Vietnam is ushered in the most serious wave of new crown epidemics, and the new diagnosis case is more than 10,000 cases. At 14 o'clock on the 23rd, Vietnam had a confirmed case of 348,000 cases, accumulated 8277 cases of death. The country's largest city and economic and trade center Ho Chi Minh City became a "hard disaster area". The city has confirmed more than 170,000 cases, accounting for half of the national confirmed case, accumulated death case, accounting for 73% of the national death case, and the epidemic situation is extremely severe.

It is reported that from the 23rd zero, Ho Chi Minh City has implemented the most stringent "local non-moving" prevention and isolation measures since the outbreak of the epidemic, from August 23 to September 6th, the city "martial law", except for the allowable Outside 31 special groups, all citizens must not go out. The food issuance of nearly 10 million people in the city will be held by the army, police and government epidemic prevention team.

The 19th cities that were previously included in Ho Chi Minh City were "blocked", which has caused serious injuries to Vietnamese economic production and supply chains. This upgraded version of prevention and control measures are expected to have a more serious impact on factory production and cargo transportation.

A large number of factory shutdown

SEKO logistics said that only less than 30% of the factory in Vietnam maintains a complete production plan.

The Vietnamese Textile and Apparel Association said that nearly 90% of the industry supply chain has been severely affected by the blockade, up to 80% of clothing and textile enterprises in the southern provinces are completely discontinued. In the north, approximately 20% to 30% of textiles and apparel suppliers have been discontinued. The Korean Chamber of Commerce in Ho Chi Minh City estimates that 27% of its membership companies have stopped production.

The Vietnamese Sea Products Exporters and Manufacturer Association said that only 30% of seafood companies in southern regions are still operational. In addition, in recent years, due to the continuous improvement of tariffs in China's products, China's labor costs are constantly rising, and many US manufacturers have also hit the epidemic.

According to reports, 90 COACH, GAP, HANESBRANDS, Nike, VF and Andema have signed a joint letter, please wish US President Joben accelerate Vaccine assistance to Vietnam. They believe that the Vietnamese industry will minimize the supply chain of 3 million employees in the United States to hire 3 million employees.

The Vietnamese textile industry will encounter "wind waves"

According to "Vietnamese Net", workers lose, orders loss, capital loss is the three major crises facing the southern manufacturing. The unstable epidemic situation has also made many international investors take a wait-and-see attitude toward Vietnam.

According to the Vietnamese Textile Association (VITAS) data, the export of Vietnamese textiles in Vietnam has reached nearly $ 23 billion, more than 50% year-on-year, more than Bangladesh, ranking second only to China second. However, since July, the complex epidemic in the southern provinces has begun to spread, affecting the production and operation of the enterprise.

In addition to worried that the epidemic will affect the supply chain, the rising logistics costs, the container is seriously short, and many harbor export goods are congested to directly affect the production of textile enterprises.

The logistics costs currently accounting for approximately 9% of the cost of Vietnamese product are rising sharply. According to VNDIRECT, the price of container leasing has been doubled six months before this year. At the same time, the shortage of containers affects the business of ODM and OBM orders, and slows down the delivery progress of the partner.

In addition, the increase in freight rate will also make down pressure on the purchase price. Textile processing companies use FOB exports, and the delivery of goods is only small indirect. But if the delivery time cannot be guaranteed, it will affect the delivery commitment to partners and customers. In this case, there is no other law in addition to the delivery time of the partner.

Another difficulty in the textile industry in the second half of the year is to waste. Vitas predicts if the new crown epidemic cannot be controlled at the end of August, and the number of workers is expected to reach only 60-65%. Vitas Chairman Wu Dejiang said: In the next few times, the shortage of labor resources will be very serious.

At present, many textile and apparel companies are considering choosing the original accessories from south to north to avoid production interruptions. But even in this case, Mr. Jiang said that when the company has an additional transportation cost, it is not optimistic, and it is difficult to guarantee the delivery time of each brand company.

The Chairman Vitas said that in the current pressing situation, it is a fundamental issue for the vaccination of many workers including the production area of the industrial zone and industrial park textile enterprises.

Faced with many challenges, but the opportunities of textile industry still exist, which is from the competitors. According to VNDIRECT reports, India, Myanmar and many other countries have also been influenced by the Vietnamese clothing industry "direct competitors", also have been affected by new championships, so that clothing factories currently have only 50% of capacity.

Taixing Hongyang New Material Technology Co., Ltd. has consistently adheres to "quality excellence, customer first, quality service, adheres to the contract", with high quality products, good reputation, and sell well. Dedicated to cooperate with domestic foreign merchants to develop together!