Vietnam’s garment and textile exports have registered an annualgrowth of 25-30 percent in recent years, earning 15.6 billion USD in2011.
In comparison with the world’s annual apparelconsumption of about 350-400 billion USD, Vietnam ’s share is stillmodest, but there are expected to be more opportunities for thecountry’s garment and textile industry.
According to tradeexperts, free trade agreements (FTAs) between Vietnam , ASEAN andother countries and regions, which are in force or under negotiations,are a useful tool to lift the industry’s turnover in the future.
Itis clear that the Vietnam-Japan Economic Partnership Agreement, whichtook effect in late 2009, has opened major opportunities for thecountry’s growing industry as it regulates to cut all tariffs on apparelproducts to Japan to zero percent.
In the first six monthsof this year, Vietnam shipped garment and textiles to Japan worth882 million USD, a rise of 23.8 percent compared to the same period lastyear, accounting for 13 percent of the industry’s total exportturnover.
Similarly, the industry’s exports to the Republic ofKorea (RoK) saw a strong growth of 50 percent in the first fourmonths of this year, reaching 380 million USD thanks to an FTA betweenASEAN and the RoK, which came into force in 2010.
The Vietnam-EUFTA, which is under negotiations, expects that the tariff on more than90 export items, including garment and textiles, will be gradually cutto or promptly enjoy zero percent.
In 2011, Vietnam shippedapparel products worth 2.4 billion USD to the EU, accounting for 16percent of the export share. But the figure was only 1.12 billion USD inthe first half of this year, down by 3.3 percent over the same periodlast year.
Besides, the Trans-Pacific Partnership Agreement(TPP), which involves Australia, Brunei, Chile, Malaysia, Mexico, NewZealand, Peru, Singapore, the US and Vietnam, is also creating highhopes for Vietnam’s apparel industry to access and expand export to TPPmembers, particularly the US – a market consuming one quarter of theglobal garment and textile products.
The US is Vietnam ’stop importer, reaching 5.1 billion USD last year and 3.5 billion USD inthis year’s January-June period.
Le Quoc An, senior advisorto the Vietnam Garment and Textile Association, predicted that Vietnam’sexports to the US in the next five years will double the currentfigure, if the TPP is signed.
Once the TPP takes effect,Vietnam’s apparel products to the US will enjoy zero percent tariffcompared to the current level of 5-25 percent, increasing advantages ofVietnam’s garment and textiles against other countries.-VNA
In comparison with the world’s annual apparelconsumption of about 350-400 billion USD, Vietnam ’s share is stillmodest, but there are expected to be more opportunities for thecountry’s garment and textile industry.
According to tradeexperts, free trade agreements (FTAs) between Vietnam , ASEAN andother countries and regions, which are in force or under negotiations,are a useful tool to lift the industry’s turnover in the future.
Itis clear that the Vietnam-Japan Economic Partnership Agreement, whichtook effect in late 2009, has opened major opportunities for thecountry’s growing industry as it regulates to cut all tariffs on apparelproducts to Japan to zero percent.
In the first six monthsof this year, Vietnam shipped garment and textiles to Japan worth882 million USD, a rise of 23.8 percent compared to the same period lastyear, accounting for 13 percent of the industry’s total exportturnover.
Similarly, the industry’s exports to the Republic ofKorea (RoK) saw a strong growth of 50 percent in the first fourmonths of this year, reaching 380 million USD thanks to an FTA betweenASEAN and the RoK, which came into force in 2010.
The Vietnam-EUFTA, which is under negotiations, expects that the tariff on more than90 export items, including garment and textiles, will be gradually cutto or promptly enjoy zero percent.
In 2011, Vietnam shippedapparel products worth 2.4 billion USD to the EU, accounting for 16percent of the export share. But the figure was only 1.12 billion USD inthe first half of this year, down by 3.3 percent over the same periodlast year.
Besides, the Trans-Pacific Partnership Agreement(TPP), which involves Australia, Brunei, Chile, Malaysia, Mexico, NewZealand, Peru, Singapore, the US and Vietnam, is also creating highhopes for Vietnam’s apparel industry to access and expand export to TPPmembers, particularly the US – a market consuming one quarter of theglobal garment and textile products.
The US is Vietnam ’stop importer, reaching 5.1 billion USD last year and 3.5 billion USD inthis year’s January-June period.
Le Quoc An, senior advisorto the Vietnam Garment and Textile Association, predicted that Vietnam’sexports to the US in the next five years will double the currentfigure, if the TPP is signed.
Once the TPP takes effect,Vietnam’s apparel products to the US will enjoy zero percent tariffcompared to the current level of 5-25 percent, increasing advantages ofVietnam’s garment and textiles against other countries.-VNA
