Vietnam sees trade surplus for 8th year in row with $26 bn in Jan-Nov

The nation’s total import-export turnover stood at an estimated $683 billion this year, of which exports and imports hit $354.5 billion and $328.5 billion respectively.

Despite declining global trade and weak consumer demand in major export markets, the country has successfully seized opportunities from the recovery of traditional markets to boost exports, a recent conference in Hanoi to review the industry and trade sector learned.

The consecutive trade surplus status has maintained the overall balance of payments, by raising foreign exchange reserves and stabilising the exchange rate, a Vietnamese media outlet reported citing experts.

Deputy minister of industry and trade Phan Thi Thang said export decline has narrowed from 12 per cent in the first half of the year to about 4.6 per cent for the entire year.

Thang attributed the shrinkage to the export market diversification to African, Eastern Europe, Northern Europe and West Asian countries.

However, the domestic economy is yet to fully recover compared to the same period last year.

The reason is a high level of dependence on foreign-invested firms, with their export turnover accounting for roughly 73 per cent of total export turnover. Further, domestic producers depend heavily on imported raw materials, with imports for key product groups dropping sharply.

Fibre2Fashion News Desk (DS)