The barriers to Vietnam’s textile companies when participating in the global textile value chain

Abstract

The article attempts to analyze position and barriers to Vietnam's textile companies in the process of participating in the global textile value chain. The results indicate that out of five chains of the global textile value chain including designing, manufacturing materials, tailoring, exporting and distributing, it is the garment processing for export – the lowest added value chain – that Vietnam focuses on. Specific barriers to each chain are also thoroughly analyzed to serve as a basis for suggestions to develop the Vietnam’s textile sector in the future, in which the two most important are to boost the production and export under FOB, ODM and develop textile support industry.