Vietnam’s textile and garment exports rose 3.3% year on year to more than $36 billion in the first nine months of 2026, as manufacturers navigated uncertain global demand, rising production costs and intensifying competition.
The performance highlights the sector’s resilience but also the challenges facing exporters as they seek to maintain orders and improve profitability in major international markets.
According to the Vietnam News Agency, the industry is targeting higher-value production, stronger domestic supply chains and greater use of technology to sustain growth. Vietnam’s textile and garment exports reached nearly $46.2 billion in 2025, up 6% from the previous year, with a trade surplus exceeding $20.7 billion.
Cao Huu Hieu, general director of the Vietnam National Textile and Garment Group (Vinatex), said the group’s yarn business had performed particularly well, with all 12 yarn units profitable during the first nine months. However, rising revenue across the wider business has not always translated into stronger margins, reflecting pressure from lower unit prices, higher costs and smaller orders.
Also Read: India Targets $350 Billion Textile Boom by 2030 as Costs Surge
Industry leaders say manufacturers must invest in weaving, dyeing and material production to reduce dependence on imported inputs and strengthen domestic supply chains. Automation, digital management and more efficient production processes are also seen as essential to raising productivity and developing higher-value products.
Vu Duc Giang, chairman of the Vietnam Textile and Apparel Association, has urged businesses to move beyond basic cut-make-trim manufacturing towards free-on-board and original design manufacturing models, which can capture a greater share of export value.
Vietnam’s textile producers also face increasingly demanding international buyers, who expect competitive prices, faster deliveries and compliance with environmental and social standards.
The government and industry bodies are expected to focus on technology upgrades, workforce training, stronger supplier networks and market diversification. For exporters, sustaining growth will depend not only on securing new orders but also on controlling costs and moving towards higher-value manufacturing.