Blog: Leonie BarrieGood morning Vietnam...or good night?

Leonie Barrie | 9 July 2003

It’s just a couple of months since the US successfully negotiated a series of quota curbs on Vietnamese textile and clothing imports, yet the new arrangements have already descended into farce. Recent reports suggest that millions of dollars worth of clothing shipments destined for US retailers have been stranded at Vietnamese ports after a mix-up in quota allocations. Apparently, some factories contracted to fill US orders did not get quota allocations, while others have quotas but no US orders. Others still are believed to have already used this year’s quota allocation.

But it’s not just manufacturers losing out under the pact, signed in April, which set quotas on 38 types of apparel and textile from Vietnam and capped exports to America at $1.7 billion in 2003. With lead times of several months, US retailers are less willing to risk tying up orders if there is no guarantee they will get their garments shipped. Ironically, though, the US domestic industry – which championed so hard for the restrictions in the first place – won’t benefit from Vietnam’s loss.

No, the orders will simply disperse elsewhere in South East Asia or wherever the best prices and quotas prevail.

BLOG

A deep dive to unlocking digitisation's potential

So far, the promise of digitisation in the apparel industry remains largely unfulfilled. But with opportunities for new cheap supplier countries nearly exhausted, it is now seen as offering sourcing e...

BLOG

Kingpins Goes to DC – Watch now

The challenges and opportunities facing today’s textile and apparel industry is also explored in the second in a series of expert panel discussions that is now available to watch on demand...

BLOG

Industry outlook positive but disruptive

How is the global apparel sourcing landscape changing? According to executives at last month’s MAGIC fashion trade show in the US, "speed-to-market," "product differentiation" and "inventory control" ...

BLOG

Speed-to-market can be slow to achieve

It's easy for brands and retailers to see how they can potentially benefit from a successful speed-to-market program – but the irony is that without the support of strategic suppliers, it can be a lon...

just-style homepage



Forgot your password?