Connecting Vietnamese Fashion, Furniture, and Household Goods to Global Distribution Networks

On the afternoon of June 6, 2024, in Ho Chi Minh City, the Ministry of Industry and Trade hosted an international seminar titled “Boosting Export Recovery to Key Markets – Opportunities to Bring Vietnamese Fashion, Furniture, and Household Products into International Distribution Systems.”

This seminar was part of the Vietnam International Sourcing 2024 event series, co-organized by the Ministry of Industry and Trade and Ho Chi Minh City’s People’s Committee from June 6–8, 2024, at the Saigon Exhibition and Convention Center (SECC).

Seeking Deeper Access to Foreign Distribution Systems

The seminar aimed to deliver up-to-date insights into shifting consumer demand, preferences, and trends, along with the development and transformation of the fashion, furniture, and household goods sectors in key export markets. It also offered specific recommendations to help Vietnamese businesses integrate more deeply into global value chains and adapt to new sustainability standards.

Attendees had the opportunity to meet and engage with international buyers, seeking cooperation opportunities to bring Vietnamese fashion, furniture, and household goods more extensively into large-scale foreign distribution networks.

Mr. Ta Hoang Linh, Director of the European–American Market Department (Ministry of Industry and Trade - Photo: Industry and Trade Newspaper

Mr. Ta Hoang Linh, Director of the European–American Market Department (Ministry of Industry and Trade), noted during his opening remarks that exports of fashion, furniture, and household goods from Vietnam have seen impressive growth in recent years, significantly contributing to the country’s total export value and strengthening its role in global supply chains.

Although the COVID-19 pandemic caused an unprecedented export decline, demand in key markets began to recover in early 2024, indicating positive prospects for these sectors. However, internal challenges and increasingly strict export regulations—particularly regarding green production, sustainable development, and circular economy practices—pose significant obstacles to maintaining stable growth and penetrating global distribution systems.

“To better meet international market demands and regain growth momentum, green transformation alongside adopting circular economy models is an inevitable trend that is reshaping the rules of global trade and investment,” Mr. Linh emphasized.

Need for Proactive Investment

In Ho Chi Minh City, Mr. Tran Phu Lu, Director of the Investment and Trade Promotion Center of HCMC, noted that Vietnam—especially HCMC—retains strong export advantages in product quality, technical expertise, labor and environmental compliance, and tariff incentives from trade agreements.

Specifically, during the first five months of 2024, HCMC’s exports in fashion and furniture reached US $18.5 billion, up 45% year-over-year. Textile exports alone were $1.2 billion (+40%), and wood products amounted to $175.6 million (+80%). The household goods segment, including computers, electronics, and accessories, hit $5.4 billion—double year-over-year—while bags, suitcases, hats, and umbrellas totaled nearly $142 million, up 47%.

Despite this growth, Mr. Lu outlined several persistent challenges: (i) Limited financial and human resources hinder competition with global brands. (ii) Building and maintaining brand equity requires substantial investment and time. (iii) Over-reliance on supply chains undermines resilience. (iv) Rapid changes in export markets demand agile adaptation. (v) Meeting EU green production standards requires sustainable manufacturing and supply practices.

Faced with challenges and difficulties, fashion, furniture, and household goods enterprises need to reshape their production processes and invest in green technologies to optimize operations and reduce waste. In addition, building a sustainable supply chain plays a vital role. Businesses must work closely with suppliers to ensure that materials and products are produced and transported in a sustainable and efficient manner.

Moreover, companies in the fashion, furniture, and household sectors should proactively invest in and apply digital transformation and technological innovation in both production and management. This will open up opportunities for them to access international markets.

At the same time, given the characteristics of the market in the coming period, enterprises in these sectors need to develop flexible response plans, adapt their production and operations, and closely monitor market trends and partners. This allows for effective forecasting, production planning, business continuity, and flexibility in product changes according to market demand—especially in emerging, high-potential markets.

Source: Huyền My & Kim Huệ / Industry and Trade Magazine
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