Home / Knowledge / News / Apparel/Garments / ROK garment firms in Vietnam biggest winners in trade war

ROK garment firms in Vietnam biggest winners in trade war

Sep '19
Pic: Shutterstock
Pic: Shutterstock
Vietnamese firms are not benefiting from the US-China trade war as perceived. A recent report by financial data provider Fiin Group shows foreign-invested firms account for almost all the rise in exports to the US as its trade spat intensifies. South Korean garment manufacturers in Vietnam have reaped the highest benefits from the trade war.

Between June 2018 and June 2019, 143 South Korean companies accounted for almost half of Vietnam’s garment export value. In garments, Vietnamese firms only accounted for 16 per cent of the export value during the period, with FDI firms making up the remaining 84 per cent.

The advantage for South Korean corporations stems from the fact that they have been in Vietnam since the early 2000s and have well established supply chains in the country.

"The majority of Vietnamese companies are still small-sized and do not meet foreign buyers’ requirements on quality, quantity and cost," says the report.

US buyers still prefer products from China because prices are more competitive than that of Vietnamese products.

The Fiin Group report said an American buyer has to pay $55 for a reflective clothing item produced by a Vietnamese firm, while the same product from a Chinese company costs half at $27.

The reason is that Vietnamese companies have to import most of the raw materials, such as fabric and reflective material, from China. Even with tariffs added, Chinese companies can still provide products at lower prices than Vietnamese companies, the report added. (DS)

Fibre2Fashion News Desk – India

Must ReadView All

Pic: Shutterstock

Textiles | On 27th Sep 2021

China's infrastructure plan to spur domestic demand, economic change

China’s State Council's executive meeting recently adopted the 14th...

Pic: Shutterstock

Apparel/Garments | On 27th Sep 2021

AAFA calls for tariff relief as US industry deals with shipping crisis

American Apparel & Footwear Association president and CEO Steve Lamar ...

Pic: Shutterstock

Textiles | On 27th Sep 2021

Bangladesh seeks duty-free market access to US

Bangladesh recently urged the US to provide duty-free access to its...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Next level is to inject new features:

Textile Industry, Head honchos

Textile Industry
Head honchos

Fabric selection & recommendation based on client's brief

Textile Industry, Head honchos

Textile Industry
Head honchos

Blockchain is not a silver bullet for each and every problem in supply...

Seema Mishra,

Seema Mishra

Set up in January 2020 by <b>Seema Mishra</b>, the Kasrawad Art Cluster...

Zayed Moyeen,

Zayed Moyeen

Far East Knitting and Dyeing Industries LTD (FEKDIL) was established in...

Shivendra Nigam,

Shivendra Nigam

Delhi-headquartered Cantabil Retail India Ltd was founded by Vijay Bansal...

Michaela Griggs & Peggy Schulz, Barco Uniforms

Michaela Griggs & Peggy Schulz
Barco Uniforms

Founded in 1929, Barco Uniforms started as an apparel company for beauty...

Thomas Ong P S, NanoTextile

Thomas Ong P S

Malaysian company NanoTextile Sdn Bhd taps into the potentials of...

Michael Jaenecke, Messe Frankfurt

Michael Jaenecke
Messe Frankfurt

From May 14 to 17, international exhibitors will present the entire...

Reynu Taandon, Label Reynu Taandon + Nikhita

Reynu Taandon
Label Reynu Taandon + Nikhita

Renowned womenswear designer <b>Reynu Taandon </b>has been serving the...

Seema Gujral, Label Seema Gujral

Seema Gujral
Label Seema Gujral

<b>Seema Gujral</b>'s designs for her eponymous label revolve around...

Abhishek Bajaj & Samiksha Bajaj, Samshek

Abhishek Bajaj & Samiksha Bajaj

Samshek is a fashion forward tech brand which combines digital experience...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

September 2021

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

Advanced Search