Trade balance continues to record a trade surplus for the eighth consecutive year with an estimated surplus of US$26 billion, a nearly three-fold increase over 2022, positively contributing to the balance of payments, helping to increase foreign exchange reserves, and stabilizing exchange rates and other macroeconomic indicators.

The total import-export turnover this year is estimated to have reached US$683 billion, of which exports are projected to hit US$354.5 billion and imports are estimated to be at US$328.5 billion, according to data compiled by the Ministry of Industry and Trade.

This year the export of many products such as electronics, spare parts, garments and textiles, footwear, and wooden furniture all failed to achieve as expected.

Amid drastic changes in the global market, import and export activities reached approximately the level recorded in 2022, with this being achieved through the efforts of ministries, departments, sectors, and state management agencies in boosting market access, brand promotion, and promoting relevant factors in import and export activities.

In line with this, local businesses have made every effort in a bid to actively take advantage of opportunities from the recovery of major and traditional markets to bolster exports.

​Most notably, amid the global economy continuing to grow slowly and world aggregate demand declining, Vietnamese export activities continue to overcome difficulties, although they have not yet achieved a return compared to the previous year, the decline continued to narrow.

As a result, the decline in exports increasingly narrowed from a fall of 12% in the first half of the year to a drop of roughly 4.6% for the whole of 2023.

​In terms of export activities, businesses have done well in terms of diversifying markets amid a decline in exports to major markets.

As a result, export turnover to countries in Africa, Eastern Europe, Northern Europe, and West Asia all increased, while falling exports in several key markets continued to narrow.

Specifically, exports to the United States market dropped from 22.6% in the first half of the year to about 11.2% for the whole of 2023; the EU saw a contraction of 10.1% in the first half of the year to about 4.8% for all of 2023; whilst the Republic of Korea (RoK) narrowed from 10.2% to about 2.5%.

Most notably, Vietnamese exports to the Chinese market reversed from a decrease of 2.2% in the first half of the year to an increase of about 8.1% for the whole of 2023, while other major markets all decreased.

Elsewhere, the domestic economic sector continues to make efforts to maintain and boost market exports amid numerous difficulties occurring in the global economy.

According to economic expert Associate Professor Dr. Dinh Trong Thinh, with policies on reducing VAT, fees, and charges, it is hoped that domestic consumption will record higher growth ahead in 2024.

It is hoped that next year both imports and exports, alongside domestic consumption, will record higher growth and achieve the growth target of 6% to 6.5% set by the National Assembly and the Government, thereby creating greater growth momentum in the near future.

The US represents the largest exporting country among its trading partners. Upgrading the mutual relationship to that of a comprehensive strategic partnership has created favourable conditions for local businesses to access the US market and promote import and export activities.

Regarding, China is a country where Vietnam exports a relatively large amount, but in terms of imports, this is the partner Vietnam imports most from.

It is therefore worth noting that the joint comprehensive strategic partnership has now been raised to a new level and based on mutual understanding between the two sides, there will be long-term co-operation in both investment and trade between the two countries in the time ahead, Dr. Thinh added.

Source: VOV