Business Prospects in Vietnam Manufacturing Industry

Overview

Executive Summary

Vietnam is one of the emerging economies in South East Asia but still, Vietnam is considered a developing country. As compared to China's manufacturing industry, Vietnam is still new but expanding rapidly. Vietnam is among the top five exporters of garments and textiles, but they rely heavily on raw materials imported from other countries. The outbreak of the US-China trade war has accelerated Vietnam's industrial manufacturing development and business opportunities. Vietnam's economic position has improved in recent years.

Positioning in Global Textile Market

In past years, Vietnam has evolved as one of the world's leading textile exporting countries. In terms of overall turnover, garments and textiles were among its major export commodities in 2020.

Performance of Footwear Industry: In Asia, after China and India, Vietnam is 3rd largest footwear manufacturer and 4th worldwide. Vietnam's leather and footwear volume of exports are second only to China.

Performance of Furniture Industry: Vietnam is the currently second-largest furniture exporter in the Asia-Pacific region and the fifth largest in the world, trailing China, Germany, Italy, and Poland. Furniture exports were valued at approximately USD 7.66 billion in 2017, rising to USD 8.66 billion in 2018.

Scope of the Study

Report titled “Business Prospects in Vietnam Manufacturing Industry” published by Makreo Research and Consulting Firm talks about the importance of Manufacturing industry in Vietnam on various aspects including sector wise performance, trade performance, role in global economy disruption and on many other parameters.

The geographic location of Vietnam and close proximity to China helps the country to gain the attention of international brands. Also, the government is continuously working towards easing trade and introducing policies favoring foreign brands.

The report gives an overview of the economic development of the country and the impact of COVID-19 over the country’s performance and mainly discusses the performance of key industries including Electronics, Agriculture, Textile, and Tourism. The study comprises of macro and micro-level assessments to give equal importance to the industrial and economic factors. On Micro level, the report talks about key opportunities in the country’s manufacturing industry, major driving forces and key challenges present.

The report helps the readers to gain insights on business prospects present in the country with the help of past and present performance. It is important to understand the macro level assessment that helps to strategies future actions. Each sector discussed in detail cover majorly positioning in the global market, the present state of production, the impact of COVID-19, and exports performance.

Sectors Discussed in Detail

• Electronics
• Textile
• Footwear
• Furniture
• Coffee