Vietnam is attracting many textile and apparel manufacturing companies worldwide to set up manufacturing units in the country, especially after the signing of TPP. The latest in that aspect is Chori, a Japanese trading company engaged in textile, chemicals and machinery, looking to explore the opportunities available in the Vietnamese textile and garment sector.
Expanding beyond its subsidiaries in Thailand and Indonesia, the Japanese firm is now mulling to set up another branch in Ho Chi Minh City by the end of this month. It will also associate with a Taiwan-based company to offer a full range of operations – from the procurement of yarn and cloth to the supply of sewn goods.
As a result of cooperative relations with companies in Vietnam, Chori further plans to escalate its textile business by 2.5 times in the impending two years, to US $ 46.7 million by associating with 15 companies in total by the year 2017, increasing current count by five times.
Also Read – TPP to boost Vietnam’s textile industry
Vietnam provides a good base for supply of textiles and garments to the US, and has plenty of skilled labour available at lower costs as compared to China. Besides, the country is further dropping restrictions on foreign investments and with TPP coming in, there are promises to reduce taxes on imports and exports, which are propelling companies to invest in Vietnam.
