As a big winner in the war between US and China trades, Vietnam has become a place that’s at the forefront as having people working hard to get trading with America as an alternative to China significantly.
Everything is business and no longer politics, wars, or battlefronts. There is a creation of the high quality of consumer products that get to the American market. Currently, Vietnamese factories are reaping big from the demand for their consumer products globally.
Global companies have started sourcing material goods and products from Vietnam. Such products include furniture, apparel, footwear, hair products, etc. especially for those countries that are found in the Asian part of the world. Other companies have chosen to be port from Vietnam by partnering with companies in Vietnam or venturing into its vibrant manufacturing industry when it taps into the US-ready market.
Many foreigners are working in Vietnam as sourcing agents or having their own businesses of manufacturing, producing in Vietnam to export. In this interview Vinh digest for you the key things to have in mind :
- Which kind of products can you source and manufacture in Vietnam?
- From product research, market analysis to the final shipping: how to get started in this business ?
- Benefits of the Vietnam-EU Trade agreement: EVFTA and trends for the next years
Companies that are located in Ho Chi Minh City have been in the trail already of collaborating with Vietnamese agents who are specialized in sourcing and manufacturing. Other products that get exported with quality and price ratios include coffee, cashew nuts, pepper, and clothing textile from the manufacturing factories.
The costs of the manufactured products in Asia are known to be very attractive; however, the involved factories get only to accept quantities that are large per color and model; hence they provide organizational and quantitative problems for SMEs.
With the competition, you can still possibly launch your production on less than 500 pieces that get well-suited to the small projects of companies or owners who wish to relocate part of their manufacturing process to Vietnam.
The benefits that Vietnam achieves are very dynamic when it comes to the trading market. Their exports are also massive because the country involves the considerable growth of the infrastructure network that provides companies with source producers of quality like the Arabica Vietnamese coffee and the Phu Quoc pepper. They are of premium quality and produced in small sizes with fair trade. Massive products such as garment factories, cashew nuts, and coffee bean plantations are also categorized.
Manufacturing and Producing Goods for Export
If you wish to get involved in sourcing Vietnamese products, you must understand some things that run about its manufacturing industry. First, Vietnam has obtained to become the leading exporter when it comes to consumer products around the whole world. It’s a great thing that Vietnam has gotten to provide a matchless business that gets involved in the ground operation of everything favorable in terms of the production of goods that have enough quality but at meager costs.
Moreover, when you are because Vietnam is bordering China, you will understand that this is a technology giant, making Vietnam a target of standing the chance of getting a massive plethora of benefits. They come through the manufacturing expertise and the skills that get spilled over from the factories in China and their human resources. The following strategy makes Vietnam even more preferable as compared to any of the other Asian countries.
Vietnam’s Product Specializations
Vietnam products venture into consumer products of wide varieties mainly. They involve being on high demand all across the overseas and the globe. Such products and goods include bags, printing materials, home textiles, apparel, furniture, wood products, and hair accessories. There is also the outsourcing of products such as furniture, electronics, shoes, and clothing.
About 2 million Vietnamese get hired in the industry of garments, textiles, and apparel. They had helped make these industries grow very fast, mainly when Vietnam chose to make its investments with China. Most of the Chinese have started expanding their companies in Vietnam while taking advantage of low production costs and environmentally favorable laws that foster many companies to develop in manufacturing.
Find the best suppliers and manufacturers
It’s an unambiguous indication that not all companies provide the conscious energy that gives you high chances of investing in Vietnam. Or that they offer chances of partnering with the other companies in Vietnam as they get to adhere to the sustainable practices in manufacturing, which get set out by laws of the Vietnam environment. Some rare Vietnamese companies practice processes that are eco-friendly, and they are willing to work with foreign parties who are interested in a long term vision and relationship for sourcing products from Vietnam.
There is also an upgrade in the infrastructure. It’s continuing to be better to improve the countries’ chances of trading. If it’s favorable, the transportation of goods will also become favorable, which means there will be a rise in the economy.
Working with Sourcing Agencies in Vietnam: list of factories
Many sourcing agents in Vietnam can provide their help when you want to get access to the best companies that you can partner with, and they also assist you in succeeding in the Vietnam manufacturing industry.
Sometimes you may not have success in going directly to the companies they solely depend on to achieve in their trades as you might need to find overseas factories, partners and investors to joint venture with.
Dealing on a day-to-day basis with Vietnamese manufacturers
Also, finding on Vietnamese suppliers hasn’t been that easy. However, you can use a sourcing agent who will help you get connected to various companies that get considered to have passed the inspection quality standards to operate in the Vietnam country legally. You might also need to ensure that all your products have obtained to meet the various set standards of Vietnam production to get to enjoy a smooth ride in the manufacturing industry of Vietnam.
>> Learn more about manufacturing and producing in Vietnam on this dedicated blog post from movetoasia.com <<
You can decide to carry your assessment of each local company whenever you’re involved in needing help from the agents who will get to determine their stand financially. You will achieve getting information that will help you handle your production capability of the levels of products and access the market. Do extensive research on everything so that you can succeed in the trades that happen in Vietnam.