The above figure shows that the industrial value-added in the share of GDP has slowly been increasing, particularly since 1986 when the policy for FDI was improved (Decree No. 73/PM) to attract more investors. The growth in industrial sector is based on the modest growth in the manufacturing subsectors, accounting for over 75 percent of industry sector, especially in the garment industry, a principal manufacturing export as one of the three large export earners of Laos government, together with timber and electricity products. Moreover, it is projected to increase, based on the improved prospects in the international market, particularly in the European markets. In this case, Laos would benefit from a rise in the regional demand from neighboring countries, especially from the Thai economy, which leads to the possibility of obtaining normal trading associates with the United States (US). This would transform into significant potential for growth in manufacturing in the medium term.