Not only did Vietnamese agricultural products recover, but they also "exploded" in export to the US market, with wood and wood products earning an additional billion USD compared to the same period last year.

“Up to now, the export of fruits and vegetables to the US market has been extremely favorable.” This is the confident statement of Mr. Nguyen Dinh Tung - General Director of Vina T&T Group - when talking about his company's business results in the past 7 months with VietNamNet.

Mr. Tung said that the US is in the high-end export market segment, very "picky" with the quality of goods and food hygiene and safety issues. Currently, only a few types of Vietnamese fruits and vegetables have entered this market. In the first half of this year, due to tensions in the Red Sea, transporting goods to the US market also encountered difficulties, and freight rates increased rapidly.

However, the company's export revenue to the US market in the past 7 months still increased sharply by 26% compared to the same period last year, he revealed. Accordingly, the US market accounts for 50% of the company's total revenue.

Not only Vina T&T Group, many agricultural, forestry and fishery export enterprises have also reported "explosive" revenue results in the US market in recent months.

The leader of a wooden furniture enterprise in Binh Duong said that last year, export orders to the US dropped dramatically. But in the past 7 months, orders have "exploded", and business results to this market have increased by more than 50% compared to the same period in 2023.

"From now until the end of the year, there will be even better growth. Because the end of the year is considered the 'golden season' when Americans actively shop and decorate their houses to welcome the New Year and festivals," he shared.

According to information from Vinh Hoan Joint Stock Company, in July 2024 alone, this enterprise achieved 1,120 billion VND in revenue, an increase of 30% over the same period last year. Of which, the US is the market with the largest revenue of Vinh Hoan with 384 billion VND, a sudden increase of 92% over the same period in 2023.

The report of the Ministry of Agriculture and Rural Development shows that by the end of July this year, the US was the largest export market for agricultural, forestry and fishery products of Vietnam, reaching a turnover of 7.23 billion USD, an increase of 21.6% over the same period last year. Accordingly, the US market accounts for 21.1% of the total export turnover of the entire agricultural sector of our country in the past 7 months.

Specifically, the export of wood and wood products to this market reached nearly 4.9 billion USD, an increase of 26% over the same period last year, meaning the wood industry earned an additional 1 billion USD. Currently, the US is also the largest customer, accounting for nearly 55% of the export turnover of this key industry of our country.

Seafood exports to the US market also recovered, earning nearly 964 million USD, up 12.8% over the same period last year. Agricultural products such as vegetables, cashew nuts, and rubber also recorded growth rates of 34.8%, 23.9%, and 37.6%, respectively.

Compared to the same period last year, in the first 7 months of this year, tea and pepper were the two products with the strongest growth rates, 73.7% and 75%, respectively. In the past 7 months, only rice and coffee recorded a slight increase of 0.4% and 0.5%.

Commenting on the market in the last months of the year, Mr. Nguyen Dinh Tung said that Vietnam's agricultural exports in general and the fruit and vegetable industry in particular will maintain a good growth rate.

Because the end of the year is the peak shopping season for festivals. Americans will spend a lot of money. In addition, our country's export enterprises also "breathe easier" with sea freight rates.

"At the beginning of the year, the cost of shipping a container to the US by sea was only about 3,000 USD, by June it increased to more than 8,000 USD. But by July it had decreased to more than 6,000 USD/container," said Mr. Tung. This reduces the burden on enterprises exporting goods to the US.

The Vietnam Association of Seafood Exporters and Producers also commented that the US economy has positive signs. Inflation in the US has fallen rapidly from 9% to 3% this year and the possibility that the central bank will soon cut interest rates to stimulate consumer demand, so this is a good opportunity to increase seafood consumption.

In addition, seafood exports, especially pangasius, are likely to recover strongly in the last months of the year thanks to the decrease in inventory in the US market compared to the same period. Retailers in this country need to replenish inventory before the year-end holiday season. The anti-dumping tax rate (POR 19) on Vietnamese pangasius exported to the US is also low.

The Ministry of Industry and Trade assessed that in the US, there are moves to cut interest rates, thereby stimulating consumer demand again, expanding import and export needs of businesses. Accordingly, countries exporting to the US, including Vietnam, have more opportunities.

Furthermore, in the context of the US wanting to diversify its supply chain, if Vietnam makes efforts, it can achieve impressive export figures to this market in 2024.

In addition, the wood industry recently received good news when the US Department of Commerce (DOC) issued the final conclusion of the investigation into the scope of products and anti-circumvention of wooden cabinets imported from Vietnam.

Accordingly, this mechanism allows Vietnamese wooden cabinet exporting enterprises that do not fall into the three cases of doors, drawers and wooden frames with components, details and semi-finished details manufactured in China and then completed in Vietnam to be exempted, not having to pay anti-dumping and anti-subsidy taxes when exporting to the US market.

Chairman of the Ho Chi Minh City Handicraft and Wood Processing Association Nguyen Quoc Khanh said that it is important for enterprises to keep up with new trends in the US market so that Vietnamese wooden products can meet consumer preferences. Not to mention, the context of inflation in the US cooling down, employment increasing, construction and real estate trading showing positive signs... so our country's wood industry will maintain strong growth in the last months of this year in this market.

Source: Vietnamnet