Exports to Canada surged in the first 7 months, reflecting the increasing competitiveness of Vietnamese goods. Drawing from the advantages of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and supply chain shifts, this market opens up additional headroom; however, Vietnamese enterprises must proactively overcome trade remedy barriers, rules of origin, and sustainable development requirements.

From turnover growth to structural shift

Canada is emerging as a bright spot in Vietnam's export landscape in 2026. According to Customs Department data, in July 2026 alone, Vietnam's exports to Canada reached 892.5 million USD, up 8.05% compared to June and up 12.9% compared to the same period in 2025. For the first 7 months of 2026 combined, export turnover reached over 5.05 billion USD, an increase of 20.42% over the same period last year.

What is noteworthy is not merely the growth rate, but the qualitative transformation in the export commodity structure. Growth momentum is concentrated in the processed industrial goods, machinery, and high-tech sectors, indicating that Vietnamese enterprises are participating deeper in supply chains within a developed North American market.

Leading export turnover in the first 7 months of 2026 was the group of machinery, equipment, tools, and other spare parts, reaching 733.3 million USD, up 54.9% compared to the same period last year. Following were computers, electronic products, and components reaching 715.18 million USD, up 44.5% year-on-year. Other commodities reached 696.91 million USD, up 46.5%. Meanwhile, chemicals surged by 135.1% and cashew nuts rose by 54.1%, showing that opportunities lie not only in technology industries but also spread across multiple advantageous sectors.

However, several other commodity groups recorded declining export turnovers. Among these, coffee reached 21.05 million USD, down 45.7% year-on-year; handbags, wallets, suitcases, hats, and umbrellas fell by 14.6%; cameras, camcorders, and components decreased by 13.1%. Textile and garment export turnover also dipped slightly by 1.2% compared to the same period. This indicates that overall growth does not mean every commodity group has capitalized well on opportunities, further underscoring the requirement for product innovation and adaptation to market demand.

One of the vital advantages underpinning export growth momentum is the effective utilization of the CPTPP, of which both Vietnam and Canada are members. The implementation of this Agreement since January 2019 has contributed to tariff cuts, facilitating smoother market access for Vietnamese goods into Canada. However, tariff preferences translate into real advantages only when Vietnamese enterprises satisfy rules of origin, technical standards, and sustainable development requirements of the host country.

According to Ms. Tran Thu Quynh, Commercial Counselor at the Vietnam Trade Office in Canada, Vietnam's exports to the Canadian market in the second half of 2026 are projected to maintain solid growth momentum. The primary drivers are Vietnam's improved competitive position as Canada diversifies supply sources beyond the United States and China, the continued efficacy of CPTPP tariff incentives, and sustained import demand for goods not subject to retaliatory tariffs from the US over the long term.

Seizing opportunities, proactively overcoming barriers

Ms. Tran Thu Quynh assessed that opportunities stem not merely from purchasing power, but also from geopolitical shifts and trade policies. Canada is seeking reliable supply partners and diversifying goods sources. In this context, Vietnam gains additional opportunities in electronics, machinery, wood and wooden products, processed vegetables, and processed foods.

New headroom is also emerging from the demand to integrate into modern supply chains. Canada's new automotive strategy with EVAP incentives creates favorable conditions for electronic and electrical components from Vietnam to access North American electric vehicle (EV) battery supply chains. Furthermore, inflationary pressures and high living costs in Canada are opening up markets for processed vegetables, canned food, coffee, cashew nuts, spices, and dried fruits from Vietnam.

In particular, the 3rd Meeting of the Vietnam–Canada Joint Economic Committee (JEC 3) held in Ottawa on June 5, 2026, established a further foundation for bilateral cooperation as two Vietnam–Canada Working Groups adopted the 2026–2028 Action Plan. Additionally, the TRISEG project for the 2026–2030 period also aims to assist Vietnamese small and medium enterprises in upgrading export capacities.

At JEC 3, Canada reaffirmed that Vietnam is Canada's largest and fastest-growing trading partner in ASEAN, while expressing a desire to expand cooperation in trade, investment, supply chains, critical minerals, clean energy, innovation, and infrastructure.

However, the larger the opportunities, the higher the adaptation requirements. Ms. Tran Thu Quynh recommended that Vietnamese enterprises continue to closely track the negotiation process of the Canada–United States–Mexico Agreement (CUSMA) with its timeline starting from July 1, 2026, alongside trade remedy cases that could establish precedents spilling over into other commodity sectors. Market expansion must therefore proceed hand-in-hand with risk governance, especially regarding rules of origin and compliance with host-country laws.

According to proposals from the Vietnam Trade Office in Canada, priority should be given to supporting enterprises involved in ongoing trade remedy investigations concerning rebar, OCTG steel casing, and upholstered seating; while accelerating the implementation of JEC 3 outcomes, focusing on renewable energy, minerals, logistics, and agri-food products. Trade promotion must also shift strongly toward direct access across distinct market segments via events, supermarket networks, and e-commerce platforms.

With its current growth trajectory, Canada serves not only as a highly potential export market for Vietnam, but also as a "launchpad" for Vietnamese goods to penetrate deeper into North American supply chains. When CPTPP advantages resonate with production capacity, technological innovation, and the capability to satisfy high standards, Vietnamese enterprises have a solid foundation to transition from market conquest to establishing standing, brands, and sustainable value in the international arena.

Source: Tap chi Kinh te - Tai chinh