Vietnam'S Textile, Clothing And Footwear Industries Are Faced With Double Difficulties: Shortage Of Orders And Shortage Of Workers

According to Vietnam's customs magazine on September 22, from now to the end of the year, with the alleviation of the epidemic situation, Vietnam's economy will gradually restart. The main difficulties facing Vietnam's textile, clothing and footwear industries will be insufficient orders and shortage of workers. Tongjin textile company, located in tongnai Province, said the local government allowed the enterprises to resume production on the premise that the workers must come from the non epidemic areas, and the areas where the factories are located are all epidemic areas, and workers can't go to work normally. Wu Dejiang, chairman of the Vietnam textile and clothing association, said that in the southern region where the epidemic is most serious, even if the epidemic situation can be controlled in October, it is difficult for workers to return to work, because most of the people have returned to their hometown to avoid the epidemic, and workers are not willing to come out again in the near New Year's day and Spring Festival. At the same time, social segregation is still in place, and the flow of personnel is limited, and it is difficult to find workers. The gap is expected to be between 35% and 37% by the end of the year.

Pan Shi Qingchun, vice chairman of Vietnam leather, shoes and handbag Association, said that there was a serious loss of export orders for shoe products, with about 20% in August and 40% to 50% in September. It usually takes 6 months from negotiation to contract signing. Therefore, new orders can only be replenished after at least half a year. Many big brands have shifted their orders to China. With the decrease of orders and shortage of workers, it is difficult for enterprises to resume production immediately.

According to the report, in the first eight months of this year, the export of textile and clothing still maintained growth, with the export volume of 25.9 billion US dollars, an increase of 15.8% over the same period of last year, but the export in August decreased significantly, with a month on month decrease of 18.7%, and a year-on-year decrease of 5.8%. It is estimated that the export of the whole year will reach 33 billion to 34 billion US dollars, which is difficult to achieve the export target of 39 billion US dollars. In the first eight months, the export of footwear industry was 12.6 billion US dollars, up 16.2% year-on-year, but in August, the export decreased by 38.5%.

(source: website of the Ministry of Commerce)

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