Textile and wood product exporters in Ho Chi Minh City are actively preparing for the potential increase in US import tariffs, particularly on goods originating from China. This poses both opportunities and challenges for Vietnamese enterprises, as many rely on raw materials imported from China.
In 2024, Ho Chi Minh City’s textile and garment industry, along with the wood processing sector, achieved robust growth, with export turnover soaring by 11% to 20% compared to the previous year. The US market accounted for 40%-50% of the total export value for both industries.
For textiles and garments, The US export market began recovering well in September 2024, helping the company record a 16% growth compared to 2023. The company has already secured export orders to the US through June 2025.
Amid concerns over potential tariff hikes on Chinese textiles, increasing from 50% to 60%, the enterprises have proactively sought materials from Pakistan, Turkey, and Thailand. Even if these countries face higher tariffs, their rates would still be 40% lower than those of China. Additionally, the company is heavily investing in traceability to meet stringent US regulations.
Currently, the US imposes clear and transparent technical barriers. Businesses must disclose the entire supply chain, from the origin of cotton to the production process. If Chinese materials are used in Vietnamese production, businesses must provide specific declarations to ensure that Vietnamese goods are not ‘disguised’ to gain tax benefits
: VOV