Vietnam: Too many Chinese furniture enterprises
The trade situation between China and the United States has improved, and the home industry is also waiting for good news. At the same time, Vietnam may face new problems.
Rapid increase in demand has brought a lot of opportunities
The threat of imposing tariffs on Chinese products is speeding up the transfer of furniture purchases to other countries.
With the rising labor costs in China and more and more furniture manufacturers focusing on the domestic market, furniture importers in the United States have begun to look for new procurement sites, while Vietnam is attracting interest from all sides, but also faces many challenges.
Vietnam’s domestic infrastructure lags far behind China’s, and the rapid growth of demand is overloading the capacity of local factories, transportation and other infrastructure pressures.
Some brand manufacturing products, business also includes a large and increasing number of OEM OEM, especially its foundry, to meet the demand for custom furniture hardware.
The influx of people and enterprises into Vietnam will affect the Vietnamese economy and bring more employment opportunities.
As demand for Vietnam’s furniture manufacturing industry increases dramatically, the pressure on raw material supply and transport infrastructure is also rising dramatically, which will affect all industries.
In addition, the trade conflict between China and the United States will also increase this burden.
Vietnam’s material supply is not as sophisticated as China’s, and infrastructure improvements are much slower than product demand growth. So, at present, it is still in the bottleneck period, and the local material supply chain can not meet the demand.
As a high-end furniture manufacturer, it no longer relies solely on local raw materials, but uses imported raw materials.