The movement of global supply chains under the impact of Covid-19- Opportunities and challenges for Viet Nam

Abstract

 The supply chain network is one of the channels through which COVID-19 has a negative impact on the global economy, especially when these supply chains have a significant dependence on the Chinese economy. Evidence from various markets reveals that global supply chain operations have been interrupted by the current crisis since the Chinese authorities implemented social and economic isolation measures. And this is creating a spillover effect at different levels of the supplier network, as well as pushing them to take measures to reduce dependence on China through movements of supply chains. Whether Vietnam, with its image of a safe and friendly country, can seize the opportunity to catch up with these movement waves? This article, therefore, will focus on assessing the advantages and disadvantages that Vietnam faces to the global supply chain shifts due to Covid-19 pandemic by answering two questions: (1) What advantages and disadvantages does Vietnam face in the context of the global supply chain significantly influenced by this pandemic; and (2) What should Vietnam do to take advantages and overcome difficulties in order to bring production activities closer to global markets.