Amazon: Vietnam's e-commerce to see great leap by 2026

Hanoi (VNA) - Although the global economy has not recorded an even recovery following the COVID-19 pandemic, trans-border e-commerce worldwide and in Vietnam is still witnessing a great leap with positive signs.

The information was released by Gijae Seong, Head of the Global Selling Vietnam – Amazon, at a press conference on Amazon Week 2020 under the theme of "dream big" held in Hanoi on October 27.

The official said the world's double growth rate of e-commerce is forecast to reach 28.4% annually in the 2020-2027 period. Meanwhile, export revenue from business-to-consumer (B2C) e-commerce in Vietnam is also predicted to increase by more than 20% yearly.

It is noteworthy that from September 1, 2021, to August 31, 2022, Vietnamese dealers had recorded impressive growth on Amazon, with nearly 10 million Made-in-Vietnam items sold to Amazon customers worldwide.

Besides, the number of Vietnamese dealers on this channel rose by 80% over the previous year. The top five Vietnamese products offered by Amazon include kitchen appliances, household utensils, garments, health and individual care, and family conveniences.

A recent report showed that Vietnam is forecast to become the fastest-growing e-commerce market in Southeast Asia by 2026, Gijae Seong said.

Based on the positive outlook, the Amazon representative announced the company's strategy for 2023 for Vietnam, focusing on raising awareness of and readiness for trans-border e-commerce in the country.

Amazon will continue to invest in and build global trademarks for Made-in-Vietnam products and provide logistics support to broaden its coverage, improve the sales experience and contribute to the development of the startups in Vietnam.

For the Ministry of Industry and Trade, Lai Viet Anh, Deputy Director of the E-Commerce and Digital Economy Department, also stressed the optimistic growth of the e-commerce market in Vietnam over the recent past.

It is noteworthy that Vietnam's e-commerce has always recorded a growth of 25-30% in the past ten years. The scale also rose from 1 billion USD to 13.7 billion USD in 2021, making up more than 7% of the total consumer's services and commodity circulation and becoming a very important distribution channel besides the traditional one.

After weathering the two hard years of the COVID-19 pandemic, this field still recorded positive growth. It is forecast that this year, Vietnam's e-commerce will continue to grow at a double-digit level, rising to the third position in Southeast Asia.

As for the development orientations for e-commerce in Vietnam by 2025, Deputy Director Lai Viet Anh stressed that her department would focus on raising the management's capacity over electronic e-commerce activities and developing technical infrastructure and support policies for firms that apply e-commerce.

In the coming time, the department will continue pushing up its cooperation with Amazon to pave the way for more firms and products from Vietnam to join the global platform, the official said.

The Vietnam e-Commerce and Digital Economy Agency under the Ministry of Industry and Trade and Amazon Global Selling Vietnam on June 8 this year launched a cross-border e-commerce initiative in the breakthrough era.

The initiative is intended to help Vietnam develop workforce for this kind of commerce in the next five years, thus raising the capacity of local enterprises and opening up export opportunities for them./.