More informations

Today, Monday, 15/07/2024

Register to receive our Newsletter

Textile Investment - Hot Development

24/05/2016 02:47 PM

Lately, FDI’s Capital investment into textile are overheating and growing to be large-scale in VIETNAM. This gives positive signs of economic gravity in the process of international integration. The whole point of the new generation  FTA  such as EVFTA, TPP is to get most benefit from the 0% tariff preferences for intra-exports and reduce strict standards regarding the origin of goods which were included in commitment agreements as a prerequisite to incentives. For Vietnam textile industry to use the best of preferential from TPP, they must satify requirements of the origin of goods from cotton, fiber, or materials in 12 countries of TPP, and fabric of EVFTA. Moreover the US and Japan markets (in TPP) or the EU are to be increasing imports of garments.

 

The investment wave of FDI are shifitng into Vietnam's garment sector. It's actualy a shift of investment from textile conglomerates in regional countries into Vietnam. The main reason is due to Vietnam’s participation in the new generation FTA such as TPP, EVFTA which attracted many markets such as the US, EU and Japan, investors should shift the investment of these markets to Vietnam to profit the export incentives.

In early of 2015 when the basic of TPP negotiations have ended, there are series of projects from lots of FDI to Vietnam textiles. Besides FDI projects for small-scale textile, there are also projects invested by hundreds of millions of dollars. With the projects into operation,

the FDI sector accounts are taking for over 60% of total textile exports in the country. Many FDI projects which get license for textiles in the local investment are also increased significantly. Only in the first 4 months of 2016, Dong Nai has attracted 33 FDI projects with total registered capital of newly and additionally are reached 580 million vnđ focused on textile and mechanics while other 15 FDI projects are industrial project support (SI). Earlier in 2015, this province had licensed a project to expand production and processing of yarns for Hyosung Co Ltd with a total investment of $ 660 million vnđ. This project is the largest FDI investment in the textile sector for Vietnam recently.

One other localities that have attracted many textile FDI projects are Binh Duong. In 560 textile enterprises that are operating in the province, there are 460 FDI enterprises. Since the beginning of 2016, the number of FDI investments for textiles in Pacific have reached $400 million. The highlight is the project by Far Eastern Polutex Vietnam textile with $ 274 million for investment in supply chain complex chemical fiber weaving, dyeing; Project of De Licacy Vietnam Co Ltd with  $100 million specialize in fiber production, weaving and finishing of textile products; and factory project wrapped elastic yarn of Li Long Co Ltd. 

Sources owned by VITAS
Other posts:
Copyright © 2021 Vietnam Textile & Apprel Association (VITAS)
Head Office : 15th Floor, Office Building, C1 Thanh Cong Building, Ba Dinh District, Hanoi.
Phone : 84-24-39349608 / 39361167 / 39364134
Ho Chi Minh City Branch : LP-05.OT19 & LP-05.OT20,
Landmark Plus Building, Vinhome Central Park,
208 Nguyen Huu Canh, Ward 22, Binh Thanh District, HCMC.
Phone : 84-28-22411485 - Fax: 84-28-38233465
Email : info@vietnamtextile.org.vn

Statistic

Total visitors
: 11,201,452
Guest
: 652
 
Smartit Web7Mau - Website: www.web7mau.com - Email: developers.web7mau@gmail.com
Core Version: 1.8.0.0