The export turnover of Vietnam’s textiles and apparel sector in the first seven months of this year is estimated at $16.18 billion—a fall of 12.1 per cent over the same period in 2019. Meanwhile, the price of masks and protective goods has fallen sharply due to oversupply globally.
The Vietnam Textile and Apparel Association (VITAS) recorded an average rate of cancellation of orders at businesses in the industry at about 30-70 per cent. A strong drop in orders led to a rise in inventory along with the pressure to pay wages, which increased difficulties faced by businesses.
However, some positive developments in sector include Vietnam surpassing Bangladesh to become the second rank holder in global garment and textile exports during the first half of 2020.
Data from the General Statistics Office of Vietnam and the Bangladesh Export Promotion Bureau show that Vietnam earned $13.18 billion in the first six months of the year, while Bangladesh earned only $11.92 billion.