Vietnam’s textile industry is expected to attain an export turnover of US$100 billion by 2030, and maintain its status as the world’s third largest exporter of textile products, according to Prime Minister Nguyen Xuan Phuc.

Prime Minister Nguyen Xuan Phuc at the event. Source: VGP.

By that time, the textile industry should have at least 30 brands having major influence in the world market, said Phuc at a meeting on December 13.

In 2019, the industry is estimated to have exports of US$39 billion, up 7.55% year-on-year and around US$1 billion lower than the target of US$40 billion, partly due to the negative impacts from the US – China trade war.

Being one of Vietnam’s key export staples, the industry employs three million laborers, accounting for 25% of the whole industry sector, while the country remains third in the world after China and Bangladesh in terms of textile exports.

Phuc, however, suggested the industry should pay more focus on the domestic market of 100 million people, in which the middle class is growing at a rapid rate and on track to reach 50% of the population by 2030.

“Made-in-Vietnam” textile products should not be in international markets, but also for the domestic one, Phuc said.

Phuc attributed the industry’s low added value product to its dependence on import materials, in which 60% of fabric materials are imported, and the inability to produce high quality products.

As the current advantage of the industry in cheap labor cost is gradually diminishing, and may be taken over by less-developed countries, Phuc requested Vietnam’s textile industry to take a higher position in the global value chain to maintain the country’s status as major player of the world’s textile market.