Vietnam’s textile and apparel (T&A) exports are expected to increase by 11.26 per cent to $44 billion in value in 2024, according to the Vietnam Textile and Apparel Association (VITAS).

Meanwhile, T&A imports by Vietnam are likely to increase by 14.79 per cent to $25 billion during the year, notes Vu Duc Giang, President, VITAS. According to Giang, many companies in the sector are experiencing a growth in orders for both 2024 and 2025. In 2025, the industry aims to increase its exports to around $48 billion, says Giang.

However, the industry may encounter significant challenges during year including limited opportunities for large orders, stagnant prices and slow consumer demand recovery, he warns. Companies may also face new challenges such as persistently low order prices alongside rising input costs, significant changes in purchasing practices by brands, and stricter regulations on payments and production volumes, he adds.

According to Nguyen Xuan Duong, Chairman, Board of Directors, Hung Yen Garment Corporation, exports in the sector are projected to grow to $44 billion in 2024, with exports to the EU remaining modest.

To better leverage this large market and effectively utilise the tariff benefits provided by the EVFTA, Duong proposes, competent agencies should address the industry's limitations. Additionally, they must develop local raw material resources besides meeting origin rules, he adds.

Additionally, T&A companies need to continue investing in technology, automation, and robotics to improve production process. They also need to adopt drastic energy-saving measures and utilise renewable energy in production to obtain green certifications, Duong states.