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T&A Industry: Riding on the coattails of growing trade integration – Initiation

Sector note 24/05/2019    192

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  • Textile and Apparel (T&A): A vertically integrated industry that will strongly benefit from growing trade ties and escalating US–China trade war.
  • A host of external factors will support the continued growth of Vietnam’s T&A export industry.
  • Vietnam’s apparel retail market is not a relaxing playground for domestic players in our view, therefore export-oriented strategies are reasonable.
  • Sector’s main downside risks are rising labor cost and dyeing stage remains a bottleneck of the value chain.

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