Vietnam garment industry facing supplying risks

Big opportunities are coming to Vietnam clothing manufacturers from free trade agreements like Trans Pacific Partnership (TPP). However, While the industry is getting more orders from customers, it is threatened by unstable material supplies, insiders say.
A report on the government website in April said 70 percent of Vietnam's garment materials are imported.
Industry insiders say they are highly dependent on Chinese materials, which accounted for 30.2 percent of the country's import expenditure last year.

Material suppliers have tried to survive the economic slump with competitive prices, but provided low-quality materials. Some material shipments fell far short of the quality required and the company had to ask for another shipment, making workers wait and possibly miss the delivery deadline for the finished product.
The customers will accept the delay if they are the ones who have chosen the material suppliers, otherwise they can cancel the entire deal because of the delay.