Vietnamese enterprises exported a total of 1.13 billion medical face masks in the first ten months of 2020, according to the General Department of Vietnam Customs (GDVC).

Vietnam is one of the world's major production hub of protective gear and clothes. Photo: Cong Chien.

In October, around 60 companies in Vietnam exported medical face masks to countries such as the US, Europe, Singapore, or South Korea, among others, with over 143 million units, slightly up 0.3% month-on-month.

This marks an increase in two consecutive months in Vietnam’s face mask export, following a 5.5% month-on-month growth in September.

In May, Prime Minister Nguyen Xuan Phuc approved the export of medical face masks and protective gear provided domestic demand and reserves are met.

However, the export turnover of face masks declined in July after the Covid-19 pandemic was gradually contained in many countries. In the domestic market, demand for face masks has also weakened as local people are calmer and more experienced in dealing with the Covid-19 pandemic.

Since September, demand for face masks has sharply risen as countries around the world are struggling with a surge in Covid-19 infections, especially in Europe and the US.

Major hub for protective gear production

In addition to medical face masks, major textile firms in Vietnam, including Garment 10, TNG, and Dong Xuan Textile are receiving huge orders of cloth face masks production.

Under the growing impacts of the Covid-19 pandemic, face mask production is considered a viable solution for garment companies in Vietnam to maintain operations and offset losses from lower demand for garments.

Vietnam has emerged as one of the world’s major production hubs of protective gear and clothes, thanks to its capability of receiving large orders and quick delivery. In September, Standard Chartered announced Dong Nai Garment Company (Donagamex) as its latest client to tap the bank’s US$1 billion-financing commitment to the global fight against Covid-19.

Specifically, the bank’s extension of a credit of VND70 billion (equivalent to US$3 million) will provide Donagamex the working capital to ramp up production of medical and cloth masks as well as medical gowns to meet the rising demand for personal protective equipment (PPE) globally.

Under the same program, Standard Chartered previously provided credit of VND100 billion (US$4.3 million) for Garment 10 and US$63 billion (US$2.7 million) for Bac Giang LGG Garment.

All three are leading companies in Vietnam’s textile industry that are specialized in exporting garment products to the US, Europe or Japan, among others.