Vietnamese media reported that VuDucGiang, Chairman of the Vietnam Textile and Apparel Association (VITAS), held a press conference on the “Vietnam Cotton Day 2022” in Ho Chi Minh City on September 30. Explain the export prospects of this industry. The key points are as follows:
(1) Despite the decline in export orders in the third quarter of 2022, Vietnam’s annual textile and apparel export target of US$44 billion can still be successfully achieved.
(2) The export volume of textiles and clothing was high in the first half of the year, but decreased in the third quarter. It is expected that the global demand for textiles and clothing products will drop sharply in the fourth quarter, especially In markets such as the United States and the European Union, consumption power has declined significantly, mainly due to the increase in inflation in the above-mentioned markets. Other major export markets, such as China, Japan, and Taiwan, still maintain strict COVID-19 measures, affecting demand for Vietnamese textiles.
(3) Another challenge is the new generation free trade agreement (FTA)’s requirements for origin traceability and environmental protection of cotton, materials and fibers.
(4) In the first nine months, the industry’s export volume reached approximately US$35 billion, an annual increase of 21%. Mainly benefiting from the 15 free trade agreements signed by Vietnam, the industry’s average monthly export volume reaches approximately US$4 billion, so the 2022 target of US$44 billion is expected to be achieved by the end of the year.
