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TechSci Research forecasts a positive outlook for the textiles chemicals market in Vietnam. Their report shows that the country will have a growth of 16% from 2016 to 2025. This they say is attributed to the population’s increasing demand for finer fabrics and textiles’ growing demand in industrial settings. In particular, the off-whites and beige shades are predicted to be in the trend and will receive the highest demands.
Part of the demand will come from the global market. Vietnam has been implementing changes that proved beneficial for its own economy. For instance, the Vietnam Korea Free Trade Agreement and EU-Vietnam Free Trade Agreement have contributed greatly to the increasing textile export movements, thanks to the reduction on import duties. Similarly, the looming Trans-Pacific Partnership is also expected to bring $30 billion exports to the US – in 2013, the country exported $8.6 billion worth of garments and textile to US, which means that the projected value will be an astounding growth of 250%. The growth in the textiles chemical market is foreseen to continue for the next five years because of the favorable trade environment.
Now, Vietnam is on its way to make the textile and garments sector a core industry for the country. To make this possible, Mr. Karan Chechi of TechSci Research says that they are now taking initiatives to reduce Vietnam’s dependency on other countries for their raw materials. He also adds that there are now plans on the side of textile companies to increase their operations within the country to sustain the growing textile and apparel sector.
On another note, European businesses are happy about the current local business trend in Vietnam – this is according to the result released by European Chamber of Commerce, a non-for-profit organization that speaks for the 850 European businesses in the country. This could lead to the country attracting more investments overseas.