Vietnam has achieved an export surplus of USD2bn with the G20 countries in the first seven months after three years of trade deficit, according to a new report from the Ministry of Finance.
Vietnam has achieved an export surplus of USD2bn with the G20 countries
The total trade surplus during the first seven months reached USD2.02bn, accounting for 2.7% of total export revenue to these markets and marked a reversal of Vietnam's trade deficit of nearly USD5.7bn in the first seven months of last year.
The total value of commodity exchange in the first seven months increased by 3.6% compared to the same period last year. It also accounted for 77% of the total import-export turnover which is USD148bn, increased by USD5bn on last year. Export turnover was valued at USD75.22bn, an increase of 9.4% and the import turnover is USD73.20bn, decreased by 1.7%.
The main reason is because the export values of key products have increased such as mobile phones and components at USD2.32bn, computers and components at USD1.04bn and seafood at USD715bn.
Vietnam mostly imported machinery, computers, electronics and spare parts, cotton and steel. These products accounted for 53% of the country’s total import revenue.
China remains Vietnam's biggest partner with USD38.18bn in trade exchange, a 2.4% increase. The US followed with USD25.74bn, an increase of 10.6% and the EU with USD24.87bn, an increase of 6.1%. While Vietnam recorded an export surplus to the G20, its total trade turnover with China decreased.
The General Department of Vietnam Customs said the local commodity value had improved after trade exchanges with the G20. It also helped ease commercial dependency on several areas and countries.
However, the G20 also have stricter requirements about non-tariff barriers and technology. Vietnam still uses old technology that's why the majority of the turnover is attributed to sheer volume of products.