Losses following COVID-19 caused Zara's parent company Inditex to close many of its fashion shops, and both Vietnamese Zara outlets could be included.    

Vietnam’s garment-textile sector is expected to make breakthroughs in 2020 thanks to the Fourth Industrial Revolution.

With the opening of the first Uniqlo store in Vietnam, HCM City has added another fashion giant to its growing list of popular brands.

Zara’s revenue reached VND1.7 trillion in 2018, six times higher than 2016 thanks to the Vietnamese people’s preference for fast fashion styles.

Selling nearly all of its shares to its Japanese partner, MTV Global Fashion, which owns the Vascara brand, has been added to the list of local companies bought by foreign firms.

The Vietnamese fashion market has been busy in recent years with the presence of big players in the industry.

UNIQLO, the Japanese global apparel retailer, today officially announced its launching date in Vietnam. The brand’s first store, UNIQLO Dong Khoi, will open on December 6 in Ho Chi Minh City.

Uniqlo considers Vietnam a key market which will help it access the Southeast Asian market. However, the strong development of Zara, H&M, Elise and Hnoss will challenge the global Japanese brand.

Despite being the second-largest polluters in the world, fast-fashion brands are growing at a tremendous pace in Vietnam.

For a population of nearly 100 million, of which the majority is at young age and with a steady growth of income per capita, Vietnam is considered potential market for fashion retailers. 

H&M has been open in Vietnam for one year, while Zara celebrated its two-year presence in Vietnam recently. Both fashion brands have prospered here thanks to the number of Vietnamese fashion fans.

VietNamNet Bridge - The appearance of foreign fast-fashion brands in Vietnam has dealt a strong blow to Vietnamese brands. 

VietNamNet Bridge - Domestic brands are expected to have opportunities to prosper in the local market amid the massive arrivals of foreign brands.

VietNamNet Bridge - Analysts say the golden age of Vietnam’s fashion industry is encountering difficulties amid the arrivals of foreign fashion brands.

VietNamNet Bridge - More than 200 foreign fashion brands are present in Vietnam, providing a wide range of products from mid- to high-end products, which hold 60 percent of the market share, according to the Vietnam Retailers Association.

Vietnamese fashion and garment companies have usually focused on outsourcing and have ignored branding. But the business strategy will no longer fit the new circumstances as more and more foreign brands have landed in Vietnam.

VietNamNet Bridge - Convenience stores and mini supermarkets have been witnessing a growth rate of 200 percent in the last three years.

VietNamNet Bridge - The opening of a number of foreign fast fashion brands in Vietnam have lowered the already small market share held by Vietnamese brands.

VietNamNet Bridge - Vietnamese businesses believe there will still be enough customers for Vietnamese products, despite growing competition from foreign fashion stores.