Indian newspaper: Vietnam could be Asia’s next industrial hotspot

Vietnam has increasingly become a burgeoning industrial hub, especially for tech and apparel, wrote an article published by India’s on January 14.

The article said, while parts of Asia are still recovering from the global pandemic, Vietnam’s economy has boomed, reaching an impressive 8.02% increase in GDP by the last quarter of 2022 – that’s faster than other major regional economies in Asia. Its export revenue hit 372 billion USD, up 10% year-on-year.

Explaining the boom of Vietnam’s industry, it said part of the reason is the disruption to supply chains on the Chinese mainland, Asia’s largest manufacturing hub, as factories were subject to shutdowns during COVID-19. Companies turned to alternative locations to continue and diversify their production streams, and Vietnam is one of their options.

Moreover, Vietnam has a competitive labor force and low manufacturing costs. The nation has signed several free trade agreements with the EU, UK and nations across the Asia-Pacific, opening up the country to more trade opportunities, especially to the west.

Another strong driver of trade is the Regional Comprehensive Economic Partnership deal to which Vietnam is a member, the article said./.