Vietnam’s textile and garment export turnover has reached $12 billion this year, representing a modest increase of 9 per cent compared to the same period last year. The current figure is a three-year low, and much lower than the 19 per cent growth rate last year.

However, according to a Vinatas report, the number of foreign invested garment & textile factories has been increasing dramatically as foreign investors have been flocking to Vietnam to take full advantage of the free trade agreements (FTAs) of which Vietnam is a member. The Foreign Investment Agency (FIA) has confirmed that most foreign direct investment (FDI) projects are in the textile & garment sector.

But Vinatas points out that Vietnamese enterprises made up only 27.5 percent of the $12 billion worth of export turnover, while the remaining was created by foreign invested enterprises (FIEs). Vinatas has confirmed that the number of orders from Vietnam’s key markets such as the EU and Japan is on the decrease.

www.vinatas.com,vn