FAQs

A.

Due to limited availability of fabric mills in Vietnam offering an acceptable mix of price and quality,
we source nearly all our fabrics from China. Hence, in comparison with China the only “short term”
source of cost savings is the sewing fee (CMT). The salary of a Vietnamese operator is around 50% of
the salary of a Chinese operator. But since the CMT fee is a relatively small part of the total garment
price, the savings measured in real USD is presently less significant.

However, due to recent Free Trade Agreements (FTA) signed by Vietnam and its major trading partners,
a massive investment in local textile production is expected in the coming years.

Customers may also benefit from zero percent duty of imported garments from Vietnam due to the
recently signed FTA agreement with EU and the TPP Free Trade Agreement signed by 12 Pacific-rim
countries including USA, Canada, Australia, New Zealand, Japan and Vietnam. China is not a member
of the TPP Free Trade Agreement.

Find more information about the implementation of the Free Trade Agreements in our News blog.

A.

Vietnam is considered by industry experts to be offering a higher and more consistent sewing quality
and more flexible terms with regards to minimum order quantities.

Customers applying a 2-3 year planning horizon will benefit from very competitive prices as Vietnam
will move from its current position as a CMT producer to a competent FOB producing country using
locally made fabrics.

Early movers will have the advantage of building relationships with the most professional partners.

A.

At Short Cut Partners Ltd. we speak your language, we understand your requirements and we deliver
what you expect. Of course we make mistakes. But we don’t hide them in the back of the container.
If there is a problem, we will tell you about it and we will work out acceptable solutions.

A.

1,000 pcs per style.

A.

Lead times should be separated into sampling and bulk production.

Most mills require 2-3 weeks for making lap dips and trial prints. Allowing 10 days for approval, the
total lead time for development of fabric designs is 30 days. Lead time for production of fabric sample
yardage is 30 days, adding another 15 days for approval and transport to Vietnam. Another 2 weeks is
required for producing sales samples making the total lead time for sales samples 90 days.

Lead time for bulk orders is 30 days for fabric production, 15 days for approval and transport and 45
days lead time for sewing, inspection and packing – in total 90 days.

If fabric is available in stock, lead time can be reduced to 60 days.

A.

Prices are confirmed in US Dollars, FOB Hai Phong Port, Vietnam. Deposit: 30% of order value upon
placing order. Balance 70% payment against copy of B/L.