As more and more western companies are sourcing from cheaper labor cost countries offshore, the potential for manufacturing in Vietnam is now becoming a serious proposition. The country already exports clothing worth almost US$2 billion per annum to customers around the world. And the government has announced plans to invest a further US$3-4 billion across its apparel production and supply chain infrastructure over the next ten years. But what is its potential, where are the pitfalls, how is the industry structured, and what do its manufacturers have to offer? This article sets the scene.