Indonesia may impose trade sanctions on Vietnamese textiles, garments

13 Jul '24

1 min read

Indonesia may impose trade sanctions on Vietnamese textiles, garments

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Insights

Businesses in Vietnam have been cautioned by the Vietnam trade office in Indonesia that as the latter's textile industry is facing difficulties with falling export orders and factory closures, it may impose sanctions on some Vietnamese goods, especially textiles and garments.
Businesses and export associations were urged to be prepared for any such action.

Businesses in Vietnam were recently cautioned by the Vietnam trade office in Indonesia that as the latter’s textile industry is facing difficulties with falling export orders and factory closures, it may impose trade sanctions on some Vietnamese products, especially textiles and garments.

A large number of workers in Indonesia’s textile industry have also been fired.

Textiles, footwear and electronic goods are key exports of Vietnam to Indonesia, with an export turnover of $1.5 billion, accounting for 30 per cent of the total export turnover to Indonesia last year.

Therefore, the trade office believes Indonesia potentially plans to apply trade defence measures on products from China and other nations like Vietnam, according to a Vietnamese media outlet.

The office recommended Vietnamese businesses and export associations in relevant product groups to closely monitor the market and consult with relevant units of the ministry of industry and trade to be prepared for any such action.

Fibre2Fashion News Desk (DS)

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