Want to be in the loop?
subscribe to
our notification
Business News
VIET NAM RECORDS $3.91B TRADE DEFICIT IN FIRST HALF OF FEBRUARY
Việt Nam reported a trade deficit of US$3.91 billion in the first 15 days of February as exports decreased, the General Department of Customs has announced.
In the first half of February, Việt Nam exported $8.75 billion worth of goods while its imports hit $12.66 billion. That brought the country's total trade value since the beginning of the year to $81.68 billion. During the period, the country also saw a trade deficit of over $2.5 billion.
However, economists said that the trade deficit was not a worrisome figure as February was the time the Lunar New Year holiday fell. The country's largest holiday lasted up to nine days, so the number of exported goods decreased.
From the beginning of this year to mid-June, two groups of imported goods saw a turnover of billions of dollars. They were computers, electronic products and components; and machinery, equipment and spare parts.
Nguyễn Thường Lạng from the National Economics University told Lao Động (Labour) newspaper that when imported goods were mainly equipment and raw materials to serve production, rather than consumer goods, the trade deficit should not be a cause for concern.
In the first months of the year, enterprises often ramped up their imports of input materials and spare parts to meet their production and export demands for later months, Lạng said.
According to the Ministry of Industry and Trade (MoIT), in 2022, Việt Nam's exports would continue to face many difficulties and challenges with the biggest ones being the prolonged COVID-19 pandemic that might see complicated and unpredictable developments, affecting global production and trade, including in Việt Nam.
Other difficulties would be skyrocketing freight rates and high container rental costs and shortage of containers that would continue to affect export prices and reduce the competitiveness of Vietnamese exported goods.
In addition, the increasing trend of non-tariff trade protection barriers in many major market areas, the volatility of global commodity prices which has become unpredictable, or the risk of inflation, and currency appreciation would also affect exports.
The MoIT said in 2021, Việt Nam’s import and export turnover hit a record of nearly $670 billion, of which exports made a spectacular breakthrough with an increase of over 19 per cent. This was a bright spot for the economy in the context of the pandemic.
Last year, the country had 35 items seeing an export turnover of $1 billion, an increase of one item compared to 2020. Of these, there were eight items with an export turnover of over $10 billion.
Although accounting for less than 10 per cent of the export value of the whole economy, agriculture was the sector that brought "new impetus" to export growth in 2021.
The minister attributed the results to good exploitation of foreign markets, which brought Vietnamese goods deeper into the global production and supply chain.
Vietnamese businesses had taken opportunities from free trade agreements, especially new-generation agreements such as CPTPP, EVFTA and UKVFTA, according to the ministry.
However, it said that there were still problems relating to imports and exports that should be dealt with.
The export scale had increased, but the added value was still low, it said, adding that many industries still exported raw and semi-processed products. In particular, the proportion of enterprises with domestic investment in total exports was still low.
Source: VNS
Related News
![Card image cap](/uploads/Logo/Cathay%20%281%29.jpg)
ONE-TIME OFFER: COMPLEMENTARY CATHAY PACIFIC LOUNGE PASS
Begin your trip on the right note in Cathay Pacific’s first-ever ferry lounge, located at Shenzhen’s Shekou Cruise home port. Situated at the end of the pier, the ferry lounge offers a breathtaking 270-degree view of the sea. You can immerse yourself in sheer luxury and revel in the panoramic beauty. Catch a glimpse of Hong Kong in the distance.
![Card image cap](/uploads/news/Industrial%20Zone.jpg)
VIỆT NAM TARGETS FULL MOBILE BROADBAND COVERAGE ON HIGHWAYS, INDUSTRIAL ZONES BY 2025
By 2025, Việt Nam aims to achieve one hundred per cent mobile broadband coverage on all national highways, expressways and railways under a plan to enhance the quality of Việt Nam’s mobile telecommunications network by 2025, which has been approved by the Ministry of Information and Communications (MIC).
![Card image cap](/uploads/news/Investment6.jpg)
VIETNAM ONE OF FASTEST-GROWING E-COMMERCE MARKETS IN SOUTHEAST ASIA
The report released on July 16 highlighted that the total GMV of Southeast Asia’s eight leading e-commerce platforms rose to $114.6 billion in 2023, up 15 per cent from 2022. The key drivers for the region's e-commerce GMV expansion in 2023 are Vietnam and Thailand, growing 52.9 per cent and 34.1 per cent on-year, respectively.
![Card image cap](/uploads/news/Security.jpg)
2025 PIVOTAL FOR STOCK MARKET UPGRADE EFFORT
The Ministry of Finance (MoF) is expected to soon publish the entire content of the draft circular amending and supplementing four circulars on transactions, registration, depository, and clearing, as well as operations of securities companies and information disclosure. This move, along with feedback and explanations, aims to meet the criteria for upgrading Vietnam’s stock market.
![Card image cap](/uploads/news/bn-01.jpg)
VIETNAM INTENSIFIES E-COMMERCE TAX SCRUTINY
The department plans to offer guidance for and hold direct dialogues with e-commerce taxpayers to ensure compliance. Efforts will also include updating the e-commerce database, conducting risk analysis, and leveraging artificial intelligence (AI) to manage data and issue alerts.
![Card image cap](/uploads/news/eco2.jpg)
FOOTWEAR EXPORTS SEEN REACHING US$27 BILLION THIS YEAR
This optimistic forecast reflects the industry’s efforts to expand and diversify its markets. Lefaso indicated that Vietnam’s footwear sector will concentrate on traditional markets like the U.S. and the European Union, alongside markets with free trade agreements to maximize opportunities.