Textile Industry'S "Going Out" Vietnam Advantage Lies In Low Labor And Production Costs.

In Asia,

Kampuchea, Bangladesh and Indonesia have become the international garment brand's foundry bases, and Vietnam is standing out with the most prominent regional environmental advantages.

In these countries, Vietnam's regional environment is obviously superior to those of other countries.

Vietnam has sufficient electricity, abundant water resources, political stability and relatively high personnel quality. The efficiency of garment workers is probably 70%-80% in China, far higher than that in other countries.

At the same time, the cost advantage of investment in Vietnam is very obvious.

Small and medium-sized enterprises in Vietnam are small in scale, and the investment in a medium-sized enterprise is only 1 million -150 million. The largest capital of small enterprises is about 1OO million, and its land price is the cheapest in Southeast Asian countries.

In the past, the price of a Vietnamese textile mill was around 1 million Vietnamese shield (about 60 thousand dollars).

After the outbreak of the financial crisis, the price of the factory dropped by 40%. In the context of the appreciation of the renminbi, this is conducive to Chinese enterprises going to Vietnam to acquire factories.

The continuous rise of domestic labor costs has not only forced many

Moving the factory to other Southeast Asian countries, the domestic spinning enterprises are equally unbearable.

Compared with nearly 3000 yuan of textile workers' wages, Vietnam has abundant labor force and low price, which is half of the Yangtze River Delta and the Pearl River Delta region.

Take the clothing workers' salaries as an example, the labor cost of Vietnamese garment workers is only about 1000 yuan.

The value-added tax of enterprises is only 10%, and water and electricity charges are only half of that in the country, which can further reduce production costs.

In addition, Vietnam signed with the United States.

"(TPP), the main manufacturing processes of spinning, weaving and dyeing are carried out in member countries, enjoying export tariff relief.

Duty-free treatment will further enlarge the global competitiveness of Vietnam's textile manufacturing industry under the background of low processing cost advantage, and the volume of orders is expected to further improve for textile enterprises in Vietnam.

Over the past 2009-2015 years, Vietnam's textile and clothing exports grew at an average annual rate of 18.6%, more than 6 percentage points over the same period in China.

China's market share of Japanese textile and clothing imports also dropped from 80% to 70% last year.

According to statistics, Vietnam's national yarn production capacity is about 600-750 million spindles, and the local yarn is exported to China, Indonesia and other places. The export of knitted garments is increased by 30% every year, and garment exports have reached US $28 billion 300 million in 2015, but the fabric 88% is imported from China and South Korea. The export of garments is 88%.

Foreign experts said that 2015 was an opportunity for Vietnam's textile and garment industry to break through.

At present, Vietnam is rated as a highly competitive country in the global textile supply chain.

Therefore, global investors regard Vietnam as an ideal export center for textile production.

In 2014, there were 20 new FDI projects in this field.

At present, the total investment in the textile industry is more than 2 billion dollars.