Sustainable Manufacturing in Vietnam’s Textile Industry: A Comprehensive Guide

Many textile enterprises are moving toward green production processes due to increasing consumer awareness in key export markets. In this article, we will run through how firms are adapting to this trend.

International markets, particularly the European market, have developed stringent standards for imported textiles and apparel, prompting local manufacturers to alter their business practices. To export to the EU, Vietnamese textile firms must adhere to standards governing product safety, human rights, and environmental impact throughout their supply chains.

This regulatory pressure has catalyzed action among Vietnamese firms, forcing them to adapt swiftly. This article examines the current state of the Vietnamese textile industry concerning its environmental impact, highlights key certifications governing apparel production, and discusses the future outlook for the industry.

Driving the Textile Sector’s Green Production Transition

According to the General Statistics Office, textile and apparel exports totaled just US$9.5 billion in the first four months of 2023, marking a 19.3 percent decline from the previous year. This downturn is largely attributed to the global economic slowdown resulting from the Russia-Ukraine conflict, which has also increased inflation among Vietnam’s major trading partners.

Despite this decline, the garment and textile sector has experienced transformative changes. Businesses have swiftly restructured their production lines, technologies, and business models to adapt from highly specialized production to the demand for competitive, small-order items. Vu Duc Giang, the Chairman of the Vietnam Textile and Apparel Association, emphasized this shift during a recent conference focused on digitalization and sustainability within textile production.

Green production has gained importance alongside the rising demand for durable goods. Export destinations such as the US, EU, Japan, and South Korea have instituted laws mandating environmentally responsible manufacturing practices, further driving Vietnam’s transition toward sustainable textile production.

See also: Challenges Facing Vietnam’s Garment Industry: Omen or Opportunity?

Green Production Trends in Vietnam

Recycled Fabrics

Innovative collaborations, such as between Hansae Group (Korea) and Hanoi Textile and Garment Joint Stock Corporation (Hanosimex), are emerging in Vietnam to promote the use of recycled textiles. This partnership aims to convert recycled fibers into yarn and fabric, focusing exclusively on export markets, with anticipated EU demand reaching 4,000 tons.

To assure customers of the fabrics’ recycled content, companies often seek certifications like the Global Recycled Standard (GRS) or Recycled Claim Standard (RCS), enhancing transparency and credibility in the production of sustainable textiles.

Renewable Energy

As an energy-intensive sector, the textile industry is increasingly turning to solar energy as a cleaner, cost-effective way to curb carbon emissions. Vietnam’s abundant sunlight makes it an ideal location for solar energy installations.

In 2021, Vietnam was ranked eighth globally for installed solar capacity, with over 16,500 MW. For instance, the newly established **Specter garment factory** in An Giang, which cost US$17 million to construct, has garnered LEED gold certification for its commitment to environmental design and will utilize solar energy to reduce CO2 emissions by approximately 1,600 tons annually.

Wastewater Treatment

Given the large amounts of water and chemicals used in textile production, effective wastewater management is crucial. Companies are increasingly employing advanced technologies to treat wastewater, including:

• Using chemical agents to neutralize or oxidize hazardous compounds.
• Deploying microorganisms to break down organic materials.

These practices are becoming common in garment manufacturing throughout Vietnam, reflecting an industry-wide commitment to sustainability.

Sourcing Raw, Green Materials

Accessing eco-friendly materials is vital for conservation, reducing chemical usage, and resource management within the textile industry. Many Vietnamese firms are now investing in green materials, with some companies establishing research and development centers to ensure environmentally friendly production.

Material suppliers like Faslink are researching and developing a variety of green textiles derived from lotus, coffee, mint, and bamboo. These fabrics typically have a lower environmental impact than traditional textiles, paving the way for more sustainable fashion.

Certifications

To reassure customers that their products meet sustainability benchmarks, firms often pursue various certifications, two of which stand out:

Bluesign Certification

The Bluesign system promotes sustainable production by eliminating hazardous substances early in the production process. It manages input streams—chemicals, materials, and processes—focusing on minimizing environmental impacts for workers and consumers alike.

Nordic Swan Ecolabel

The Nordic Swan Ecolabel imposes stringent requirements on textile manufacturers, including:

• Designed for Recycling: Textiles must be designed to be recyclable, with strict prohibitions on unwanted chemicals and plastic or metal parts used for decoration.
• No Burning of Unsold Clothing: The certification prevents the burning or burying of excess clothing to combat overproduction.
• Labeling Requirements: Textiles must be organic, recycled, or bio-based, with strict standards against using genetically modified cotton.

The Outlook for Green Textile Production in Vietnam

The garment and textile sector remains a critical pillar of Vietnam’s economic transformation. Although modern challenges such as global economic downturns and consumer preferences for sustainable alternatives may hinder short-term profitability, the shift toward environmentally friendly practices will enhance compliance with export regulations and elevate Vietnam’s stature in climate action initiatives.