Proper solutions needed to achieve export growth target of over 8% in 2022

Minister of Industry and Trade Nguyen Hong Dien made the statement in an interview granted to a VOV reporter on the eve of the 2022 Lunar New Year (Tet) festival. The Minister discussed the forecast of export growth and plans of the local industry and trade sector in the policy-making process and ways in which to support businesses in restoring production and export, thereby contributing to the country's economic growth in the year ahead.

Industrial production continued to stand firm in the face of the COVID-19 storm, contributing to boosting exports in 2021 and exceeding the target spectacularly, recording double-digit growth and a total turnover of roughly US$ 670 billion which puts Vietnam among the top 20 economies in terms of international trade.

Despite facing plenty of difficulties due to the impact of the COVID-19 pandemic, both industrial and commercial activities remained a bright spot for the national economy picture throughout last year.

According to Minister Dien, the coming year is anticipated to continue to see opportunities and advantages, along with difficulties and challenges as the COVID-19 pandemic may remain complicated and prolonged, thus generating new variations. In additional, the global economic growth remains unstable and there are many potential risks, including various impacts of COVID-19 that have yet to be fully revealed.

"However, we also recognise that among difficulties, there are always opportunities, that is: the export market is forecast to continue to recover as countries gradually control the COVID-19 pandemic. Exports to partner markets in free trade agreements (FTAs), especially new generation FTAs, will continue to be enhanced as businesses gradually adapt to FTAs commitments and Partners' incentives regarding import tax will continue to be removed or reduced. Many countries have deployed economic stimulus packages, stimulating consumption demand, thereby increasing the demand for imported goods," he said.

Domestically, the Government, ministries, and sectors have been continuing to put many solutions into place in a bid to improve the overall business environment and maintain production activities moving into the new normal. The VND350,000 billion support package as part of the Socio-economic Recovery and Development Program recently approved by the National Assembly (NA) will also make an important contribution to promoting production activities and creating a source of goods for exports.

Inheriting the important and comprehensive results achieved over recent years and strongly promoting the spirit of innovation and creativity, the industry and trade sector strives for total export turnover to increase by over 8% compared to 2021. Indeed, it hopes that the trade balance continues to enjoy a trade surplus and contributes to the successful implementation of the GDP growth target as planned.

Regarding the strengths of Vietnamese commercial activities in 2022, Minister Dien said the country has established an important position in the supply chain of a number of products, such as phones and components, computers, electronic products and components, machinery, equipment, tools, garments and textiles, footwear, furniture, seafood, rice, coffee, and pepper. This also represents a group of commodities that have experienced strong export growth over recent years.

"Another strength is that we have 15 FTAs with most of the key markets in the world, thus creating a great impetus for production and export activities, which helps us to receive many advanced and modern technologies and train a more professional workforce," he added.

Furthermore, the nation also has political stability, a very favourable geo-economic position which promotes production, export, and logistics services because it is located in a dynamic development area of the world where the flow of goods are widely exchanged. Due to this, it can be viewed that Vietnamese exports are enjoying plenty of advantages in order to continue making breakthroughs and grow faster and in a more sustainable manner in the future.

With regard to the specific plan of the Ministry of Industry and Trade this year, the pivotal year of the 2021 to 2025 period, Minister Dien said 2022 is of great significance for creating a foundation for the successful and comprehensive implementation of the five-year plan which will run from 2021 to 2025.

In order to provide continued support for the business community, the Ministry of Industry and Trade is set to primarily focus on effectively implementing some key tasks and solutions, with a particular focus on drastically, uniformly, and effectively implementing the Government's directives in Resolution 128 on safe and flexible adaptation to effective control the COVID-19 pandemic, as well as to restore supply chains of goods and labour for the recovery of production activities after the pandemic.