Vietnam's textile and apparel exports performance in 2024

Textile and apparel exports perform better than yarn exports in 2024

Latest data shows that Vietnam's textile and apparel exports in 2024 totaled $37.04 billion, representing an 11.2% year-on-year growth. Yarn exports reached 1.873 million tons, a 5% increase, with export value at $4.41 billion, up 1.2%.

Looking at the monthly performance, Vietnam's textile and apparel exports showed a slight year-on-year decline in February and May, but grew in all other months. Seasonally, Vietnam's textile and apparel exports typically peak in August over the past three years, before quickly falling. Is there a similar seasonal pattern for yarn exports?

The seasonal pattern for yarn exports is not as clear. The most notable growth in yarn exports in 2024 occurred in January. The data for January and February showed significant fluctuations due to the impact of the Chinese New Year. However, since China is the largest buyer of Vietnamese yarn, fluctuations in Chinese demand for yarn directly affect Vietnam's yarn export performance. Compared to last year, China's yarn stocking enthusiasm was much stronger at the end of 2023, before the Chinese New Year, but this year the depreciation of the exchange rate has limited traders' purchases. Therefore, it is expected that Vietnam's yarn exports in January 2025 will not show strong growth.

In 2024, Vietnam imported 1.5 million tons of cotton, an increase of 12.3%, and 1.24 million tons of yarn, up 18.1%. In terms of value, cotton imports grew by only 1.8%, while yarn imports grew by 23.8%. This suggests that the average price of imported cotton is decreasing, while the average price of imported yarn is increasing.

In 2024, Vietnam imported $14.9 billion worth of grey fabric, marking a 14.5% year-on-year increase, the highest in the past decade.

Conclusion:

Overall, Vietnam's textile and apparel products performed well in both imports and exports in 2024, with double-digit growth in cotton and yarn imports, as well as in textile and apparel exports. However, yarn exports lagged in terms of growth, mainly due to the influence of demand from China.