Update news vietnam textile and garment
The textile and garment industry is forecast to have a bright prospect in 2022, but as share prices have increased sharply since 2021, many stocks may not continue to rise significantly.
The proportion of textile and garment factories that have closed due to the COVID-19 pandemic has reached 30-35 per cent according to the Vietnam Textile and Apparel Association (Vitas).
Song Hong Garment (MSH) has yet to make provisions for the hundreds of billions of dong worth of export turnover earned from its biggest client in the US who is declaring bankruptcy.
After half a year of struggling to survive difficulties caused by Covid-19, Vietnamese enterprises are hoping that more orders will come over the next six months.
The Covid-19 epidemic which broke out six months ago has seriously affected textile and garment companies.
Vietnamese apparel companies will not enjoy immediate tariff cuts after the EU-Vietnam Free Trade Agreement (EVFTA) comes into effect, as they have to overcome strict rules of origin.
The Ministry of Industry and Trade (MoIT) is drafting a circular providing guidance for the application of safeguard measures for textile and apparel products under the CPTPP.
The sudden depreciation of Chinese yuan against the US dollar brings more difficulties to Viet Nam’s yarn industry, according to Viet Nam Textile and Apparel Association.
Vietnam has become an appealing investment destination for international textile and garment enterprises, as Vietnam’s apparel sector is expected to continue to register strong growth in the coming years.