Vietnam's textile and apparel industry perks up in March

Abstract: In March 2023, Vietnam's cotton imports decreased by 21.8% year-on-year but increased by 24.6% month-on-month. Yarn imports rose by 0.2% year-on-year and 27.3% month-on-month. Yarn exports declined by 7.9% from last year but climbed up by 39.5% compared with last month. Net exports of yarn decreased by 20.8% year-on-year but increased by 72.5% month-on-month. The import of grey fabric and textiles moved up by 0.9% year-on-year and 64.1% month-on-month. Textile and apparel exports pared back by 14% year-on-year but rose 14.5% from last month.

1. Vietnam's cotton imports drop y-o-y yet rise m-o-m in March

According to statistics, Vietnam imported 95,600 tons of cotton in March 2023, decreasing 21.8% y-o-y but increased by 24.6% month-on-month. By country, the US overtook Australia as the main source of Vietnam's cotton imports in March, which contributed 33,785 tons of cotton, accounting for 35.35% of the total import volume. It was followed by Australia and Brazil, the amount of which reached 23,464 tons and 13,207 tons respectively, accounting for 24.55% and 13.82% of the total imports.

2.Vietnam's yarn imports increased both y-o-y and m-o-m and in March

In March 2023, Vietnam imported 100,900 tons of yarn, a year-on-year increase of 0.2% and a month-on-month increase of 27.3%. By country, in March, Vietnam imported yarns mainly from China, Taiwan China and Indonesia. Among them, 65,801 tons of yarn were imported from China, accounting for 65.22% of the total import; 10,680 tons were imported from Taiwan China, accounting for 10.59% of the total; and 6,128 tons were imported from Indonesia, accounting for 6.07% of the total.

3. Vietnam's yarn exports fall y-o-y but rise m-o-m and in March

In March 2023, Vietnam exported 151,300 tons of yarn, decreasing by 7.9% year-on-year but increased by 39.5% month-on-month. Yarn exports of Vietnam were mainly destined to China, South Korea and the United States in March. Among them, 69,512 tons were exported to China, accounting for 45.95% of the total export. Exports to South Korea reached 12,038 tons, accounting for about 7.96% of the total exports, and those to the United States were 9,087 tons, accounting for about 6.01%.

4. Vietnam's net exports of yarn move down y-o-y but move up m-o-m in March

In March 2023, Vietnam's net exports of yarn were 50,400 tons, down 20.8% year-on-year compared with 63,600 tons of last year, but increased by 72.5% month-on-month.

5. Vietnam's grey fabric and textile imports increase both y-o-y and m-o-m in March

In March 2023, Vietnam's import of grey fabric and textile amounted to 1.273billion US dollars, up 0.9% from last year and 64.1% from the previous month. In terms of countries, the main sources of Vietnam's grey fabric and textile imports in March were China, Taiwan China, and South Korea. Among them, the imports from China reached 821million US dollars, accounting for 64.51% of the total imports. The imports from Taiwan China totaled 144million US dollars, and those form South Korea were 132million US dollars, accounting for 11.31% and 10.38% of the total imports respectively.

6. Vietnam's textile and apparel exports pare back y-o-y but elevate m-o-m in March

Vietnam's textile and apparel exports totaled 2.626 billion US dollars in March 2023, decreasing by 14% from the previous year but rose 14.5% from the previous month. In terms of countries, Vietnam's textile and apparel were mainly exported to the United States, Japan and South Korea. The textile and apparel exports to the United States amounted to $1.094 billion, accounting for 41.68% of the total export value. The export to Japan totaled $324 million, and the export to South Korea reached $291 million, accounting for 12.54% and 11.12% respectively.

In general, the overall import and export of Vietnam's textile industry gained positive momentum in March, with cotton import, cotton yarn import and export, and textile and apparel export all achieving positive growth compared with last month. Vietnam's import of cotton yarn and grey fabrics even witnessed increased year-on-year growth. So far, orders of the end-user market of Vietnam's textile and garment have seen slight improvement. It is expected that with the support of orders, Vietnam's textile and garment industry will continue to warm up.