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| Workers at Hue Textile and Garment Joint Stock Company were producing products for export orders |
Enterprises and the government working together
In recent years, the textile and garment industry has consistently played a leading role in export sector, which partly reflects the dynamism of enterprises.
At Hue Textile and Garment Joint Stock Company, revenue in the period of 2020 - 2025 grew by an average of 11.6% per year, maintaining an export turnover of 108 million USD. This enterprise has also boldly invested in a smart three-story factory model, applied green standards, and implemented an ERP system for comprehensive management.
“The current export market does not focus solely on pricing, but places great emphasis on sustainable development standards. Without digital transformation and green production, it will be difficult to survive. Our biggest motivation is to change our management mindset and technology,” said Mr. Nguyen Tien Hau, Deputy General Director of Hue Textile and Garment Joint Stock Company.
While textile and garment industry demonstrates the resilience of a traditional industry, Kim Long Motor Hue has opened up an entirely new direction. In less than two years, this enterprise signed a contract to export 200 electric buses to the Republic of Korea, and is expanding with an order of 3,000 vehicles to be exported to Thailand annually. This is the first time Hue has exported high-tech industrial electric buses to the international market.
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| At the contract signing ceremony between Kim Long Motor Hue and a partner |
In a recent working session with Kim Long Motor Hue, Mr. Nguyen Van Phuong, Deputy Secretary of Hue City Party Committee, Chairman of Hue City People's Committee, remarked: “Kim Long Motor is not only an enterprise, but also a symbol of Hue's aspiration for industrialization. When successful, the enterprise will open up a supporting industry, create jobs, contribute to the budget, and affirm Hue's position in the global supply chain.”
According to a report by the City People's Committee, of the 835.6 million USD in exports in the first seven months of the year, processed industrial goods accounted for over 510 million USD, an increase of more than 12%; specifically, textile and garment exports reached over 320 million USD, an increase of more than 20%. Thanks to this momentum, the city's GRDP is among the highest in the country.
Alongside the efforts of enterprises, the city government has also accompanied them. Four task forces directly led by the city leaders regularly listen and resolve issues related to land, credit, and customs procedures. Infrastructure for exports, such as Chan May Port, National Highway 49B, and the logistics warehouse system, etc., has received significant investment, upgrades, and expansion.
Mr. Nguyen Van Phuong also emphasized: “Behind the growth figures are the efforts of tens of thousands of workers in industrial parks, and the government's companionship through each mechanism and policy, aimed at creating maximum convenience for enterprises to expand production and reach out to the world market.”
Innovation for sustainable exports
Hue's exports in recent years are proof of a harmonious development model: enterprises innovating their mindset, the government providing strong support, and workers dedicating to work. However, alongside the bright spots, there are still many concerns.
In the textile and garment industry, many enterprise leaders admit that the shortage of skilled labor is a major bottleneck. “Recruiting people is already hard; retaining them is even harder. Young workers tend to move, while vocational training has not kept up with production needs,” said Mr. Nguyen Tien Hau.
In the wood industry, fluctuating imported material prices have driven up production costs. Enterprises exporting to the EU also face strict regulations on certificates of origin and environmental standards. Many a small and medium-sized enterprises report difficulty accessing credit capital sources to invest in technological innovation, while international market demands are increasingly high. Logistics infrastructure is also not fully adequate: Chan May Port is being upgraded, but warehousing and shipping services are not synchronized, forcing the enterprises to bear additional transit costs.
To maintain growth momentum in the final months of the year, solutions have been implemented simultaneously. In particular, enterprises are making efforts to restructure and invest in technology and human resources; and workers are dedicated and share difficulties to stabilize production. The city is also boosting trade promotion, expanding markets, and organizing fairs and conferences, connecting domestic and international supply and demand. The government encourages digital transformation, the adoption of green certifications, and improved management to access demanding markets. Vocational training has also become an urgent task, closely linking enterprises with vocational education institutions.
Regarding capital, a preferential credit package has been rolled out to help enterprises acquire additional resources to invest in new equipment and technology. Logistics infrastructure continues to be a focus, from upgrading Chan May Port to building bonded warehouses and international transportation services.
Mr. Nguyen Van Phuong emphasized: “Export growth is only sustainable when enterprises feel secure in their production, markets are expanded, and the government really accompanies them.”