Vietnam is the second largest textile and garment exporter to South Korea, making up one-fourth of South Korea’s garment market, after China.South Korea imported 627.4 million dollars in textiles and garments from Vietnam in the first four months of this year.

The turnover marks an increase of 8.25 per cent over the same period last year. The growth is part of a larger trend. After the Asean – Korea Free Trade Agreement (AKFTA), Vietnam’s textile and garment industry saw significant growth.

In 2011, the sector’s export turnover to South Korea was 900 million dollars. A year later it increased to 1.1 billion dollars and in 2013 it reached 1.6 billion dollars. Last year’s total was a staggering 27 per cent increase over that of 2013.

The growth should only continue with the recently signed AKFTA. According to its open-access commitment, Vietnamese textile and garment products that satisfy certificate of origin norms will enjoy zero tariffs once the agreement takes effect from January 1, 2016. Currently, Vietnamese firms pay a tax of 8 to 13 per cent.

South Korea is Vietnam’s fourth largest importer of textiles and garments, accounting for more than 10 per cent of the market’s export turnover.