According to the Vietnam Textile and Apparel Association (VITAS), Vietnam raked in US$36.11 billion from garment and textile exports over the past 10 months of the year, representing a 9.86% increase year on year. October alone saw garment and textile export earnings rise 10.7% month on month to US$3.86 billion.

Experts attributed the high growth to a shift in orders from China, Bangladesh, and Myanmar to Vietnam, decreasing inventory in key markets such as the US, Europe, and Japan, and an upward trend in consumer demand and orders from partners.

Indeed, according to VITAS chairman Vu Duc Giang, Vietnam’s textile exports continue to improve toward the year-end, with growth expanding compared to earlier months. Key export markets, including the US, EU, Japan, and China, have maintained steady growth, while ASEAN, Russia, and Canada have emerged as promising markets for boosting production and exports.

In addition, the ongoing decline in freight rates is supporting export growth. Furthermore, easing interest rates in the US and Europe is anticipated to stimulate year-end shopping demand.

Vietnam’s textile and garment exports have high expectations for the year-end shopping season, especially with increased demand in major markets like the US and Europe. The holiday season, including Black Friday, Christmas, and New Year, typically boosts demand for textile products, driving revenue growth for export companies.

In the long term, when interest rate cuts in major markets positively impact the economy, leading to stable employment and purchasing power, unit prices are expected to improve even further, said experts.

Le Tien Truong, Chairman of the Board of Directors of the Vietnam National Textile and Garment Group (Vinatex), noted that Vietnamese garment makers are benefitting from improved consumer demand in key textile export markets and the political instability in competing countries like Bangladesh and Myanmar. Many garment companies have already secured orders through the second quarter, and even into the third quarter of 2025.

“It’s expected that garment makers will benefit as US consumer demand improves during the coming holiday shopping season. Demand and unit prices will only truly improve starting in 2025 in an optimistic scenario. With such favorable factors, Vietnam’s textile industry faces significant market opportunities and is poised to consolidate its position as a bright spot on the global textile map,” said Truong.

Despite optimism, Vietnam’s garment industry still faces significant competitive pressures when exporting to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) markets. Some countries benefit from tariff preferences as developing economies, while Vietnam has higher labour costs and pressures related to social insurance, health care, and the need to fully implement commitments under new-generation free trade agreements.

However, comparing Vietnam’s competitive advantages, Vietnamese textile companies benefit from the country’s strategic location, large port system, and the ability to produce a wide range of high-value products such as suits, winter coats, swimwear, and more, with diverse designs and fast delivery.

Vietnam’s textile products have been exported to more than 100 countries and territories worldwide. With the year-end shopping season approaching, garment makers are trying to diversify customer groups and product offerings, introduce new products with innovative materials and designs, and meet the stringent standards of their partners, so as to achieve the export target of US$44 billion this year.

Source: VOV