Textiles and cement top export list

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Figures from the Ministry of Industry and Trade (MoIT) showed that Vietnam’s four-month export turnover reached $46 billion, up 16.9 per cent on-year. Vietnam’s four-month export turnover rose $6.6 billion on-year, of which $4.7 billion – with the exception of crude oil – was created by foreign invested firms.

Key products included phones and spare parts with $7.6 billion, and electronics and computers with $2.94 billion. Notably, some products rose considerably such as textiles and garments which reached $5.94 billion, up 20 per cent on-year, and cement reached its highest level ever with 44.2 per cent growth.

According to the Vietnam National Cement Association, in the first four months the industry exported 3.5 million tonnes, including clinker and cement, with major players including Thang Long Cement Joint Stock Company, Vietnam Cement Industry Corporation and Vissai Cement Group making very significant contributions.

Regarding the textile and garment industry, to date nearly all companies have lined up sufficient orders either through the end of the third quarter or the end of this year.

Nguyen Van Thoi, chairman of TNG Investment and Trading Joint Stock Company, said the textile and garment industry was highly competitive, but had numerous export advantages.

“With the number of orders thus far signed, the TNG’s target of $100 million in export turnover this year is easily within arm’s reach,” he added.

Other industries, however, have faced sharp drops in export in the first four months. Fuel and minerals fell to $2.9 billion, down 10.5 per cent on-year. Foodstuffs dropped $207 million due to plummeting prices.

Discussing export turnover in the first four months Do Thang Hai, Deputy Minister of MoIT, said that overall results were very positive but that they also highlighted domestic companies’ modest scale compared to that of foreign invested firms.

In the first four months foreign invested firms continued to see strong growth with $30.35 billion in total exports, rising 17.2 per cent on-year to occupy 66.4 per cent of total export turnover. That of local enterprises only reached $15.38 billion, with 33.6 per cent.

The country’s import turnover in the first four months totalled $45.1 billion, up 13.7 per cent on-year. Some $26.3 billion was brought in by foreign invested firms, up 18.2 per cent against the same period last year. That of local firms was $18.86 billion.

Hai said that as many industries had to import input materials, the trade surplus seen in this year’s first four months was a major victory for the economy.