Vietnam's textile-garment industry hopeful of robust H2 2024

Many such enterprises have orders for October and November, and they are hopeful of higher business volume in the last few months to fulfill this year’s export target of $44 billion as major export markets are witnessing economic recovery and inflation seems to be under control, which helps improve purchasing power, Vu Duc Giang, chairman of the Vietnam Textile and Apparel Association (VITAS), said.

Inventories of client brands are also sharply dropping, a Vietnamese media outlet reported.

Cao Huu Hieu, director general of the Vietnam National Textile and Garment Group, projected that textile-garment exports will increase by 8-10 per cent this year.

However, challenges include smaller orders with shorter lead times, labour shortage and stricter regulations for green and sustainable production, Giang said. The textile-garment industry needs an estimated 500,000 more workers.

Focus also needs to be on selecting environmentally friendly raw materials to keep up with the trends of sustainable fashion and a circular economy, while diversification in the market is also important, Giang added.

Textile-garment exports were estimated to reach $16.282 billion in H1 2024, rising by 3 per cent year on year.

Fibre2Fashion News Desk (DS)