CPTPP to speed up Vietnam’s textile sector’s growth


21-November-2018  |  1 min read

Garment industry of Vietnam
Image Courtesy: vir.com.vn

The Comprehensive and Progressive Agreement for Trans-Pacific Partnership, better known as CPTPP, is expected to speed up the growth of Vietnam’s exports, particularly the textile and garment sector.

The industry experts feel that once the CPTPP agreement comes into effect, 95 to 98 per cent tariff lines may get abolished. The remaining percentage of tariff lines is expected to be done away with, in next 7 years.

Removal of tariff lines will help the nation’s garment and textile sector expand its market share in countries that have high tax rates.

It is pertinent to note that the apparel and textile export turnover clocked impressive growth in the US and the EU market followed by South Korea, China and CPTPP member countries.

The Vietnam Textile and Apparel Association (VITAS) also believes that CPTPP will bring more stability in Vietnam’s export market and thereby enhance the growth of the nation. The exporters in Vietnam have also been urged to continue promoting the support industry.

It is worth noting here that the country’s garment and textiles export turnover touched US $ 25.2 billion in the January to October period of 2018.

Share This Article