Garment sector sets sight on US$55 billion exports by 2025

The target was unveiled at the sixth congress of the Vietnam Textile and Apparel Association (VITAS) in Hanoi on Dec. 12.

To meet the target, the garment sector will capitalize on free trade agreements Vietnam has signed with its partners, and be well prepared to promptly respond to the impact of trade conflicts, especially the current trade war between the US and China.

The VITAS will play a better role in connecting businesses with international organisations and customers to elevate Vietnamese garments’ position in the global supply chain.

The VITAS proposed that the Ministry of Industry and Trade soon submit to the Government for approval a strategy for the development of Vietnam’s textile and garment sector to 2030 with a vision to 2035.

It also proposed that the Government and ministries accelerate administrative reform, remove difficulties, ensure a sound business investment environment and reduce costs for businesses.

The garment sector has been singled out for maintaining production and growth during 2016-2020, especially in the context of the COVID-19 pandemic in 2020.

It has made good use of FTAs Vietnam has signed with the Republic of Korea, the Eurasian Economic Union, the European Union (EVFTA), or of those FTAs to which Vietnam is a signatory, such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Regional Comprehensive Economic Partnership (RCEP).

Vietnam’s garment exports have increased considerably from US$28.1 billion in 2016 to US$38.9 billion in 2019, posting an average growth rate of 9.55% annually. The 2020 figure is projected to fall to US$35.2 billion due to the impact of the COVID-19 pandemic.