Vietnam is now the world’s 6th largest exporter of fiber and the 3rd largest exporter of textiles and garments, just behind China and Bangladesh.
According to preliminary statistics from the General Department of Customs, Vietnam’s exports of textile fibers and yarns of all kinds in August 2023 reached 174,205 tons, earning over 427.4 million USD, an increase of 12.1% in volume and 11.3% in value compared to July 2023.
Overall, in the first 8 months of the year, this product earned 2.88 billion USD with more than 1.16 million tons, an increase of 6.8% in volume and a decrease of 16.6% in value compared to the same period in 2022. The average export price reached 2,476 USD/ton, down 22% compared to the same period in 2022 (3,171 USD/ton).
In terms of markets, one Asian market is sharply increasing imports of this product from Vietnam compared to 2022. Specifically, in August 2023, exports of textile fibers and yarns of all kinds to Hong Kong reached 521 tons with a value of more than 1.39 million USD, an increase of over 847% in volume and an increase of 354% in value compared to August 2022. China is currently Vietnam’s main fiber import market, accounting for 48% of total export value.
In the first 8 months of the year, this market imported 3,767 tons of Vietnamese textile fiber and yarn with a turnover of more than 11.9 million USD, an increase of 194% in volume and 55% in value over the same period in 2022.
Notably, the average export price of textile fibers and yarns of all kinds into this market has decreased sharply over the same period in 2022, reaching more than 3,166 USD/ton, down 47.3% over the same period in 2022 (6,006 USD/ton).
Vietnam is the world’s 6th largest fiber exporter and the world’s 3rd largest exporter of textiles and garments, just behind China and Bangladesh. In 2022, Vietnam’s textile and garment exports reached 44.5 billion USD, an increase of 11% compared to 2021, and exports of textile fibers of all kinds reached 2.54 billion USD, a slight decrease of 4.3% in volume and a decrease of 0.2%. % in value compared to 2021.
The Vietnam Textile and Apparel Association (VITAS) stated that Vietnam’s textile and garment export turnover for the whole year of 2023 will reach about 40 billion, down 10% compared to 2022. This year, Vietnam’s garment exports face many challenges due to many factors such as inflation and political instability in the world, restraining consumer spending from Vietnam’s major export markets, including the European Union (EU).
China fully reopened its economy in the second quarter of 2023, supporting exports to China such as fiber and yarn to recover since the second half of 2023. In addition, the reopening of some China’s net export products helps reduce input costs of garment businesses because 70% of Vietnam’s fabric materials are imported from China.
Demand for textile and garment industry products tends to increase in the last quarter of the year to serve the holidays, so it is expected that export activities of upstream products (fibers) will be more vibrant than in Q4 2023.