The Role of Textile Export in Vietnam’s Exports and Economic Growth: View from Quantitative Analysis

Abstract

This paper examines the relationship between textile exports (XM) and total export turnover (X), real gross domestic product (GDPR) (representing economic growth), using time series data collected from the International Financial Statistics (IFS-IMF) and the General Statistics Office (GSO) during the period 1995-2022. The research team uses Eview8 software to build linear regression between XM – X and XM – GDPR in the Vietnamese economy. Quantitative analysis results showthat when textile exports (XM) increase by 1%, total export turnover (X) increases by 0.544969%, the coefficient of T1 (trend variable 1) has a positive value, showing a positive correlation between XM and X. When textile exports (XM) increase by $1 million, the real gross domestic product (GDPR) increases by 95923.95 million VND, the coefficient of T2 (trend variable 2) has a positive value, showing a positive correlation between XM and GDPR and an increase in Vietnam’s economic growth. By using results of the quantitative analysis, articles relate to textile exports and economic growth in Vietnam, the research team offers some recommendations to promote exports in general, textile exports in particular, and the economy of Vietnam.