Việt Nam’s exports expected to hit highest growth since 2021
Việt Nam's exports are expected to grow by 18 per cent this year, marking the highest rate since 2021, according to UOB Bank.
Việt Nam's exports will grow by 18 per cent this year, marking the highest rate since 2021, according to a report by UOB Bank.
Việt Nam's export turnover in 2023 reached US$355.5 billion, a 4.4 per cent decline compared to the previous year, according to the General Statistics Office. UOB's projection suggests that this year's results could approach nearly $420 billion.
As of November 15, export turnover had almost equalled last year's total, reaching $352.38 billion, an increase of 14.8 per cent year-on-year, according to the General Department of Customs.
Several key sectors showed outstanding contributions including computers, electronics, and components, which rose by $12.79 billion, equivalent to 26.1 per cent growth. Following is machinery, equipment and spare parts, which increased by $8.08 billion, equivalent to 21.7 per cent.
Additionally, textiles, garments, timber and wood products all experienced double-digit growth.
Meanwhile, the country's total import value reached $329.1 billion, a 16.6 per cent increase year-on-year. According to UOB, trade growth this year has been partly supported by the continued expansion of foreign direct investment (FDI).
In the first 10 months, $27.3 billion in FDI was registered in Việt Nam. The realised capital is on track to achieve a record high for the third consecutive year. Recently released data underscores that Việt Nam's growth trajectory remains on course.
However, short-term conditions show signs of slowing. Việt Nam's Purchasing Managers' Index (PMI) for November, as reported by S&P Global, stood at 50.8 points. It indicates manufacturing growth for the second consecutive month but falling short of October's 51.2 points.
According to S&P Global, production output and new order volumes slowed down, with new orders from foreign markets declining after a slight increase the previous month.
Andrew Harker, Economic Director at S&P Global Market Intelligence, shared that the slowdown, to some extent, reflects weakening global demand.
Despite this, S&P Global's survey revealed that Vietnamese manufacturers remain optimistic about increased production in the coming year. Their expectations are tied to plans for new product launches, business expansion and an anticipated rise in new orders.
By the end of November, Việt Nam's total import-export turnover was estimated at about $715 billion, a 15.3 per cent increase, with a trade surplus of over $23 billion. For the entire year, turnover is projected to reach $807.7 billion, the highest ever recorded. — VNS
