Global Sources Fashion, Hong Kong’s largest fashion sourcing event, also showcases footwear, fabrics and underwear. The event features verified suppliers from major fashion manufacturing hubs such as Vietnam, China, Hong Kong, Taiwan, the Republic of Korea, Bangladesh, India, and Indonesia.
This year, 10 manufacturers from the Handicraft and Wood Industry Association of Ho Chi Minh City are participating in the trade show, according to the organizers.
Vietnamese exhibitors are also taking part in the Rising and Young Designers Corner, a program showcasing designs by emerging talents and start-ups from Vietnam and other countries like India, Laos, the Philippines, Nepal, and Kenya and host Hong Kong.
Thousands of top buyers are expected to attend the show, including Adidas, Avery Dennison, AYE AYE, Colette, eBay, Fossil, GAP, Marubeni, and Mothercare.
Pham Thiet Hoa, Director of HCM City’s Investment and Trade Promotion Center (ITPC), said Vietnam has become a more attractive complementary garment-sourcing destination for international buyers.
The ITPC is supporting most of the Vietnamese participants as part of its mission to assist HCM City enterprises and attract foreign investment to Vietnam, he said.
With around 1,800 booths, the fair is expected to welcome 12,000 buyers from 150 countries and territories, including the US, the EU, Hong Kong, and Japan.
Other highlights include conference programs where industry experts share fashion trends and new technology applications such as AI and 3D printing in the fashion industry.
“Vietnamese garment, fashion accessories and home products firms could take advantage of US’s high tariff on Chinese exports to boost their exports to the US,” Hoa told Vietnam News.
Many of China-made products like garments, bags and furniture have become 10 percent more expensive when exporting to the US, and this could rise to 25 percent next year, he said.
“For mutual trade benefit, Vietnamese exporters need to enhance export standards, product quality, and trade communications skills.”
Vu Ngoc Khiem, chief representative of Global Sources, said an increasing number of overseas buyers are sourcing products from Vietnam as the country is rapidly improving its supply chain for locally made garments and taking part in more free trade agreements.
Michael Hung, general manager of Headwind Group, a Hong Kong-based buyer of promotional caps, apparels and toys, said, “Vietnam offers a unique manufacturing opportunity for importers.”
However, “There are a number of logistics constraints Vietnam faces that make it more challenging than, let’s say, China. But if you can work through this issue, it can be highly rewarding.”
Vietnam has been trying to strengthen its current role as the manufacturer of many of the world’s established brands.
The last decade saw steady growth in its garment and textile exports to Europe and North America.
Garments topped the export list last year with record shipments of USD 31 billion following a rise of 19.2 percent, according to statistics from the Vietnam Textile and Apparel Association.
Garment exports to China last year also surpassed the USD 1 billion mark, expanding the market beyond Vietnam’s traditional ones like ASEAN member countries, Eastern Europe, the EU, Japan, and the Republic of Korea.
The export target has been set at more than USD 35 billion this year and USD 40 billion next year, according to the Vietnam National Garment and Textile Group.
However, the US withdrawal from the Trans-Pacific Partnership could affect Vietnam, experts have warned.
Exports to the members of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) accounted for 17.1 percent of Vietnam’s overall exports, according to the General Department of Vietnam Customs.
CPTPP is expected to take effect in early 2019 and to open up great opportunities for the sector.
Source: VNA