According to a recent report released by Vietnam’s Ministry of Industry and Trade, Vietnamese products have successfully entered over 200 markets around the world. These include nations with some notoriously strict import regulations and standards such as the EU, Japan, South Korea, and the US.
Vietnam has also been quickly improving its ranking among export economies. The nation has jumped 24 places to 26th place among the world’s largest exporters in 2018; compared to 50th place in 2007.
In 2007, Vietnam only had fourteen markets with export-import turnover value exceeding US$1 billion. At the time, their only US$10 billion market was the US. In 2019, Vietnam had four markets worth US$10 billion and up to 31 markets worth US$1 billion in export-import turnover.
Additionally, Vietnamese products have made their way in to far more markets throughout the world compared to 2007. By the end of October 2019, the US remains Vietnams biggest imported. This is closely followed by China, ASEAN, Japan, and South Korea. Relatively new markets that Vietnam export to are Russia, New Zealand, and Canada; all of which have export-import values that have been steadily increasing year-by-year.
The report, however, pointed out shortcomings and limitations of Vietnamese products such as low level of diversification among agricultural exports and high vulnerability to changes in markets.
The Ministry of Industry and Trade has stated that it has made a request to the government for assistance in building the country’s strategy to boost exports for the 2015 to 2020 period, with greater focus and emphasis being placed on increased diversification of products and new markets.
The ministry’s data showed twenty-nine groups of commodities brought in over US$1 billion with five of them earning more than US$10 billion. Chief among these are mobile phones and spare parts (US$43.5 billion), electronics, computers and accessories (US$28.8 billion), apparel (US$27.4 billion), footwear (US$14.6 billion), and machinery, equipment and tools (US$14.6 billion). In total, these products account for around for 59.4 per cent of the country’s total exports.
Vietnams export prospects are looking very favourable. Should this trend continue, 2019 will be the fourth consecutive year the Vietnamese economy shifts from a deficit to a trade surplus.