Vietnam's textile and garment industry orders began to decline in the third quarter

Release time:

2022-09-17

Vietnam Securities Network reported on August 31 that according to data from the General Administration of Customs of Vietnam, textile and clothing exports reached a new high in July, with exports exceeding US $3 billion for five consecutive months. By the end of July, textile and clothing exports exceeded 22.2 billion US dollars, up 20% year on year.

According to a report by Successful Textile Investment Trading Co., Ltd., strong inflation and large inventories in the United States and Europe will significantly reduce the purchasing power of textiles and clothing, thereby affecting business orders in the third quarter. Century Yarn is in a similar situation. Mr. Deng Zhaohua, Vice President of Century Yarn, said that due to high inflation, new orders began to decline in the third quarter.

In addition, the conflict between Russia and Ukraine has led to rising prices of raw materials and, of course, auxiliary materials. Among them, cotton prices have risen by 19.1 and freight rates have also risen three times, making the production costs of Vietnamese domestic enterprises rise by more than 20%. In addition, the European Union, one of the main textile and clothing consumer markets, is also experiencing the biggest depreciation of the euro in the past 20 years. This greatly affects the revenue of the order.

According to statistics, from January to July this year, Vietnam's textile and clothing exports amounted to 22.239 billion billion US dollars, an increase of 20.4 percent over the same period last year, and yarn exports amounted to 3.097 billion billion US dollars.

From January to July, Vietnam's textile and clothing exports to the United States amounted to 11.138 billion US dollars, with the United States accounting for 50%. Exports to Japan and South Korea were $2.059 billion and $1.683 billion, respectively.

From January to July, Vietnam's cotton yarn exports were 3.097 billion US dollars, down 2.1 percent year-on-year, of which exports to China were 1.443 billion US dollars, accounting for 46.59 percent of China's exports, and 77.1 million US dollars to India. From January to July, Vietnam exported 964000 tons of yarn, down 17.1 percent year on year.

In 2021, Vietnam's textile and clothing exports amounted to US $32.75 billion, up 9.9 percent year-on-year, and yarn exports amounted to US $5.609 billion, up 50.1 percent year-on-year. According to the Vietnam Textile and Garment Association, Vietnam's textile and garment export target in 2022 is 43 billion US dollars.

In August 2022, exports of textiles and clothing reached US $4.002 billion billion, up 8.67 per cent from the previous month and 50.76 per cent from the same period last year; exports of yarn 124600 tons, up 13.13 per cent from the previous month and down 20.29 per cent from the same period last year; imports of yarn 89500 tons, down 1.90 per cent from the previous month and up 26.66 per cent from the same period last year; imports of fabric reached US $1.204 billion, up 5.04 per cent from the previous month and up 19.74 per cent year.

From January to August 2022, Vietnam's exports of textiles and clothing reached US $26.276 billion billion, up 28.85 percent year-on-year; exported 1.0894 million tons of yarn, down 14.83 percent year-on-year; imported 732800 tons of yarn, up 0.95 percent year-on-year; and imported fabrics reached US $10.298 billion billion, up 11.80 percent year-on-year.

All things non-woven, Pepsi can be woven

Return to List

What will be the trend of cotton prices in the next stage of the textile industry chain under pressure?

More information