The latest data from the Ministry of Industry and Trade (MoIT) has revealed some impressive figures regarding Vietnam’s export performance in the first seven months of this year. The total export turnover of manufacturing and processing items reached nearly $192 billion, accounting for 84.6 per cent of the country’s total export value. This marks a significant 15.4 per cent increase compared to the same period last year.
Several product categories have shown remarkable growth in their export numbers. Cameras and components saw a substantial increase of 51.5 per cent, while computers, electronics, and components recorded a 30 per cent growth. Other sectors such as plastic products, wood and wooden products, assorted steel, equipment and machinery, and mobile phones and components also experienced positive growth rates.
The MoIT has attributed this rise in export turnover to the continued increase in foreign direct investment (FDI) in the manufacturing and processing sector. According to the Ministry of Planning and Investment (MPI), the sector attracted $12.7 billion in newly registered, newly added capital, and capital contributions in the first seven months of the year, representing a 16 per cent increase compared to the previous year.
One of the key players in Vietnam’s manufacturing sector, Samsung Electronics, has announced plans to increase its investment in the country over the next three years. With approximately $22.4 billion already invested in Vietnam, Samsung aims to make the country its largest display module production base globally. This investment has created 90,000 jobs and is projected to generate $55.7 billion from exports by 2023.
The Vietnam National Textile and Garment Group (Vinatex) has also reported positive growth in the textile and garment sector. In July alone, the sector’s export turnover reached nearly $4.3 billion, marking a 12.4 per cent increase compared to the same period last year. The sector’s total export turnover for the first seven months of the year reached nearly $24 billion, with significant contributions from fibre exports, textiles and garments, and textile and garment materials.
The MoIT projects better conditions for boosting industrial production and trade for the remainder of the year. With the global economy and trade showing signs of recovery, Vietnam’s exports are expected to continue growing positively. The US economy, in particular, has seen growth in the second quarter, with Vietnam’s exports to the US increasing by 24.4 per cent on-year.
Agricultural exporter Vina T&T Group has reported a surge in export orders from the US, resulting in a 26 per cent increase in revenue over the seven-month period. The MoIT has also noted a significant increase in Vietnam’s material imports for domestic production, indicating a potential rise in goods exports in the coming months.
With a goal to reach a total export turnover of $376 billion in 2024, the Vietnamese government is optimistic about achieving this target with the positive export performance seen so far this year. However, more efforts are needed to ensure continued growth in the export sector.
In conclusion, Vietnam’s manufacturing and processing sector has shown strong growth in export numbers, driven by increased FDI and positive market conditions. With key players like Samsung and Vinatex leading the way, the country’s export outlook remains promising. Efforts to stay informed about market developments and adjust production plans accordingly will be crucial in maintaining this positive momentum in the export sector.