VN’s key exports are on a path of recovery: industry experts

HÀ NỘI — Việt Nam’s key exports are on a strong path of recovery during the first ten months of the year, with businesses doubling down on improving production, seeking new partners and promoting Vietnamese products in the international market, according to industry experts and policymakers.

The latest data from the General Department of Vietnam Customs showed textile exports increased by US$2.61 billion, or 10 per cent compared to the same period last year.

The last several months have seen a significant number of orders shifting from China, Bangladesh and Myanmar to Việt Nam. Decreased inventories in major markets such as the US, the EU and Japan have resulted in higher demand for Vietnamese textiles and new orders from international trade partners. Many businesses have reported securing sufficient orders until the end of the second quarter of next year. The industry is likely to achieve its objective of reaching an export turnover of $44 billion in 2024, a 9 per cent increase compared to last year, as the peak demand season in major markets is approaching, said economists.

Cao Hữu Hiếu, director-general of the Vietnam Textile and Garment Group (Vinatex), Việt Nam’s largest textile and garment maker, said the group is on the right path to finish this year’s production plan with flying colours, with export turnover in the first nine months of 2024 reaching nearly $1.5 billion, an increase of 7 per cent compared to the same period last year. Caution, however, is advised given the current volatile market situation.

He said the most important objective in the remaining months of the year and early months of 2025 is to improve labour supply, productivity, production capacity, value for customers, the supply chain as a whole and increase efforts in lowering carbon emissions.

Meanwhile, Vietnamese wood product and forestry reported an export turnover of $14.05 billion across the same time period, an increase of 19.9 per cent compared to the same period last year. Industry experts said they expected the industry to reach $15.5–16 billion in export turnover this year, given stable growth at 15-19 per cent, which is more than likely as large buyers of Vietnamese products around the world started showing signs of strong recovery.

They said this is the result of efforts by Vietnamese businesses to seek out new partnerships, adopt new standards and build trust and cooperation with major international brands.

Director of the Trade Promotion Department under the Ministry of Industry and Trade Vũ Bá Phú said frequent appearances at international trade events and exhibitions highlighted Vietnamese businesses’ initiative in promoting themselves in the international market. However, he advised them to focus on improving product quality and value, as well as developing a sustainable strategy to compete.

Data from the Vietnam Association of Seafood Producers and Exporters (VASEP) said the country exported over $1 billion worth of seafood last month, an increase of 28 per cent compared to October last year, finally breaking a 27-month dry spell when it dipped under the $1 billion mark. Vietnamese seafood exports, by the end of October this year, had reached $8.27 billion, an 11.4 per cent increase compared to the same period last year.

VASEP Director of Communications Lê Hằng said strong demand recovery in major markets, especially for Vietnamese key products such as shrimp and catfish, has played a pivotal role. In addition, efforts to improve Vietnamese seafood in the international market and consumers’ preference have been paying dividends in recent years.

She said, for instance, exports to China surged by 37 per cent in October, making China the fastest-growing market for Vietnamese seafood. With increased consumption of fresh seafood in China’s hospitality sector, Vietnamese products enjoy many distinct advantages thanks to their close proximity to China and Chinese consumer preferences. The sector has been forecast to reach $9.5 billion in exports this year, a 7 per cent increase year-on-year. — VNS

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