Supply chain restructuring
Building on the restructuring of supply chains and effectively leveraging free trade agreements (FTAs), Vietnam's textile and garment industry aims for export turnover of approximately US$50 billion this year, an increase of nearly US$3 billion compared to 2025. This target aligns with the orientation towards sustainable growth and deep integration into the global value chain.
This information was shared by Mr. Vu Duc Giang, Chairman of the Vietnam Textile and Garment Association (Vitas) and Chairman of the Board of Directors of Viet Tien Garment Corporation, at a press conference on the afternoon of January 12th, commemorating the 50th anniversary of Viet Tien Garment Corporation.
VTEC factory.
According to Vitas' assessment, 2025 is considered a pivotal year for the industry, with export turnover estimated at around 46-47 billion USD. Further growth in the coming period will focus on the quality of growth, the proactive nature of the supply chain, and the ability to leverage integration commitments.
Sharing his views on the industry's strategic direction, Mr. Vu Duc Giang stated that the $50 billion target is not a short-term goal, but rather the result of a comprehensive restructuring process implemented over many years. " The current focus of the textile and garment industry is to enhance domestic supply chain capacity, increase the localization rate, and effectively utilize new-generation FTAs, thereby improving the position of Vietnamese businesses in the global value chain ," Mr. Giang emphasized.
One of the key drivers of export growth comes from new-generation FTAs such as CPTPP, EVFTA, and RCEP. In fact, by 2025, many textile and garment product lines had already begun to effectively utilize tariff preferences, especially in the EU market and some CPTPP member countries. However, to fully exploit the benefits of FTAs, businesses must strictly adhere to rules of origin, environmental standards, and labor standards.
In this context, restructuring the supply chain is considered a decisive factor. In recent years, the textile and garment industry has increased investment in the missing links of the value chain, from yarn, weaving, dyeing to logistics and industrial park infrastructure. The formation of concentrated production clusters not only helps businesses proactively secure raw materials and components, but also reduces costs, shortens delivery times, and improves the ability to meet the requirements of demanding markets.
Besides the FTA, the global geopolitical and geoeconomic landscape is also creating significant shifts. The wave of global supply chain restructuring and the trend of diversifying supply sources by major brands are opening up opportunities for Vietnam to participate more deeply in high value-added segments. According to the Chairman of Vitas, in the period 2025–2027, many new investment projects will come into operation, allowing the Vietnamese textile and garment industry to produce product lines that were previously heavily dependent on imports.
Shaping the growth strategy for the textile and garment industry.
Alongside investing in infrastructure and raw materials, textile and garment businesses are also accelerating the application of technology, digitalization, and automation in production and management. This is considered a necessary condition to improve labor productivity, meet increasingly stringent ESG standards, and enhance traceability – a crucial requirement from FTA markets.
Within this overall picture, many large enterprises in the industry, including Viet Tien Garment Corporation, are considered key players in the restructuring process. With large-scale production facilities, extensive market networks, and a shift from contract manufacturing to FOB and ODM models, these enterprises are contributing to shaping a new growth model for the entire industry. Viet Tien currently achieves export turnover of nearly 800 million USD, with consolidated revenue across the entire system of approximately 18,500 billion VND, with key markets including the US, EU, Japan, South Korea, and several other important markets, gradually building the capacity of Vietnamese brands.
In addition, Mr. Giang stated that Viet Tien is committed to becoming a diversified conglomerate, with garment manufacturing as its core, while expanding into other areas such as textile raw materials, industrial real estate, commercial and residential real estate, financial investment, trade and services, hotels, tourism , and maritime transport.
In the long term, the Vietnam Textile and Garment Association has set a development goal for the industry that goes beyond just export turnover figures, aiming to build a modern textile and garment ecosystem with high self-reliance and a focus on sustainable development. Based on this foundation, the $50 billion target is considered a suitable step forward, reflecting a shift from extensive growth to enhancing the value and competitiveness of Vietnamese textile and garment brands in the international market.
Since the beginning of the Doi Moi (Renovation) period, Viet Tien has pioneered investment in technology, expanded exports, and shifted from processing to brand building, contributing to shaping the national brand for Vietnam's textile and garment industry.
Source: https://congthuong.vn/tan-dung-fta-nganh-det-may-dat-muc-tieu-chinh-phuc-moc-50-ty-usd-438718.html
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