The year 2023, was the most difficult year in 30 years for the textile and garment industry in 30 years, according to Le Tien Truong, vice chairman of the Vietnam National Textile and Garment Group, and reported by Vietnam News.
Key takeaways
- Garment and textile turnover dropped by 10 percent in 2023;
- Unit production costs were down by 30 to 50 percent on some items;
- Firms are being advised to focus on smaller orders but with a focus on higher quality; and
- Supply chain risk and high-cost inputs, alongside a trend toward smaller orders, should see export orders continue to drop.
For foreign clothing brands this could prove to be ideal conditions for establishing a manufacturing presence in Vietnam. For more information see: Vietnam Garment Manufacturing 2024: Quick Guide.