Businesses based in Vietnam’s Ho Chi Minh City are being forced to adjust production plans, diversify markets and seek new supply chains due to disruptions in global shipping routes and soaring logistics costs arising out of geopolitical tensions in the Middle East.

Shipping schedules have been frequently adjusted recently at Saigon Port’s Hiep Phuoc terminal, reducing operational stability.

Ho Chi Minh City businesses are adjusting production plans, diversifying markets and seeking new supply chains due to disruptions in shipping routes and soaring logistics costs arising out of the Iran war.
Shipping schedules have been frequently adjusted at Saigon Port’s Hiep Phuoc terminal, reducing operational stability.
Cargo turnover has slowed as incoming and outgoing shipments have become uneven.

Cargo turnover has slowed as incoming and outgoing shipments have become uneven, affecting businesses’ cash flow, according to a report by a domestic media outlet.

Vessel calls drop has also reduced workload of port operators, shipping lines, freight forwarders and logistics companies. Port workers engaged in container handling and operations have been directly hit.

Due to a diversified customer base and a significant share of intra-Asia cargo, the port’s throughput remains within controllable levels, said Nguyen Anh Hao, acting director of Hiep Phuoc terminal.

Pham Van Xo, chairman of the city’s Import-Export Association, said longer shipping routes had reduced vessel availability while demand for cargo transport remained high. This resulted in shortages of container space and rising fuel costs, insurance premia and security surcharges.

The situation has hit cash flow of businesses and created pressure to maintain payroll and labour stability.

If the disruptions persist, apart from the logistics sector, major export industries like garments, footwear, wood products, agriculture and seafood may face ripple effects, experts cautioned.

Falling orders or rising costs could force companies to scale down production, directly affecting workers’ income and employment.

Despite the challenges, businesses in Ho Chi Minh City are seeking solutions like diversifying shipping routes, expanding markets and strengthening negotiations with partners.

Fibre2Fashion News Desk (DS)

India’s Gen Z is set to drive nearly half of the country’s fashion market—including apparel, footwear, and accessories—by 2030, according to Reedseer. This generation is projected to account for 27 per cent of India’s population and drive nearly $1.3 trillion in consumption by the end of decade.

Fast fashion, particularly products priced below ₹1,000 (~$10.82), dominates their consumption patterns, reflecting a clear preference for affordable purchases, Reedseer said in an article titled ‘Gen Z: Defining Trends, Influencing Spends’ by Mrigank Gutgutia.

India’s Gen Z will drive nearly half of the fashion market by 2030, with $1.3 trillion in spending, according to Reedseer.
Value-conscious and digitally native, they favour affordable fast fashion and are influenced by peers and online content.
Their choices prioritise identity, comfort, and authenticity, while also shaping household purchases.

Having grown up in a digital-first environment, Gen Z consumers exhibit a strong comfort with online platforms, a behaviour further reinforced during the pandemic years. As many enter the workforce, their spending is increasingly directed towards identity-building, with purchasing decisions shaped heavily by peer influence and social validation.

Despite becoming the largest user base on leading fashion e-commerce platforms, Gen Z consumers tend to spend less per transaction than millennials, underscoring their value-conscious approach. At the same time, categories such as men’s accessories and sneakers are witnessing strong growth, indicating evolving consumption patterns across genders.

Comfort and versatility define Gen Z’s fashion choices, with two-thirds preferring semi-formal or casual wear even in professional settings. Beyond personal consumption, this cohort plays a decisive role in shaping household purchasing decisions, particularly for emerging brands, effectively acting as internal influencers within families.

Gen Z prioritises authenticity, inclusivity, and self-expression, with around 52 per cent choosing products that align with their identity, while nearly half discover brands through digital content. This has made influencer-led marketing and creator collaborations central to brand-building efforts.

The article emphasised that successful brands must transition from aspirational messaging to identity-driven positioning, supported by personalisation, community engagement, and cultural relevance. As Gen Z consumers establish long-term preferences in their twenties, brands that succeed in building early affinity are likely to secure sustained competitive advantage in the years ahead.

Fibre2Fashion News Desk (SG)

American apparel and accessories brand Torrid Holdings Inc has reported a challenging fiscal 2025 (FY25) ended January 31, 2026, with sales declining 9.4 per cent to $1 billion, while comparable sales fell 7 per cent. Gross margin also contracted to 34.8 per cent from 37.5 per cent in the previous year.

The company posted a net loss of $7 million, compared to a net income of $16.3 million in FY24. Adjusted EBITDA fell to $63.6 million, or 6.4 per cent of sales, from $109.1 million, or 9.9 per cent a year earlier.

Torrid Holdings has reported a weak FY25, with sales falling 9.4 per cent to $1 billion and a net loss of $7 million amid margin pressure.
The company closed 151 stores and saw EBITDA decline.
Q4 performance also weakened.
Despite this, Torrid expects modest recovery in FY26, supported by optimisation efforts, improved marketing and a stronger operational foundation.

The company closed a total of 151 stores during the year as part of its retail optimisation strategy, reducing its footprint from 634 to 483 stores, Torrid Holdings said in a press release.

Torrid ended the year with $20 million in cash and cash equivalents, while total liquidity stood at $84.9 million. Net cash used in operations was $13 million, compared to positive operating cash flow of $77.4 million in the previous year.

For the fourth quarter (Q4), net sales dropped 14.3 per cent year-on-year (YoY) to $236.2 million, while comparable sales fell 10 per cent. Gross margin contracted to 30.0 per cent from 33.6 per cent a year earlier. The company reported a net loss of $8.1 million, widening from a $3.0 million loss in the same period last year. Adjusted EBITDA declined sharply to $5.1 million, or 2.2 per cent of sales, compared to $16.7 million, or 6.1 per cent, previously.

During the quarter, Torrid closed 77 stores under its Store Footprint Optimisation Project, taking the total store count to 483 locations.

Commenting on performance, Lisa Harper, chief executive officer at Torrid Holdings, said, “2025 was a transformational year. We delivered $1 billion in net sales, in line with our guidance, and $63.6 million in Adjusted EBITDA, exceeding the high end of our outlook, while making deliberate strategic decisions required to put this business on a stronger footing. We closed 151 structurally unproductive locations, launched five sub-brands that generated approximately $70 million in sales, and fundamentally restructured our product assortment around core franchises and fabrications our customers value most. Trends in Q4 and early Q1 give us confidence that the foundation we’ve built is beginning to take hold.”

Looking ahead, the company expects first-quarter fiscal 2026 net sales in the range of $236 million to $244 million, with Adjusted EBITDA between $14 million and $18 million. For the full year, Torrid forecasts net sales between $940 million and $960 million and Adjusted EBITDA of $65 million to $75 million, alongside capital expenditure of $8 million to $10 million.

“We enter 2026 with a strong operational foundation—optimised channels, product and pricing. This positions us to accelerate customer file growth through renewed marketing efforts, helping us re-engage past shoppers, attract new customers and deepen loyalty across our existing base. I am confident we are on the right path and encouraged by early signs of progress we are seeing in the business,” added Harper.

Fibre2Fashion News Desk (SG)