Textile and garment exports from Vietnam dropped by 17% in the first quarter of 2023, reaching $7.1 billion. This is the deepest decline in the first quarter since 2009

The drop is due to the impact of global inflation on consumer spending on non-essential products, causing a sharp drop in textile and garment exports to major markets such as the U.S. and EU.

Moreover, the domestic textile and garment industry is expected to see further declines in export growth this year due to shrinking export orders and factories operating at below capacity. The conflict between Russia and Ukraine, pandemic, financial market instability, and a banking crisis have also affected demand.

In response to this downturn, textile and garment enterprises in Vietnam need to diversify markets, products and brands produced in Vietnam, use green and recycled products, and have infrastructure investment plans and in-depth strategies to meet the requirements of foreign markets.

Moreover, they need to build connection channels to grasp the challenges and opportunities of the global textile industry, digital technology trends and new policies.