Vietnam’s footwear exports reached $11.95 billion during the first half of 2026, up 0.5% compared with the same period last year. During the period, Vietnam also overtook China to become the largest footwear supplier to the US market for the first time according to multiple local media reports.
The footwear industry exported products worth $11.95 billion between January – June 2026 despite weaker shipments to markets including China, Japan, the UK and Mexico.
Exports recovered strongly toward the end of the second quarter.
In June alone, footwear exports reached $2.16 billion, more than $200 million higher than in May, supported by strong demand from the US and the European Union (EU).
The US remained Vietnam’s largest export market, accounting for nearly 39% of total footwear exports.
Exports to the US were estimated at $4.55 billion during the first 6 months of 2026, an increase of more than 6% YoY basis.
Vietnam is currently the world’s 3rd largest footwear producer after China and India and the 2nd largest footwear exporter.
Around 90% of the country’s footwear production is exported.
However, the industry’s heavy dependence on exports has also increased its exposure to external risks.
Experts said geopolitical tensions, rising logistics costs and stricter trade policies in major export markets are putting pressure on manufacturers.
Raw materials account for 60-65% of the cost of producing a pair of shoes.
During the second quarter, companies with sufficient raw material inventories were able to manage higher logistics costs and deliver export orders on time, while many smaller manufacturers had to reject export orders because they lacked materials.
The Vietnam Leather, Footwear and Handbag Association (LEFASO) has called for faster development of the domestic supporting industry to reduce dependence on imported raw materials.
The association also proposed creating strategic raw material reserves and trading platforms to improve supply security.
The industry is also accelerating its transition towards more sustainable manufacturing to meet stricter environmental requirements, particularly in the EU, including carbon reduction, product traceability and Digital Product Passport regulations.
According to LEFASO, many large manufacturers have increased investment in clean technologies, automation, digital transformation and environmentally friendly materials since the second quarter.
Companies are also shifting from contract manufacturing towards original design manufacturing and brand development while using Vietnam’s 17 free trade agreements to expand into new markets, including India, the Middle East and Africa.
