GLOBAL GARMENT FIRMS NO LONGER BULLISH ON VIETNAM AS COSTS RISE
"More and more companies come to Vietnam ... In the foreseeable future, we do foresee a shortage of labour and even fierce competition for hiring staff there," Makalot chairman and CEO Frank Chou told Nikkei Asian Review, adding the company would now focus on Indonesia, which he expects to become its most significant production base in three to five years.
UNLISTED PUBLIC COMPANY MARKET PROMISES INVESTORS BETTER PERFORMANCE
The improvement of the legal framework has been a boost to the market's performance. In the first six years of operation, there were only 169 companies on UPCoM with average daily trading value of VND15 billion (US$544,300).
AT A LOSS OVER FTAS
The textile and garment industry may fail to take tariff advantage from the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Vietnam-EU Free Trade Agreement (EVFTA) as it cannot tackle the issue of local materials. Meanwhile, the Government and local authorities are still undecided over the planning for the industry.
VN POISED TO BECOME MANUFACTURER OF ESTABLISHED GLOBAL BRANDS
Việt Nam’s garment and textile sector is set to expand its market share globally, taking advantage of free trade agreements (FTAs) to become “a manufacturer of the world's established brands”, a trade and investment official has said.
VIETNAM TEXTILE AND GARMENT BUILDING NEW POSTURE
With an export target of US$40 billion set for 2019, this year is considered an important year for Vietnam's textile and garment industry in two potential export markets: Canada and Australia. Vietnam currently holds 4-5% market share in these markets. However, there are still many hurdles that the industry needs to overcome to capitalize on opportunities in CPTPP.
TEXTILES FIRM RACE TO LIST ON THE MARKET
Many textile and garment enterprises have improved operations to prepare themselves for the list on the stock market. Sông Hồng Garment JSC debuted on the Hồ Chí Minh Stock Exchange (HoSE) in late November by listing more than 47.6 million shares with the code MSH.
FDI FIRMS EXPAND IN LOCAL TEXTILE-GARMENT SECTOR
Vietnam had become increasingly appealing to large foreign investor groups in the textile and garment industry who wanted to seize opportunities when the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) takes effect in January next year, according to analysts.
JAPANESE CAPITAL CONTINUES POURING INTO TEXTILE AND GARMENT
Japanese firms are scaling up investment into Vietnam’s textile and garment sector to take advantage of the huge market potential and Vietnam’s new-generation free trade agreements.
