The Impact of Wto Accession on Textile Industry in Vietnam
Abstract
Vietnam has achieve notable export success in its textile and garment industry over the past decade. However, it still received many subsidies from the government, especially export subsidies which is prohibited in the international trade once Vietnam has been an official member of WTO. It is textile and garment industry that is one of the most difficult problem in negotiation process of bilateral agreement with US. So for such a dependent-on-government industry like textile and garment industry, what would happen after removing all preferences ? Whether they could survive ? What should they do to gain benefits in such a fierce competition after WTO accession ? That is the purpose of our paper. We hope that this paper con give you a overview about the situation of textile and garment industry, as well as our point of view about troubles raising in this industry.
Content
I. The situation of textile industry in Vietnam before WTO’s accession 2
1.1 SWOT analysis of textile industry 2
1.1.1 Strength 2
1.1.2. Weakness 3
1.1.3 Opportunities 4
1.1.4. Threats 5
1.2 Export subsidies of the government for textile industry 6
II. The impact of WTO’s accession on export subsidies 7
2.1 Rules in the agreement and Vietnam’s difficulties : 7
2.1.1 Rules of WTO and effects to Vietnam: 7
2.1.2 The difficulties of producers: 9
2.2 Adjustment of the government and textiles producers : 11
2.2.1 Adjustment of the government : 12
2.2.2 Adjustment of producers 13
III. Recommendation for development tendency of textile industry 14
3.1 Change in the product 14
3.1.1 Increase in value-added 14
3.1.2 Build the brand name 16
3.2 International market 16
3.2.1 Reduce the risk of antidumping 16
3.2.2 Market research 17
3.3 Other Government Policy 20
3.3.1 Reform administrative procedures 20
3.3.2 Financial measures 20
3.3.3 Support export 20
3.3.4 Support investment 21
3.3.5 Promote healthy competition 21 I. The situation of textile industry in
Vietnam has achieve notable export success in its textile and garment industry over the past decade. However, it still received many subsidies from the government, especially export subsidies which is prohibited in the international trade once Vietnam has been an official member of WTO. It is textile and garment industry that is one of the most difficult problem in negotiation process of bilateral agreement with US. So for such a dependent-on-government industry like textile and garment industry, what would happen after removing all preferences ? Whether they could survive ? What should they do to gain benefits in such a fierce competition after WTO accession ? That is the purpose of our paper. We hope that this paper con give you a overview about the situation of textile and garment industry, as well as our point of view about troubles raising in this industry.
Content
I. The situation of textile industry in Vietnam before WTO’s accession 2
1.1 SWOT analysis of textile industry 2
1.1.1 Strength 2
1.1.2. Weakness 3
1.1.3 Opportunities 4
1.1.4. Threats 5
1.2 Export subsidies of the government for textile industry 6
II. The impact of WTO’s accession on export subsidies 7
2.1 Rules in the agreement and Vietnam’s difficulties : 7
2.1.1 Rules of WTO and effects to Vietnam: 7
2.1.2 The difficulties of producers: 9
2.2 Adjustment of the government and textiles producers : 11
2.2.1 Adjustment of the government : 12
2.2.2 Adjustment of producers 13
III. Recommendation for development tendency of textile industry 14
3.1 Change in the product 14
3.1.1 Increase in value-added 14
3.1.2 Build the brand name 16
3.2 International market 16
3.2.1 Reduce the risk of antidumping 16
3.2.2 Market research 17
3.3 Other Government Policy 20
3.3.1 Reform administrative procedures 20
3.3.2 Financial measures 20
3.3.3 Support export 20
3.3.4 Support investment 21
3.3.5 Promote healthy competition 21 I. The situation of textile industry in