World leader in integrated technology solutions dedicated to industries using fabrics, leather, technical textiles and composite materials, Lectra has opened its subsidiary, Lectra Vietnam recently. Lectra has been present in Vietnam for over 20 years and represented by its agent Ly Sinh Cong Trading Service Company (LSC) for the past 12 years. The new subsidiary will take over LSC’s team and assets.
With the opening of the Vietnam subsidiary, Lectra is continuing its development plans in Asia. Said Daniel Harari, Lectra CEO, thanks to 5.5 per cent growth in the first quarter of 2016, Vietnam is one of Southeast Asia’s most dynamic economies. It is a top choice for manufacturers who focus on production costs and brands seeking to diversify supplies. The transpacific agreement signed in February 2016 will reinforce the attractiveness of the country, where Lectra has many customers, including very large Asian companies.
The apparel industry is vibrant in Vietnam. Clothing exports reached $21 billion in 2014 and should grow by 8 per cent, attaining $29.5 billion in 2016, nearly a third from local actors. Of the 6,000 textile and apparel companies, a large number are owned by Chinese, Hong Kong, South Korean, Japanese and Taiwanese companies operating out of Vietnam to take advantage of lower manufacturing costs.