Vietnam

Vietnam’s minimum wage could be going up by an average 7.3% next year following action by the country’s National Wage Council. This week, the council reached consensus on a proposal after months of debate. Exact increases will vary based on regions within the country, with workers in major population centers like Hanoi and Ho Chi Minh City seeing the largest increases. The hike would take place on January 1 if it is signed by the Prime Minister. (Vietnam News)
 
Vietnam’s goal of reaching US$30 billion in apparel exports this year may be unattainable, according to the Vietnam Textile and Garment Association (VITAS). Speaking at a recent press conference, VITAS leaders say that the country has only sold about US$12.7 billion in apparel so far this year, or about 41% of the goal. They also contend that exports are driven primarily by companies with foreign investments and that Vietnam’s wages are becoming less competitive with other countries. (Fibre2Fashion))
 
Vietnam’s Thua Thien-Hue province says it plans to spend nearly US$300 million over the next 5 years to become a hub of garment production. Local leaders say they want to grow both the domestic and export markets by investing in research, product design, branding, and promotion. This effort will also include the construction of a new 400 hectare production zone. (Fibre2Fashion)