Vietnam’s textile and garment industry demonstrated resilience amidst a challenging global climate during the first half of 2026. According to the Vietnam Textile and Apparel Association (VITAS), total exports in the sector were estimated at 22.2 billion USD, marking a 1.7 percent year-on-year increase. While the overall figures reflect a positive trend, the industry's performance was nuanced; exports of fibers, fabrics, accessories, and non-woven materials recorded solid growth between 5.6 percent and 10.6 percent. Conversely, garment exports saw a slight contraction of 0.4 percent, primarily driven by weakened consumer demand in key markets.
The United States remains Vietnam’s largest export destination, with shipments totaling 6.81 billion USD—a 1.3 percent rise—accounting for approximately 45 percent of total exports. The European Union emerged as a standout performer, posting an 8.8 percent increase to reach 1.94 billion USD. However, exports to Japan and the Republic of Korea faced headwinds, declining by 6.2 percent and 8.9 percent, respectively. Despite these regional variances, the industry successfully maintained a trade surplus of nearly 10 billion USD during the first six months of the year.
VITAS Chairman Vu Duc Giang emphasized that the era of growth driven solely by increasing production volume has passed. The industry currently navigates significant challenges, including sluggish demand, intense price competition, heavy reliance on imported raw materials, and rising costs associated with Environmental, Social, and Governance (ESG) standards and product traceability. Future growth, Giang noted, will depend on enhancing productivity, developing higher-value products, diversifying export markets, and accelerating both digital and green transformations.
To spearhead this strategic shift, VITAS has approved the formation of four specialized committees focusing on fashion and domestic market development, international business and supply chains, sustainable development, and technology and digital transformation. These committees are expected to begin pilot operations in the third quarter of 2026. With a full-year export target of 48 billion USD, the industry is committed to maintaining an average monthly revenue of over 4 billion USD for the remainder of the year. Priorities include adapting to the evolving purchasing strategies of global brands, expanding domestic raw material supplies, and increasing investment in technology and automation.
