New Hurdles Arise As Manufacturing Looks To Vietnam During U.S.-China Trade War

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New Hurdles Arise As Manufacturing Looks To Vietnam During U.S.-China Trade War
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New hurdles arise as manufacturing looks to Vietnam during U.S.-China trade war paid flexport

that the supplier has the manufacturing capacity to entirely shift smartphone production outside of China.that by the end of the year, most of its production would be moved out of China to Vietnam in direct response to the tariff threats.

Meanwhile from the Vietnamese perspective, there’s the question of rising trade fraud—where some label the origin of goods as Vietnam in order to elude trade restrictions. The Vietnamese Ministry of Industry and Tradethat “fraudulent labeling not only directly affects products and consumers, but also significantly reduces the reputation and competitiveness of goods manufactured in Vietnam.”

And Vietnamese infrastructure—roads, ports, and rail—still lag behind the wide-scale development of China. As manufacturing demand increases, so too will the demand to build a more robust transport system to move goods from factories to ships. Vietnam is building a new deepwater port, but it won’t be open for another three years, rail lines are thin, and highways are small in a country that still has a large agrarian rice-based economy.

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