Footwear Market in Vietnam
As one of the world’s leading footwear manufacturers, Vietnam ranks second in the world in terms of leather and footwear exports after China. Vietnam exports more than 1 billion pairs of footwear of all kinds of to hundreds of countries around the world every year. In particular, Vietnam’s footwear exports to the EU account for the largest proportion of the total exports. By the end of 2021, there are about 2,200 enterprises producing footwear in Vietnam, mainly concentrated in the area around Ho Chi Minh City.
According to CRI’s analysis, two giant brands in the global footwear industry, Nike and Adidas, have chosen Vietnam as their main production base. Part of the global footwear chain is gradually shifting from China to Vietnam due to its lower costs. Nike has more than 100 suppliers in Vietnam, with 96 factories concentrated in the southern region.
Nike’s arch rival, Adidas, has also chosen Vietnam as its main production area. In its annual report (2020), Adidas suggested that in 2019, 98% of Adidas’ footwear products were produced in the Asian region. Vietnam has become the largest sourcing country for Adidas, accounting for about 40% of its total footwear production in 2021.
According to CRI’s analysis, due to the impact of COVID-19, Vietnam’s footwear exports was USD16.75 billion in 2020, decreased 8.6% YOY. In 2021, Vietnam’s footwear products were exported to more than 100 countries, with about 17.8 billion USD in footwear production. In 2021, Vietnam’s footwear exports have seen a resurgence in growth.
There is a more important basis for the bullishness of Vietnam’s footwear exports, that is, Vietnam has signed trade agreements helpful for exports with Europe and the United States. For example, in the EU-Vietnam Free Trade Agreement (EVFTA), Vietnam’s footwear exports to the EU amount to about 40%. The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) has helped Vietnam’s footwear exports to Canada and Mexico soar.
Vietnam has signed many agreements with developed countries that are conducive to promoting exports, but the strength of Vietnam’s local footwear enterprises remains weak and the major market share of Vietnam’s footwear industry is occupied by foreign companies. According to CRI, Vietnam’s footwear production and exports are expected to continue to grow in 2022-2031. For companies related to the international footwear industry chain, there are many investment opportunities in Vietnam’s market in the coming years.
- Overview of Vietnam’s Footwear Industry
- Economic and Policy Environment of Vietnam’s Footwear Industry
- What is the impact of COVID-19 on the footwear manufacturing industry in Vietnam?
- Vietnam Footwear Market Size, 2016-2021
- Forecast on Vietnam’s Footwear Market, 2022-2031
- Analysis of Major Footwear Manufacturing Companies in Vietnam
- Key Drivers and Market Opportunities in Vietnam Footwear Industry
- What are the key drivers, challenges and opportunities for the footwear industry in Vietnam during 2022-2031?
- What is the expected revenue of Vietnam’s footwear market during 2022-2031?
- What are the strategies adopted by the key players in the market to increase their market share in the industry?
- Which segment of Vietnam’s footwear market is expected to dominate the market in 2031?
- What are the major adverse factors facing the footwear industry in Vietnam?