Hanoi (VNA) - Vietnam has established a significant position in global markets for wood, coffee and rubber. However, domestic businesses remain largely focused on production, processing and exports, with limited participation in higher-value-added stages of global supply chains.
The issue was discussed on September 22 at an online roundtable where experts said a large supply scale does not necessarily equate to a dominant position in the value chain.
A significant share of value added, technology, brands, standards, data, finance and decision-making remains outside Vietnam, they noted. Domestic businesses continue to focus mainly on production, processing and exports, while market standards, requirements and business models are often shaped externally.
Nguyen Quoc Khanh, Chairman of the Vietnam Timber and Forest Product Association (VIFOREST) and Chairman of the Board of Directors of AA Corporation, said Vietnam’s exports of wood, furniture and handicrafts rose from around 300 million USD two decades ago to 17.2 billion USD in 2025, generating a trade surplus of nearly 12 billion USD.
Vietnam has developed a relatively comprehensive supply chain, covering forest plantations, raw materials, processing, design, manufacturing and logistics, creating jobs for about one million workers. However, Khanh said production capacity has yet to be matched by the ability to influence markets, with Vietnam still primarily serving as a “manufacturing hub”.
Most businesses continue to manufacture according to designs and requirements under the original equipment manufacturing (OEM) model, while original design manufacturing (ODM) and original brand manufacturing (OBM), which allow deeper participation in product design, development and branding, remain limited.
According to him, the wood industry needs greater investment in design, branding, and traceability, and needs to shift from simply meeting requirements to anticipating market trends.
For coffee, Thai Nhu Hiep, Vice Chairman of the Vietnam Coffee and Cocoa Association, said Vietnam has an advantage in output, particularly robusta coffee, but large volumes are insufficient without greater control over quality and data.
The rubber industry faces similar challenges. Nguyen Viet Tuong, former Vice Chairman of the Vietnam Rubber Association, said Vietnam ranks fourth globally in natural rubber production and third in exports, but most export value still comes from natural rubber and relatively low-level processed products.
To Xuan Phuc, Managing Director of Forest Trends, said Vietnam needs to move from being a production and supply base to becoming a reliable partner in global value chains. Traceability, standards and data should not merely serve buyers’ requirements, but also build trust and enable businesses to participate in higher-value segments.
Experts stressed that for export industries where Vietnam has already established a strong position, the goal should go beyond increasing export turnover to raising the share of value retained domestically and gaining greater control over high-value stages, while gradually contributing to the development of market standards, technologies and rules./.
