basic wage, and staff salaries have accounted for 65% of the production cost of the textile and garment industry, resulting in a substantial increase in production costs and greater pressure on operators.


    At present, the export of garments is subject to coat.

    Influence

    The largest, its orders have dropped by 30%, and exports to the EU are expected to decline by 10~15%.


    In order to enhance the export of textile products, Yue merchants have actively expanded export markets to Japan, South Korea, ASEAN and Canada.

    Nevertheless, according to the chairman of the Vietnam textile and Garment Association, the target volume of Vietnam's textile and clothing exports was set at 13 billion 500 million US dollars this year, with an estimated growth rate of 10%.

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