Exports face challenges despite enjoying robust growth

This information was unveiled by experts and business representatives at a forum aimed at resolving capital and market difficulties for enterprises held in Ho Chi Minh City on April 25.

In his speech, Truong Dinh Hoe, general secretary of the Vietnam Association of Seafood Exporters and Producers (VASEP), emphasised that in the first quarter of the year, Vietnamese export orders began to rebound due to the recovery occurring in the world market.

Most notably, seafood exports surged by 7% to reach nearly US$2 billion against the same period from last year with aquatic exports to the United States, China, and Japan seeing robust growth, while the Chinese market also had great demand for shrimp.

Tran Nhu Tung, vice chairman of Vietnam Textile and Apparel Association (VITAS), said that garment and textile exports reached about U$9.5 billion, representing an increase of 9.6% over the same period last year.

Vietnam is ranked as the world's third largest textile export markets, only behind China and Bangladesh. In line with this, textile and garment businesses have received more orders over recent times, despite higher competitive pressure due to rising logistics costs.

Tung pointed out that local businesses have been forced to invest in clean and green factories, whilst they are advise to meet the environmental - social - governance (ESG) standards set by buyers in Europe as well as the Republic of Korea, and the US in the near future.

Experts predict that tensions breaking out in the Red Sea will not end soon, meaning that firms should try to devise response plans in a bid to cope with escalating logistic costs, late delivery, and disruption to the supply chain of goods.