Vietnam has trade deficit for second straight month

01-Dec-2016 Intellasia | The Saigon Times | 6:00 AM Print This Post

Vietnam’s trade deficit in November is projected at $400 million, marking the second straight month imports have been higher than exports, shows data of the general Statistical Office (GSO).

October saw the trade deficit reaching $445 million. In the first nine months of the year, the trade surplus amounted to $3.7 billion but the October-November trade deficit has sent the January-November trade surplus dipping to $2.85 billion.

November export revenue is estimated at $15.6 billion, up 1.3 percent against October, while imports reach $16 billion.

The GSO said Samsung’s halt to Galaxy Note 7 smartphone production had left little impact on the country’s export performance and revenue from phone and phone parts exports which are estimated to grow 5.8 percent month-on-month in November to $3 billion and 7.8 percent year-on-year.

Other products with higher export revenue than in the same period last year include machinery, equipment, tools and parts, which are up 30.5 percent; electronics, computers and components, up 29.9 percent; and seafood, up 17.5 percent.

In January-November, exports have edged up 7.5 percent year-on-year to $159.5 billion, $45.4 billion of it contributed by domestic firms, up 4.8 percent, and $114.1 billion by foreign-invested firms, up 8.7 percent.

The January-November import bill is up 3.5 percent year-on-year to $156.6 billion, with domestic companies responsible for $63.8 billion, up 3.4 percent, and FDI enterprises for $92.8 billion, up 3.6 percent.

As such, the country has a trade surplus of $2.84 billion in the 11-month period. This year the FDI sector has brought a trade surplus of $21.24 billion and domestic enterprises have caused a trade deficit of $18.4 billion.

Market watchers have predicted that achieving a trade surplus of $3.5-4 billion this year as earlier expected is now a tall order as the country tends to import more to meet local demand during the holiday shopping season.

Regarding export markets, the US has remained Vietnam’s biggest export market this year. The first 11 months have seen America importing $34.7 billion worth of goods from Vietnam, up 14 percent year-on-year. The EU follows with $30.5 billion, up 8.3 percent, China with $19.6 billion, up 26.7 percent, Japan $13.2 billion, up 2.9 percent, South Korea $10.4 billion, up 27.6 percent and Asean $15.7 billion, down 6.6 percent.

China has continued to be the largest exporter to Vietnam with $44.6 billion worth of goods imported from China, down 1 percent. South Korea is second with $28.9 billion, up 13.2 percent, Asean with $21.1 billion, down 1.9 percent, Japan with $13.6 billion, up 3.5 percent, the EU $10.1 billion, up 7 percent, and the US $7.8 billion, up 8.7 percent.


Category: Economy, Vietnam

Print This Post

Comments are closed.