How Vietnam leaped to become a major textile exporter with a lack of textile materials

As we all know, Vietnam itself as a country with a shortage of textile materials, is if among the ranks of the major textile countries? Why can attract major textile enterprises to open up production bases in the local, the same as the textile power of China, why large factories textile heroes are to Vietnam to open up the textile frontier?

For China, Vietnam's textile industry does not take its advantage. Whether in textile technology or raw material production, in China special yarn, differential yarn kind is far higher than the technical difficulty factor of pure cotton, and textile raw materials China as a major cotton production country, cotton production in Xinjiang in 2018 reached 5.111 million tons. But in China, with the numerical industry to improve, cotton demand and market digestion on the consequent growth, labor and production costs continue to increase, some large spinning enterprises began to shift the focus of production plants to labor and production costs are lower in Southeast Asian countries, Vietnam, so the sharp edge out of the sale.

According to the data provided by the Vietnam Cotton Yarn Association, Vietnam's cotton imports for the year 2018 were 1.568 million tons, with a value of 3.011 billion U.S. dollars, up 21% and 27.5% respectively. 2018 Vietnam's cotton yarn imports were 1.0348 million tons, with a value of 2.419 billion U.S. dollars, up 17.8% and 32.8% respectively. Yarn exports amounted to 1,478,600 tons with a value of $4.025 billion, up 9.6% and 12.0% year-on-year, respectively. (Source: China Textile News)

Vietnam's cotton imports have steadily increased in recent years, and as the focus of China's textile industry slowly shifts, Vietnam's textile output has also grown. And Vietnam's current largest textile enterprises China to this to this investment enterprise Tianhong Textile Group, by cotton yarn producers transformed into an integrated industrial chain of textile enterprises. If the full industrial chain strategy is successful, Tianhong Textile will become one of the world's most competitive textile and apparel supply side, and its textile industrial park will easily grab textile and apparel orders from mainland China, laying a long-term competitive advantage.

The Comprehensive and Progressive Trans-Pacific Partnership (CPTPP, ComprehensiveProgressiveTrans-PacificPartnership) entered into force in Vietnam on January 14, 2019. the impact of the CPTPP on Vietnam's economy will largely depend on Vietnam's ability to seize opportunities and overcome challenges. The CPTPP phases out 98% of tariffs on agricultural and industrial products, eases investment regulations and strengthens the protection of intellectual property rights. Joining CPTPP has brought unprecedented market to Vietnam, and "Made in Vietnam" may become the biggest winner. (Source: China Cotton Network)

Vietnam as a textile industry, "new star country", the control of raw material imports and the downstream process of finished blanks are not very mature. But in recent years the development is more rapid, think how attractive the cheap labor to the market. But the national policy guidance is more important, as well as actively learning textile technology to stabilize its development.