Shorten the cycle
Data from the General Department of Customs shows that over the years, Vietnam’s import and export has made strong progress in terms of scale and growth rate. Thereby, the milestones of hundreds of billions of USD are shortened significantly.
In 2007, for the first time, import and export reached 100 billion USD, after Vietnam became an official member of the World Trade Organization (WTO). In 2011, this number doubled. Four years later, Vietnam’s import and export reached 300 billion USD. The milestone of US$ 400 billion was recorded in mid-December 2017; US$500 billion is set for mid-December 2019 and US$600 billion is set for November 30, 2021. The new US$700 billion milestone was recorded on December 15, 2022.
In 20 years (2002-2021), the country’s import and export turnover reached 5.146 billion USD. Notably, in the last 10 years alone (2012-2021), it reached US$4,110 billion, nearly four times more than 10 years ago combined.
The new milestone represents an important step forward in Vietnam’s international economic integration, demonstrating the increasing openness of the economy when the import-export turnover is nearly double GDP (Vietnam’s GDP in 2022 is estimated to be more than twice that of GDP, estimated at 390 to 400 billion USD).
The rapid development of import and export activities has shown its effectiveness in taking advantage of Free Trade Agreements (FTAs). Currently, our country has signed 15 bilateral and multilateral FTAs, in which these agreements cover most of Vietnam’s leading trading partners such as China, Korea, Japan, EU.
In addition to the main and traditional markets, the year 2022 marks remarkable growth with partner countries in the Americas having FTAs with Vietnam for the first time such as Canada, Peru, and Mexico, especially strong growth in exports.
In terms of business types, the year 2022 will record positive growth of both domestic and foreign direct investment (FDI) enterprises.
However, with many enterprises and multinational corporations operating in Vietnam such as Samsung, LG, Intel, etc., FDI enterprises still play a key role in Vietnam’s import and export activities.
Specifically, by the end of November 2022, FDI enterprises reached 468.7 billion USD, up 12.1% over the same period in 2021, accounting for nearly 70% of the country’s total import and export turnover. In which, exports of FDI enterprises reached USD 252.64 billion, up 14.5%, accounting for 73.8% of the export turnover of the country.
On the other hand, imports of Vietnam reached 216.06 billion USD, up 9.5%, accounting for 65.2% of the import turnover of the whole country.
Currently, Vietnam has extensive trade relations with most countries and territories. In particular, focusing on major partners such as China, the United States, Korea, Japan, EU, and ASEAN.
For many years, the United States has always been the largest export market, while China is the number 1 import market. From the beginning of the year to the end of November 2022, exports to the United States reached 101 billion USD, up 17.7% (equivalent to an increase of USD 15.2 billion) over the same period in 2021. While imports of goods of Chinese origin reached USD 109.46 billion, up 10% (equivalent to USD 9.93 billion).
In general, these are also two partners with bilateral trade turnover reaching 100 billion USD or more. In which, China ranked No. 1 (at the end of November reached 162 billion USD). Meanwhile, the United States reached 114.68 billion USD.
Another impression comes from the strong rise of many key export industries. In addition to the key product groups with a turnover of tens of billions of USD, they continued to maintain impressive sales such as phones; computers; devices; textiles; footwear; wood and wood products, in 2022, the traditional export industry, which is seafood, will reach 10 billion USD for the first time.
An important contribution to the import and export results in the past year is the rise of many localities throughout the country. In which, Ho Chi Minh City continues to maintain its leading position and is the only locality with a turnover of “hundreds of billions of dollars”. In addition, other key localities also maintained a remarkable growth momentum such as Bac Ninh, Binh Duong, Thai Nguyen, Dong Nai, Hai Phong, Hanoi… or the strong rise of Bac Giang to join the group with high growth rates. turnover of tens of billions of USD/year.
It can be said that the impressive results of import and export in 2022 demonstrate the effectiveness of the Government’s macroeconomic management, the efforts in implementing solutions to facilitate the ministries, branches and localities.
It is impossible not to mention the role of the General Department of Customs – the Standing Body of the National Steering Committee on ASEAN Single Window, National Single Window and Trade Facilitation. In particular, the miracle of import and export exceeding 700 billion USD plays a very important role in the efforts of the business community and employees in overcoming difficulties to recover and develop production and business after the pandemic.
The results achieved in 2022 will create momentum for Vietnam’s import and export activities to continue towards higher goals, soon reaching the milestone of 1 trillion USD.