Foreign-invested enterprises' export turnover accounts for 73 per cent

Foreign-invested enterprises’ export turnover account for 73.1 per cent

According to the General Statistics Office of Vietnam (GSO), in 2023, Vietnam’s export value dropped by 4.4 per cent to $355.5 billion compared to the previous year.

Of the figure, the domestic economic sector grossed $95.55 billion, a decline of 0.3 per cent and accounting for 26.9 per cent of total export turnover, while the foreign-invested sector, including crude oil, raked in $259.95 billion in exports, a drop of 5.8 per cent.

The export turnover of 35 items with export turnover exceeding $1 billion accounted for 93.6 per cent of total export turnover.

Most notably, seven export commodities reported export revenue of over $10 billion, accounting for 66 per cent of total export earnings.

FIEs have played a crucial role in Vietnamese economic growth, which is demonstrated through its contribution to export revenue, job creation, and the formation of supply chains in key export industries, especially in the fields of electronics, machinery, garments and textiles, and footwear.

Furthermore, the country posted a trade surplus for several consecutive years thanks to the significant contribution made by FIEs.

In particular, FIEs account for 99.6 per cent in phones, over 98 per cent in computers, 93 per cent in machinery, and more than 60 per cent in garments-textiles. The country has been listed among the top 20 economies with the largest trade scale in the world thanks to a significant contribution from FIEs.

Statistics indicated that the national economy's import-export scale would exceed $730 billion by the end of 2022. However, due to the unfavourable impacts on the global economy coupled with weakened trade, import-export activities have failed to reach the $700 billion mark, recording only $683 billion.

Ho Chi Minh City, Bac Ninh, Bac Giang, Thai Nguyen, and Haiphong are localities reporting the largest export turnover in the country. These localities are production hubs of “eagles” such as Samsung, LG, Foxconn, Luxshares and Goertek.

Uncertainty must be taken into account in promoting growth The global economy has seen some positive signs despite numerous risks and challenges that include inflation, financial and monetary instability, high public debt in developing countries, impacts from the Russia-Ukraine conflict, and instability in energy and food markets, among other areas.

Export turnover set for boost with foreign ventures A series of electronic component plants have been taken into operation, which will contribute to fostering the export turnover of these products.

Khe Sanh Wind Power proposes over 50 per cent foreign stake in Quang Tri Wind Farm Quang Tri People's Committee has reportedly received a proposal from Khe Sanh Wind Power JSC, the investor behind the Amaccao Quang Tri 1 Wind Farm project. The communication outlines plans for a significant shift in the company's shareholding structure, with a proposal to transfer a portion of its shares to a newly established Vietnamese company with over 50 per cent foreign ownership.

Export turnover on track on back of global recovery Vietnam’s large trade surplus mirrors a gradual recovery in exporter performance and global demand, with hopes that new trade goals can be accomplished next year.