Vietnam trade increases as Q1 exports up over 16%

Export turnover in the first four months of 2022 surpasses 122 billion USD (Photo: Vietnamplus)

Despite many difficulties caused by the COVID-19 pandemic, and a hike in transportation costs, export remained a bright spot in Vietnam's economic picture in the past 4 months.

Notably, not only the processing industry group, other export groups also maintained high growth, creating momentum to expand trade surplus.

Fisheries enjoy fruitful growth

According to the Ministry of Industry and Trade, in April, the export turnover was estimated at 33.26 billion USD, an increase of 25% compared to the same period last year. Overall, in 4 months, exports earned about 122.4 billion USD, an increase of 16.4% year-on-year.

Statistics show that all three major groups of exports recorded outstanding results after the enduring effects of the COVID-19 pandemic.

In particular, the export turnover of processed industrial goods in the first 4 months of the year reached about 105.6 billion USD, up 16.1% compared to the same period last year.

Of the group's “billion-dollar” exports, textiles continued to grow in terms of both orders and profits.

A representative of Thanh Cong Textile Company said that the business has received orders until the end of Q3/2022, even Q4/2022.

"The company has completed the construction of Vinh Long 2 Garment Factory with a capacity of about 9 million products a year. This will boost production and orders for this year, bringing revenue and profits for the company in the coming time," the representative added.

Moreover, despite the complicated epidemic during the past time, the agricultural, forestry and fishery groups had export results of 10.2 billion USD, an increase of 19.7% compared to the same period last year, accounting for 8% of the total export turnover.

"The main reason is that the markets are in very high demand for Vietnamese aquaculture," the representative of the Ministry of Industry and Trade said.

In addition, the export turnover of mineral fuel in the first 4 months of the year increased 67.9% compared to the same period in 2021. Items such as petroleum, coal, ore and other minerals increased in both quantity and value due to the high price of these items.

The representative of the Ministry of Industry and Trade said that the United States is Vietnam's largest export market with an estimated turnover of 35.6 billion USD, up 18.9% year-on-year; China is estimated at 19 billion USD, up 16.7%; and the EU market is estimated at 15.5 billion USD, up 19.9%.

Promoting leverage of FTAs

In the opposite direction, the import turnover of goods in April 2022 was estimated at 32.2 billion USD, an increase of 15.5% compared to the same period in 2021.

Overall, Vietnam's imports were estimated at 119.8 billion USD in 4 months, up 15.7% year-on-year.

Among them, the group of goods to be imported accounted for nearly 89% of the total import turnover of the country. These include raw materials for domestic production, which reached 106.6 billion USD, an increase of 16.8% compared to the same period.

Economist Pham Tat Thang, Institute of Strategic Studies, Trade Policy (Ministry of Industry and Trade), said that import and export results in the past months have brought many positive signals for enterprises and the economy.

However, the various fluctuations in the world situation and high prices of many types of fuel materials will impact Vietnam's import and export activities in the coming time.

So, in his opinion, finding the next step, the way to manage risk, is something that needs to be taken into account. In addition, the cooperation between enterprises, cooperatives, farmers and association organizations needs to be further tightened to jointly overcome the challenges of the market./.