Vinatex General Director Le Tien Truong speaks at the workshop on Vietnam's textile and garment sector amid the CPTPP in Montreal city on May 16 (Photo: VNA) Ottawa (VNA) – A delegation of Vietnamese businesseshas visited Canada to promote textile and garment exports to the North Americannation under the Comprehensive and Progressive Agreement for Trans-PacificPartnership (CPTPP).
The Vietnam National Textile and Garment Group(Vinatex) held a workshop in Montreal city on May 16, attractingrepresentatives of 35 Canadian enterprises.
Total textile-garment demand in the CPTPP, whichgathers 11 members with a combined population of 500 million, is estimated at83 billion USD. In 2018, Vietnam’s textile-garment exports to CPTPP marketswere 5.3 billion USD, a 6.3-percent market share.
Canada’s demand for textile-garment products isworth some 13-14 billion USD, 5 percent of which is provided by Vietnam.
Vinatex General Director Le Tien Truong saidthis market share hasn’t matched Vietnam’s stature as the world’s secondlargest apparel exporter. While Vietnam has a 14-percent market share in theUS, the modest proportion in Canada is a chance for textile-garment exporters,especially as both countries have ratified the CPTPP.
He said all businesses have opportunities toaccess a better tariff policy if they satisfy rules of origin. Therefore,Vinatex has organised trade promotion activities in 2018 and 2019 to meet withCanadian importers.
Even in 2018, when the CPTPPP was yet to takeeffect, Vietnam’s textile-garment exports to Canada soared by 19.7 percent,Truong noted, adding that he hoped they can help boost Vietnam’s market shareto 12-14 percent.
At the workshop, David Ostroff, President ofDavid O International, highlighted the huge cooperation potential for Vietnamand Canada, noting that Vietnam’s prices are comparable to China’s, and itsbusinesses operate in an organised and effective manner.
Notably, Canada can access the Vietnamese marketwith a tariff rate of zero percent, especially key with the Canadian dollarweak internationally. This is the right time for Vietnam to enter the Canadianmarket, he said.
The CPTPP, which took effect in Vietnam onJanuary 14, is expected to boost exports of Vietnamese textile and garmentproducts to Canada when 42.9 percent of the shipments of these products to themarket will enjoy an import tariff of zero percent in the first year the dealcomes into force.-VNA
VNA
