Hanoi (VNA) - Vietnam’s textile and garment exports in the first half of 2025 increased by approximately 11% year-on-year, driven by large orders and proactive production planning, according to a representative of the Vietnam National Textile and Garment Group (VINATEX).
Profit growth of 30–40% was reported as a common trend across the industry.
At a press briefing held on June 20 to review business performance and labor movements in the first half of the year, VINATEX Chairman Le Tien Truong shared that despite ongoing market volatility, the group maintained positive growth momentum from the latter half of 2024. Notably, VINATEX launched a “90-day sprint” campaign across its garment enterprises, urging maximum effort to fulfill all Q2 orders by July 5.
In the first six months of 2025, VINATEX’s consolidated revenue was estimated at 9.035 trillion VND (over 345 million USD), reaching 49% of its annual plan and 108% of the same period in 2024. Consolidated pre-tax profit was estimated at nearly 556 billion VND, 61% of the yearly target and 197% year-on-year.
Profit growth has outpaced revenue growth, indicating improved pricing in the first half of the year, Truong noted, attributing this to earlier-than-usual order placements.
He explained that in Q1, improved global economic conditions and lower inventory levels led to a clearer and more consistent ordering pattern, unlike in 2024, when orders were small and fragmented, driving up costs and reducing efficiency.
Truong added that after April 9, when the US postponed reciprocal tariff for 90 days, orders surged, with many requiring earlier delivery. This created room for mutual agreement on delivery timelines and cost distribution.
He emphasised that the first half of the year was characterised by large orders, proactive planning, and favourable pricing, resulting in an 11% increase in export turnover and profit growth ranging from 30–40% for many enterprises.
Despite the strong performance, VINATEX cautioned that the outlook for the second half remains uncertain. Even though some companies have orders lined up until August or September, negotiations between producers and clients are still ongoing.
Regardless of the situation, producers must accept the risk of maintaining customer trust and market position. There is no completely risk-free option, Truong said.
For 2025, VINATEX has set a target of 18.3 trillion VND in consolidated revenue, roughly equivalent to 2024, and a pre-tax profit of 910 billion VND, up 9% year-on-year. To achieve this goal, the group will focus on stabilising markets, enhancing efficiency, and developing differentiated products.
Key strategies include maintaining key export markets such as the US, Japan, and the EU, exploring new markets, and avoiding loss of market share due to price competition. The group also aims to maximise existing production capacity, optimise machinery use, and control costs. Other strategies include applying dashboard-based production management, and investing in niche and high-value products, such as flame-retardant textiles, and promoting green production and circular economy initiatives./.
