Chinese Companies Invest In Vietnam'S Textile Industry

Report, trans Pacific Partnership Agreement ( TPP To sign for the benefit of TPP, companies from mainland China, Hongkong SAR and Taiwan have invested in this year. Vietnam? Textile industry. Vietnam's public opinion has questioned whether Chinese textile enterprises can abide by environmental agreements and use advanced technology. However, Vietnam's Cotton Fiber Association says Vietnam should look at investment in a developmental way. Chinese textile enterprises need not worry about investing more.

Chinese enterprises invest in Vietnam, the report said. Spin The main reason is that domestic labor costs, hydropower, sewage treatment and other expenses are relatively high, leading to rising production costs and declining competitiveness. In addition, the Chinese government is increasing the intensity of pollution penalties and blacklisting enterprises that do not meet the standards of environmental protection. At present, such blacklists are also open to Vietnamese enterprises.

Textile enterprises from mainland China, Hongkong Special Administrative Region and Taiwan region are reported. Investment The average amount is $50 million per project. For example, Tianhong Textile Group Co., Ltd. invested $200 million in 2006 in the Vietnam Ze Ze Industrial Zone, producing 400 thousand spindles per year. In 2012, the company invested 3 dollars in Guangning province to produce 370 thousand spindles. The company produces far more yarn than Vietnam's local businesses. At present, the Vietnamese textile group's annual output of yarn is only 50 thousand spindles.

In addition, the production technology of Tianhong Textile Group is relatively high, and Vietnam's local enterprises are hard to reach. In addition, this year's new large textile projects such as Hongkong (Vietnam) Lu Tai ($161 million) and Taiwan Polytex Far Eastern (US $270 million) are all strong textile enterprises in China, all of them using advanced technology. Therefore, Vietnam should treat TPP's foreign investment brought by Vietnam with a calm mind. Vietnam can adopt relevant measures and policies and regulations to effectively supervise foreign investment projects.