5 reasons you should source bags from Vietnam

Vietnam bags manufacturers produce a wide variety of bags, including handbags, backpacks, tote bags, travel bags, sports bags, and more. Some well-known brands also have their production facilities in Vietnam. Here's 5 Reasons you should source bags from Vietnam:

1. Free Trade Agreements：

Over the past few years, Vietnam has been active in signing bilateral trade agreements with countries throughout the world.

The standard of product quality, manufacturing, and employee rights guaranteed in these agreements will enable Vietnam to become a fabrication hub and expand as an export base.

?

2. Vietnam's proximity to China：

Vietnam's close proximity to traditional manufacturing hubs in China is further helping it to become a manufacturing base, so manufacturers are able to reduce costs with limited interruption or delays to existing supply chains.

3. Vietnam's logistics and infrastructure：

?Among the 160 countries included in the World Bank's 2021 Logistics Performance Index, Vietnam (39th) ranked well behind China (26th) overall. But importantly, Vietnam did outrank several countries in the region, including Bangladesh (100th), Cambodia (98th), Indonesia (46th) and India (44th).

4. Low labor costs and human capital：

?Labor costs are a major consideration for any labor-intensive product like footwear and garments. The monthly minimum wages for Vietnam in 2021 vary from $125 to $180 per region, with the highest rates in urban areas like Ho Chi Minh City and Hanoi. These wages account for about half of what China's are in different provinces, ranging from US$ 143 to US$ 348.

In addition, The aging population of China has created labor shortages in the manufacturing industry. While Vietnam still needs skilled labour, it has a young , dynamic workforce ready to fill the gap.

?

5. Ease of doing business in Vietnam

?Vietnam's government is relatively stable, providing strategic direction and deciding on all major policy issues. Vietnam was also among 34 countries that improved the most from 2018 to 2022 on such metrics, most notably regarding: Starting a business, Taxes, and Contract enforcement.

The government has also invested in industrial zones, and this investment is expected to increase as foreign investment pours in. The gradually improving regulatory environment in Vietnam has made operating a local business there easier than ever.

?

Conclusion: Moving your bags manufacturing business to Vietnam

?If you are looking for a partner in Vietnam for Bags, Hecheng is one of top reliable manufacturers you can work with. Let chat with us or send your email to [email protected].