Trades & Market
Where to find Vietnam Manufacturers?


When starting a successful business, realizing that the manufacturing industry is an integral part of the economy and knowing how to utilize that is often the difference between a company that reaches international expansion and higher consumer demand and one that does not.

What is a manufacturer?

From the beginning of manufacturing which has been around as long as man, to the most recent trend of e-commerce manufacturing, manufacturers' benefits speak to why it is becoming ever more widespread, investment-worthy and essential in the start-up of businesses in both Vietnam and worldwide. 

Manufacturers are businesses and companies that produce finished goods from the starting point of raw goods and materials. These goods are then distributed and sold to wholesalers, retailers, consumers, and related manufacturers, who want to create more intricate items in the industry. 

A manufacturer usually sticks to having one type of product in its production line, typically meaning that retailers often work with a collection of manufacturers to build inventory for their store. The scale in which production takes place is also on a much more extensive range, encompassing factories with many production line components and types of workers. This production method is used to meet the high demand from local and international consumers.  

Manufacturer and Supplier

When speaking about manufacturers and suppliers, people often confuse them for the same thing. However, the key difference is their function and use in this field. Manufacturers are the ones that produce the goods needed for wholesale, whereas suppliers are those that supply the goods required, which then can be used for trade with the respective party.  

Suppliers can also link between the manufacturer and the customer as and when needed. The producer/manufacturer does not take concern with that, especially the items and services themselves. This means suppliers are critical when relaying anything from business to business or business to consumer.  

Producers, as stated before, also tend to have multiple bulk stocks of one specific item, often used amongst a sea of other manufacturers to build retailers' inventory; suppliers, on the other hand, have a more extensive inventory and range of products that retailers and consumers usually buy in smaller bulk.  

>> Vendor vs. Supplier vs. Distributor – What’s The Difference

Manufacturer: Local vs Overseas

When deciding to manufacture or wholesale, choosing between sourcing domestically in Vietnam or overseas can be a choice with many options.  

It is generally a good idea for companies to secure both a domestic and overseas manufacturer; this can help with consumer satisfaction and reputation if an international manufacturer has delays, your company always has the domestic business to fall back on. However, it is good to note that both domestic and international sourcing have their advantages and disadvantages.  

  • Domestic Sourcing - Advantages  

Communication and connection  

Communication and connection with the manufacturer is a definite advantage when sourcing domestically, this is because language does not become a barrier, and response time for possible queries is often quicker due to the lack of time difference.  

When dealing with an order in Vietnam it is more advantageous to have your sources speak your language, companies that speak Vietnamese can communicate with their local clientele meaning issues or problems that arise can not only be tackled quicker but often with more reliability and ease. Communication is key in any company production line, and so speaking a common language helps to lift any pressure, as well as aid a streamlined goal. 

Faster Shipping Time 

Another advantage of domestic sourcing is the privilege of faster shipping time which in turn is profitable and useful for everyone. Faster shipping time means companies can not only produce work quicker but also build a good reputation within the production line and manufacturers involved in the process.  

The faster shipping and product turnaround is the better the advantage for your company to meet deadlines as well as become more flexible and appeal to a weird audience in the industry. Domestic sourcing also allows such quick shipment time due to companies being able to accommodate more needs and travel fewer distances when doing so.  

Greater Aid To The Environment And Local Community 

Partnering with a domestic source will also mean that smaller businesses reap the benefits of growth and support due to being in local areas and communities in Vietnam. This can further promote the exposure of rising companies and the communities in which it lies, helping to raise the level of investment and trade.  

In partnership with this, domestic sourcing is also significantly better for the environment due to reduced fuel emissions, and energy usage. This is because local sourcing accounts for fewer miles driven and fewer emissions as a result of this. In turn, less storage is taken up resulting in less energy needed to power factories and warehouses in order to process and store products and resources.  

The popularity and rise of economical rights in today's industries mean this also serves as a great marketing push for any company choosing to source domestically, giving reasonable investment purpose and reputable acknowledgment between companies.  

  • Overseas Sourcing - Advantages 

While domestic sourcing offers the advantage of a shorter time to market and better logistic control, overseas sourcing offers benefits that are unique to the international market. 

Cost Saving 

Many overseas manufacturers offer their services at a competitive price, specifically in low-cost regions due to lower costs of labor and the ability to produce at a lower price with cheaper raw materials. Alongside this, the offer of goods at a lower unit price means that companies can maximize their budget for more value and more resources.  

Rental costs tend to be lower too meaning the taxes for manufacturing will also be significantly cut down when sourcing overseas compared to domestically. 

Great Manufacturing Choice  

When choosing to engage with overseas sourcing the advantage of having various different companies to decide from allows businesses to get the best possible deal for themselves. Manufacturers can offer a variety of different deals, experiences, and resources meaning your company is likely to find a source that is a perfect fit for the type of trade and production they want. 

Another advantage of having many sources to choose from means energy put into souring from multiple businesses can now be put back into production and other company choices and motives, this enables the one manufacturer chosen to supply all the needed tasks.  

>> What are the opportunities and challenges of investing in Vietnam in 2022?

Great manufacturing choice enables almost personalised experiences for companies.
Manufacturers can offer a variety of different deals, experiences, and resources


Better Manufacturing Capabilities  

The advancement of technology and work strategies are seen in foreign manufacturing compared to domestic sourcing is one that instantly shows advantages.  

Machinery and resource progression not only enables quicker turnaround time for a lower cost but also a greater quality of product due to the technology available. This serves as not only a benefit for a company to company but also to the end consumer, in which customer satisfaction will be met. Greater numbers of products are also able to be produced due to this fact, meaning product capacity is instantly multiplied, which serves a multitude of benefits for the company and consumer alike.  

>> Why India Lags Behind Vietnam's Manufacturing?

Where to find Vietnam Manufacturers? 

Vietnamese manufacturing is beginning to boom and although it is becoming easier to find manufacturers, it is still not as convenient as the likes of China and other countries within the current booming industry.  

One way to identify and source manufacturers are through the variety of directories available. Here are just a few to choose from:  

Contact VICO LOGISTICS to be put in touch with reliable, high quality and beneficial manufacturers, our range of knowledge and directory will ensure your company receives the best manufacturing contacts.

Follow VICO LOGISTICS for more logistics information that will benefit you and your business!

Read more:

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>> The difference between procurement and supply chain

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