HCM CITY — Việt Nam’s garment industry, a key player among the top three exporters in the global market, is essential to the country’s economic prosperity, contributing 15-20 per cent of total exports and providing over three million jobs.

As global apparel market demand rebounds post-COVID, the industry stands at a pivotal juncture. According to Mordor Intelligence, the global apparel market, valued at approximately US$1.5 trillion in 2021, is projected to grow at a compound annual growth rate (CAGR) of 5.5 per cent from 2022 to 2027. This robust growth, alongside shifts in global supply chains due to ongoing geopolitical tensions, positions Việt Nam to seise significant opportunities.

Opportunities for Growth

The Vietnamese garment sector has the potential to elevate itself into higher value-added activities while fostering sustainable development and inclusivity within the nation’s economic frameworks. Embracing this moment could transform the industry into a leading player in the global textile supply chain, promoting long-term resilience and innovation.

The 22nd Vietnam International Textile and Garment Industry Exhibition (VTG) took place from September 25 to 28 in HCM City alongside the Vietnam International Textile and Apparel Accessories Exhibition (VITATEX), the Vietnam International Dyeing & Chemical Industry Exhibition (DYECHEM), and the Vietnam International Footwear Machinery and Material Exhibition 2024 (VFM).

It showcases nearly 400 exhibitors from 12 countries and regions, including featured pavilions from India, Korea, China, and Taiwan. The exhibition focuses on factory digitalisation, aiming to propel Việt Nam’s textile industry towards Industry 4.0.

A full-day executive seminar titled “Elevating the Textile & Garment Industry Value through High-Impact Fabric Supply Chain,” organised by CCX Partners in collaboration with Chanchao International, marked a significant event during this year’s VTG. Held on the exhibition floor, the seminar attracted more than 30 VIPs and industry leaders from renowned companies such as VF Corporation, PVH, Decathlon, and Adidas, as well as top local manufacturers like Yodi, Thai Tuan, Viet Thang, SAITEX, VINATEX, and Tan Hiep Thanh Textile.

Shafiar Rana, Manager of Global Factory Compliance Standards & Strategy at VF Corporation provided a comprehensive analysis of Việt Nam’s market position. — VNS Photo

The seminar featured a keynote address by Shafiar Rana, Manager of Global Factory Compliance Standards & Strategy at VF Corporation. Rana provided a comprehensive analysis of Việt Nam’s market position, highlighting critical challenges for achieving inclusive and sustainable growth. 

Following the keynote, a panel discussion moderated by Ralf Wasmuth, Senior Consultant at ARC Consulting, featured insights from industry experts, including Mr. Daniel Chan, Founder & CEO of Intereras; Tri Tran, former Lean Manager at Decathlon Vietnam; and Ms. Giang Nguyen, Country Brand Manager at DETERMINANT, Tessellation Group. The panel explored strategies for navigating the evolving global textile landscape, emphasising the importance of adapting to stringent compliance requirements as a strategic advantage for integration with key markets like the U.S. and EU.

Panelists discussed Việt Nam’s current dependency on imported materials, noting that over 80 per cent of the sector’s raw materials are sourced externally. This reliance, coupled with geopolitical disruptions affecting the supply of essential materials, underscores the need for a more resilient, localised supply chain. Experts emphasised the necessity for Vietnamese producers to adopt flexible, innovative approaches to meet the evolving demands of international clients, enhancing their competitiveness in the global market.

Networking and Collaboration

The seminar concluded with a networking session, enabling participants to connect and explore collaboration opportunities. Discussions throughout the day highlighted both the challenges and the immense potential for growth and transformation within Việt Nam’s textile and garment sector. By focusing on sustainable development and higher value-added activities, the industry is well-positioned to capitalise on global shifts and continue contributing significantly to Việt Nam’s economic prosperity.

International panelists showcasing Vietnam’s key position in the global value chain in the seminar. — VNS Photo

Phuong Nguyen, a representative from CCX Partners, stated, “Chanchao International and CCX Partners aim to create an integrated platform for foreign investors and manufacturers to understand, connect, and succeed in the Vietnamese market through these thought leadership seminars. We want to provide trusted and industry-relevant insights right on the exhibition floor.”

The event demonstrated the collective commitment of both local and international stakeholders to drive the sector forward, ensuring its continued success and integration into the global textile supply chain while aligning with Việt Nam’s sustainable development goals in the garment sector. — VNS