Consider Vietnam for your low cost furniture manufacturing solution

by |  - Vietnam Trade News

If you have your overseas furniture manufacturing in China, it might be time to consider Vietnam as part of your China Plus One Strategy

Many international wood furniture importers are looking to Vietnam as an additional location, or new source, for their low cost furniture manufacturing, reconsidering China. The common indicators affecting all forms of manufacturing in China are also affecting the production of furniture:

  • Chinese Renminbi (Yuan) revaluation
  • Higher labor costs
  • China’s policies of not encouraging foreign low cost manufacturers
  • Shortages of workers
  • Restrictive government policies
  • Inflation
  • The possibility of widespread civic disputes.

Vietnam still presents good opporunties for long-term investment with 5 to 7 percent estimated overall growth in the years to come. (2012 to 2020).

Overview of the Furniture Industry in Vietnam

The furniture industry in Vietnam largely consists of State Owned Enterprises (SOE), Private and Foreign enterprises. There are more than 2000 furniture manufacturers and some 2,520 plus wood processing operations (2010) in Vietnam.

Regional Furniture Specialities in Vietnam
The majority of the furniture manufacturing is performed in the HCM City (Saigon) Region.

The North including the Ha Noi Region
Hardwood furniture, art objects and handicrafts: traditional carvings

Central including Da Nang, the Highlands and Binh Dinh Region
Less formal hardwood furniture and art objects

The Southern including he HCMC Region
Diversified furnishings, manufacturing and souring.

Vietnam furniture industry exports to over 120 countries including Japan, USD, EU and many countries in Asia, including China.

Advantages of Manufacturing Furniture in Vietnam

  • Craftsman cultural heritage
  • Skilled labour is abundant
  • Political stability
  • Factory Overhead is low
  • Low cost labour
  • Good geographic location in Asia

Furniture Industry in Vietnam Specialties

  • Wooden furniture for Home Interiors
  • Outdoor Wooden Furniture

Associations & Events for the Furniture Industry in Vietnam

Handicraft & Wood Industry Association of HCMC (HAWA CORPORATION)
HAWA (Handicraft & Wood Industry Association of Ho Chi Minh City), founded in 1990, is regarded as the authorative organizer and supporter of the Furniture Industry and Wood Industries in Vietnam.

Their mission is to build cooperation among the various stakeholders of the both furniture and wood industries and to establish international recognition for not only the domestic furniture industry but create global markets for Vietnam’s furniture manufacturers.

Vietnam International Furniture and Home Accessories Fair
The first fair was started in 2008. HAWA produces and manages the Vietnam International Furniture & Home Accessories Fair (VIFA) to showcase and promote the Vietnam Furniture Industry to the global markets. A major venue for both buyer and seller.

Next Event
Location: Saigon Exhibition & Convention Center (SECC)
Date: March 11 – 14, 2013

Ho Chi Minh City International Furniture and Handicrafts Fair 2012
The International Furniture and Handicrafts Fair is the largest international furniture and handicrafts trade exhibition in Vietnam. The Fair acts a one-stop Sourcing and business matching service center for international furniture importers sourcing potential partners.

Next Event
Location: Tan Binh Exhibition & Convention Center (TBECC), Saigon (HCMC)
Date: October 3rd – 6th, 2012

Vietnam B2B Direct can be your trusted partner in Vietnam

Choosing a Southeast Asian country like Vietnam for your low cost furniture manufacturing entails extensive market research and due diligence.

It is imperative for a company to a find reliable local partner with a long history of operating in Vietnam that can help you directly in considering furniture manufacturing, in Vietnam.

You need to have a partner that understands the business climate and culture of Vietnam.

Vietnam B2B Direct’s Management Group consists of well educated English-speaking Vietnamese Personnel in its Vietnam operations trained in western business practices.

And, it is important to be able to consult and communicate directly with your local expert in Vietnam that can provide insight on local markets and how these markets are likely to change in the short and the long term.

Vietnam B2B Direct’s focus is on building trade agreements between worldwide companies and Vietnam businesses by providing full supply chain management services in sourcing, manufacturing, importing and exporting.

Contact Mr. Bill Gadd at to discuss your plans for a low cost furniture manufacturing solution in Vietnam… or complete our inquiry form here

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