Vietnam's "investment daily" reported on September 7 that the textile and clothing industry, which contributed more than $39 billion to exports in 2019, is seriously affected by the epidemic, with the export value of all commodities such as textiles, clothing, yarn and cloth falling year on year.
According to statistical data, in the first eight months of this year, the export volume of textile and clothing was 19.25 billion US dollars, down 11.6% year on year; the export of strong fabric and other technical fabrics was about 260 million US dollars, down 36.8%; all kinds of yarn reached 2.2 billion US dollars, a year-on-year decrease of 19.4%.
In August, textile output increased by 3.1% month on month and 4.9% year-on-year; in the first eight months, the total year-on-year growth was 1.3%. In August, the clothing output increased by 4.9% month on month and 4.4% year-on-year; however, the total 8-month clothing output still decreased by 4.2% year-on-year.
It can be said that the production and export of textile and garment industry are still facing many difficulties due to the impact of Xinguan epidemic. Corporate investment has also slowed as global consumer demand shrinks due to social isolation, unclear psychological expectations for the future, and the impact of tight household spending policies.
According to the Ministry of industry and trade of Vietnam, in the third quarter of 2020, there are few signs of optimism in the global textile and clothing market as a whole, and there is no significant change in market demand.
According to the Convention of past years, all enterprises should receive orders before the end of the year or even in the first half of next year. However, affected by the epidemic situation, global consumers only pay attention to daily necessities and anti epidemic supplies, resulting in weak demand. At present, Vietnamese textile and garment enterprises only receive monthly or even weekly orders.
At present, some enterprises have received about 50-60% orders in September, while there is no clear information on the orders in the remaining months of 2020 and 2021.