Vietnam's exports set to surpass US$330 billion in 2021
There has been a significant shift in the country’s approach to trade promotion, including the adoption of IT and digitalization in trading activities.
A focus on online trade promotion and strong support for businesses affected by the Covid-19 pandemic could take Vietnam’s exports to US$330 billion this year, or an increase of 17% year on year.
| Overview of the Forum. Source: MoIT |
Deputy Minister of Industry and Trade Tran Quoc Khanh gave remarks at a Vietnam Export Promotion Forum 2021 held this week.
During the first 11 months of 2021, the country’s export turnover rose sharply by 18.3% year-on-year to $301.73 billion.
According to Khanh, there has been a significant shift in the country’s approach to trade promotion, including the adoption of IT and digitalization in trading activities.
Vu Ba Phu, head of the Trade Promotion Agency under the Ministry of Industry and Trade (MoIT), said trade promotion activities are in line with the national program on trade facilitation.
In 2021, the MoIT in collaboration with localities held over 1,000 online trade conferences nationwide and millions of online business-matching sessions.
“Online trade promotion has become an effective solution to support businesses penetrating markets amid severe Covid-19 situation, and also contribute to the national digital transformation program,” Phu said.
On Vietnam’s trade prospects, First Secretary and Deputy Head of the Trade & Economic Affairs under the EU delegation in Vietnam Bartosz Cieleszynsky noted the country’s exports to the EU saw a surge one year after the implementation of the EU-Vietnam Free Trade Agreement (EVFTA).
Cieleszynsky expected the deal to continue serving as an important instrument to help both European and Vietnamese traders overcome disruption from global supply chains due to the Covid-19 pandemic.
He noted the European market of 500 million people has huge potential but also strict market standards. In this regard, European consumers are willing to pay more for high-quality products, said Cieleszynsky, while calling for Vietnamese companies to stay more active in adapting to new markets and turning challenges into opportunities.
Sharing Cieleszynsky’s view ADB Country Director to Vietnam Andrew Jeffries noted the global trade is at a much faster-recovering pace compared to the financial crisis in 2009.
Jeffries expected the recovery could return to late 2022, which in turn offers more opportunities for Vietnam’s exports.
To ensure greater economic competitiveness, Jeffries expected Vietnam to continue lowering trade costs and providing better support for small and medium enterprises in integrating into the global value chains.
In this regard, Acting Director of the Hanoi’s Department of Industry and Trade Tran Thi Phuong Lan suggested the MoIT continue finalizing import-export policies and supporting the development of logistics infrastructure, especially trade projects in major cities like Hanoi.
Vice General Secretary of the Vietnam Association of Seafood Exporters and Producers (VASEP) Nguyen Hoang Nam called for the MoIT to resume traditional trade fairs that were canceled during the pandemic.
“More B2B connection activities would be much needed for enterprises to penetrate potential markets such as Russia, Australia, or Mexico,” Nam added.
According to Nam, a national portal on trade promotion would provide substantial support for businesses during the post-pandemic period.
At the conference, delegates also stressed the necessity for Vietnam to balance trade activities between imports and exports.
Experts shared the view that in a rapidly changing world, the Government needs to support businesses embarking on digitalization to grasp opportunities from Industry 4.0.
In 2021, Hanoi’s exports are estimated at US$16 billion, an increase of 0.9% year-on-year, of which the domestic sector contributed $9.8 billion, down 6.7%, and the foreign sector of $6.2 billion, up 12.1%. In return, the city’s import turnover could rise by 20.7% to $35 billion, of which domestic companies made up $27.7 billion, and their foreign peers of $7.3 billion. |
