Vietnam’s “Saigon Economic Online” reported on October 9 that on October 8, the Vietnam Textile Association (VITAS) and the Vietnam Leather, Footwear and Handbags Association (LEFASO) jointly conducted a The textile, leather and footwear industries are surveyed. Many textile and footwear companies participating in the survey said that delayed delivery this year was punished by some brands, and new orders in 2011 were suspended or reduced in quantity by partners.
Up to 68.1% of companies said that they were fined by brands for late delivery; 12.2% of companies applied to cancel orders with partners and had to pay contract penalties; 21 % of companies said that brands proactively canceled contracts but did not force them to compensate; 13.1% of brands canceled orders that were ready to be signed.
According to the January-September industrial production and trade data of Vietnam’s Ministry of Industry and Trade, the production and exports of the footwear and textile industries fell sharply in August and September due to Many factories had to suspend production. The export value of bags, suitcases, hats and umbrellas was US$1.14 billion, a year-on-year decrease of 3.7%; the export value of footwear was US$13.33 billion, an increase of 9.8% (export volume decreased by 44.2%); the export value of textiles was US$23.46 billion, an increase of 5.8% (export volume was US$23.46 billion, an increase of 5.8%). volume fell by 18.6%). </p
