Investors from the Republic of Korea (RoK) are showing greater interestin Vietnam’s textile and garment sector, the Vietnam Investment Reviewreported on June 19.
In early June, a big fibre manufacturingplant was launched in the southern province of Dong Nai, marking agrowing presence of RoK investment in Vietnam’s textile and garmentsector.
The 52 million USD project, belonging to Dong-IL VietnamLimited under the Dong-IL group, is located in Dong Nai’s Loc An-BinhSon Industrial Park and is Dong-IL’s first project in the country.
Theplant has an estimated capacity of 9,000 tonnes per year and will comeon-line mid next year to supply the domestic market, as well as otherAsian markets.
Dong-IL Vietnam’s managing director Suh Min Soksaid he expects the project to help attract other RoK investors to theVietnamese market.
Unlike Dong-IL, Sea-A group has been operatingin Vietnam for nearly six years and has a garment plant based in thenorth-central province of Thanh Hoa. It is run by Winners Vina Limited, aunit under Sea-A.
The 12 million USD facility turns out seven million products a year and has a workforce of 3,000.
WinnersVina is already envisaging a second garment plant in Vietnam, in whichit will invest 15 million USD and employ 6,000. Its products willprimarily be for export.
“The move is to satisfy growing ordersfrom US importers, mostly leading retailers such as Target, Walmart,Kohls, Kmart, Sears and Tesco,” said a company source.
With morethan 500 businesses based in Vietnam and nearly 2 billion USD in totalcommitted capital, RoK investment has helped bolster Vietnam’s textileand garment industry, and in particular helped increase export value toRoK, which is now Vietnam’s fourth largest export partner in terms ofvalue, after the US, the EU and Japan.
Vietnam’s textile andgarment exports to RoK have jumped sharply in recent years, from lessthan 300 million USD in 2009 to nearly 1.2 billion USD in 2013 and anestimated 750 million USD in the first five months of this year.
This has given Vietnam’s textile and garments a 24.2 percent market share in RoK, only behind China with 43.2 percent.
Thefifth negotiation round for the Vietnam-RoK free trade agreement (FTA)was wrapped up in late May and both sides have reportedly ramped upefforts to conclude the talks by October this year.
The VietnamTextile and Apparel Association forecasted RoK investment in Vietnamcould make a major leap following ratification of the FTA.-VNA
In early June, a big fibre manufacturingplant was launched in the southern province of Dong Nai, marking agrowing presence of RoK investment in Vietnam’s textile and garmentsector.
The 52 million USD project, belonging to Dong-IL VietnamLimited under the Dong-IL group, is located in Dong Nai’s Loc An-BinhSon Industrial Park and is Dong-IL’s first project in the country.
Theplant has an estimated capacity of 9,000 tonnes per year and will comeon-line mid next year to supply the domestic market, as well as otherAsian markets.
Dong-IL Vietnam’s managing director Suh Min Soksaid he expects the project to help attract other RoK investors to theVietnamese market.
Unlike Dong-IL, Sea-A group has been operatingin Vietnam for nearly six years and has a garment plant based in thenorth-central province of Thanh Hoa. It is run by Winners Vina Limited, aunit under Sea-A.
The 12 million USD facility turns out seven million products a year and has a workforce of 3,000.
WinnersVina is already envisaging a second garment plant in Vietnam, in whichit will invest 15 million USD and employ 6,000. Its products willprimarily be for export.
“The move is to satisfy growing ordersfrom US importers, mostly leading retailers such as Target, Walmart,Kohls, Kmart, Sears and Tesco,” said a company source.
With morethan 500 businesses based in Vietnam and nearly 2 billion USD in totalcommitted capital, RoK investment has helped bolster Vietnam’s textileand garment industry, and in particular helped increase export value toRoK, which is now Vietnam’s fourth largest export partner in terms ofvalue, after the US, the EU and Japan.
Vietnam’s textile andgarment exports to RoK have jumped sharply in recent years, from lessthan 300 million USD in 2009 to nearly 1.2 billion USD in 2013 and anestimated 750 million USD in the first five months of this year.
This has given Vietnam’s textile and garments a 24.2 percent market share in RoK, only behind China with 43.2 percent.
Thefifth negotiation round for the Vietnam-RoK free trade agreement (FTA)was wrapped up in late May and both sides have reportedly ramped upefforts to conclude the talks by October this year.
The VietnamTextile and Apparel Association forecasted RoK investment in Vietnamcould make a major leap following ratification of the FTA.-VNA
