Vietnam surpasses neighbors in growth of US exports

09:00 | 24/12/2019 Trade

(VEN) - Many US businesses list Vietnam among the markets where they can buy quality goods at competitive prices.

vietnam surpasses neighbors in growth of us exports
Many US companies are seeking goods suppliers from Vietnam

Plenty of opportunities

Vietnam has become outstanding in the region due to the US-China trade war’s adverse impacts on major exporting countries and their slowing growth. Japan, the Republic of Korea (RoK), Singapore and Chinese Taipei have faced declines in exports to the US in the past nine months, while Vietnam maintained high export growth.

General Department of Vietnam Customs data show that Vietnam’s exports to the US remain on the rise. In the first three quarters of this year, the export value reached US$44.65 billion, up 27.6 percent compared with the same period in 2018. The US continued to be Vietnam’s largest export market, accounting for 22.9 percent of total export value.

In order to avoid US taxes on Chinese goods, US businesses are seeking suppliers from other markets, including Vietnam.

John Caplan, head of North American B2B at Alibaba Group, believes there will be major opportunities for Vietnamese businesses to promote exports to the US if they are aware of the real demand of importers from this market.

Utilizing e-commerce

Mary Tarnowka, Executive Director of the American Chamber of Commerce (AmCham) in Vietnam, expects the US will remain a major export market for Vietnamese businesses in the coming period. However, the US is a highly discerning market with strict requirements. Therefore, to promote sustainable export growth to this market, exporters have to improve their capabilities and take the initiative in cooperation to set up new supply chains.

Tarnowka said that many US companies have sought support from AmCham Vietnam to seek goods suppliers and business oDpportunities from the Vietnamese market.

To maintain exports at a high level to the US, apart from abiding by strict food safety and environmental protection standards, businesses should use digital channels. According to Alibaba.com General Manager Zhang Kuo, hundreds of thousands of businesses worldwide are utilizing electronic commerce to access customers, instead of traditional channels that are time-consuming and complicated.

Vu Trung Son, Director of the Vietnam Agarwood Center Joint Stock Company, a successful e-commerce based exporter, said the use of e-commerce has enabled the company to receive about 100 orders from customers around the world each month, with 80 percent resulting in actual transactions.

Alibaba.com General Manager Zhang Kuo: Vietnamese exporters should take advantage of worker skills, product quality and competitive prices to promote exports, especially to the US market, through e-commerce channels, which entail low costs but provide a high level of openness and access.

Thanh Thao