Vietnam wants textile companies to reduce processing

The Vietnam Textile Association stated that in the global supply chain of the textile industry, R&D and sales have the highest added value, but this is the weakest link in the domestic textile industry in Vietnam.

Reported that at present, Vietnam's domestic textile industry from the raw material purchase, production and sales of apparel exports accounted for only 30%, the remaining 70% of the value of exports of processed products. The Vietnam Chamber of Commerce and Industry (VCCI) stated that Vietnam’s textile supporting industry is weak and 90% of textile fabrics need to be imported. The textile fabrics produced by domestic companies only meet 20% of market demand, textile dyes meet 10-15%, and textile machinery and equipment meet 20%. At the same time, the garment matching industry in Vietnam is relatively small, the number of companies is small, and the distribution is scattered. Therefore, domestically produced garments cannot meet market demand. Because textile fabrics rely heavily on imports, Vietnam has become a textile and garment processing area.

According to the report, relevant experts stated that Vietnam needs to increase investment in textile and garment design links, and in particular increase investment in textile fabrics. In addition, to participate in the global supply chain of the textile industry, Vietnam must increase investment in production and exports.