Nov. 12, 2020

XDD TEXTILE takes part in Kingpins24 in October and shares its idea on TRUE VERTICAL IN VIETNAM.

True Vertical is the supply chain that including purchasing cotton, spinning yarn, weaving denim and garment which are manufactured in Vietnam. This 4 in 1 compilation will called "XDD Textile".


Our "True Vertical" that can be helped brand to bring out more good benefits. During COVID-19, our TRUE VERTICAL is also can running normally, didn't have any affect at this moment.


We have a slogan "ONE STOP SERVICES" that is helped customer to solve and complete the program. 

The True Vertical concept is not totally same as Full Package as some people mixed sometimes. Full package could be sourced from everywhere, like make fabric from India, Pakistan, and make garments in Bangladesh, Vietnam, the transportation takes time, and production cycle is long. While True vertical only to do all of these like cotton purchasing, yarn spinning, fabric weaving, and garment making in the same zone, in one company.


So, the First very obvious advantage of True Vertical is the fast speed. When we get the garment order, we could arrange everything in a very fast way, like we have enough material stock prepare, like we could get a faster yarn schedule in our own yarn mill than purchase from outside, to reduce the total lead time.


Second advantage of True Vertical is COST SAVING. Regular communication of brands need to be with fabric, with garment, but now all communication will be focus only on one company. It is an easier communication, save communication time and energy on sourcing. Of course, True Vertical also means we could make sure the quality consistence of every process in production, we will provide the best product.


Actually, I would more likely to say, A True Vertical company has comprehensive strength & stronger ability of anti-risk by balancing every part.


The 3rd advantage is Europe-Vietnam Free Trade Agreement.


As you all know, Europe-Vietnam Free Trade Agreement already took effect from this August. This is a good news for us! You know, It requests fabric & garment must be from local country and then could enjoy duty discount. That is what exactly True Vertical could offer.


Now the duty% is 11.7%, The duty will down to ZERO within next 5 years. There will be a big change. Will EU customers transfer some order to VN? I think it is yes.

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