Apparel / Textiles & Accessories

According to the news on the 25th, the Vietnam Cotton Spinning Association (VCOSA) business performance report for the first half of 2022 shows that in the first five months of 2022, Vietnam's exports of textiles, fibers, fabrics, etc. reached 18.73 billion US dollars, an increase of 20.81% over the same period in 2021; Apparel reached $14.99 billion (up 22.2% year-on-year), fiber and yarn $2.37 billion (up 10%), geotextiles $376.8 million (up 27%), and raw materials $979.8 million.

According to VCOSA's assessment, with the above performance, Vietnam has surpassed South Korea for the first time to become the sixth largest fiber exporter in the world.

At present, China is the main export market for Vietnamese textiles, especially recycled yarns, accounting for nearly 60% of the total export value.

The United States and Europe are the world's largest textile import markets. As the import volume of textile raw materials and accessories from China tends to decrease in these two major markets, imports from other countries are increasing. Therefore, the export potential of Vietnamese textiles, fibers and fabrics in these two markets is huge.

In addition, the World Health Organization predicts that new coronavirus mutant strains will continue to appear in 2022. In this context, fiber products are expected to be the main factor driving the recovery and being less affected, as fiber production activities are mainly carried out mechanically.

Another advantage of Vietnam's fiber products is that the Russian-Ukrainian conflict directly affects the price of oil and natural gas, and leads to an increase in the production cost of synthetic fibers made from oil, coal and natural gas in 2022.

The Fourth Industrial Revolution also brings many new opportunities for industrial production, including the fiber industry. In addition, the development advantages of the fiber industry also come from international economic integration, especially the "Comprehensive and Progressive Trans-Pacific Partnership Agreement", "Vietnam-EU Free Trade Agreement" and other free trade agreements.