Vietnam’s garment industry is on track for renewed growth, but shifting trade rules and sustainability pressures will test its momentum.
Vietnam’s textile and garment industry expects export earnings to hit US$46 billion in 2025, a 5.6% rise from 2024, according to the ViệtNam Textile and Apparel Association (VITAS). The sector will deliver an estimated US$21 billion trade surplus, reinforcing its role as one of the country’s most reliable export engines.
The rebound comes after several volatile years marked by pandemic disruptions, geopolitical frictions, tightening environmental rules and US tariff measures. Despite these pressures, Vietnam has retained its position among the world’s top three apparel exporters, supported by improved material localisation (now 52%) and aggressive trade-promotion programmes across major markets.
For businesses and policymakers, the implications are twofold. First, the sector’s resilience underscores its strategic importance to Vietnam’s trade balance and employment. Second, the emerging global compliance landscape — from ESG reporting to circular-economy demands — requires faster investments in greener production, skilled labour, and more sophisticated supply-chain management.
Looking ahead, VITAS has set more ambitious targets for its 2025–2030 term: US$64.5 billion in exports by 2030, localisation above 60%, deeper digitalisation, and the development of a globally recognisable Vietnamese fashion brand. Achieving these goals will depend on continued regulatory support, stronger links between domestic and FDI firms, and sustained collaboration with international partners such as ILO, GIZ and KITECH.
The upcoming VITAS Congress in December will gather governments, brands and industry leaders to outline the sector’s next phase — one defined increasingly by circularity, compliance and competitiveness rather than volume alone.
