Export of industrial products increased sharply while minerals plunged

Exports of textiles garment and footwear recovered markedly in the first two months of this year. Photo: N. Hue

According to information provided by the Ministry of Industry and Trade on March 2, the export turnover of goods in February 2021 is estimated at US$20 billion, down 29.9% from the previous month. However, for the first two months of the year, export turnover was estimated at US$48.55 billion, up 23.2% over the same period last year.

The strong growth of the export of industrial processes is the main point in the first two months of 2021. Specifically, in the past two months, the export turnover of industrial processes reached US$42.47 billion, up 26.8% over the same period last year, accounting for 87.5% of the total export turnover of Vietnam.

The export turnover of many key products achieved double-digit growth such as: Phones and components reached US$9.3 billion, up 22.8%; computers, electronic products and components rose 27.3%; other machinery, equipment, tools and spare parts increased by 72.6%; wood and wood products by 51%; iron and steel of all kinds increased by 71.9%.

"Notably, exports of textiles and footwear also showed a recovery with exports of textiles and garments reaching US$4.76 billion, equivalent to the same period last year and footwear export turnover reached US$3.2 billion USD, up 15.4% over the same period last year," the Ministry of Industry and Trade stated.

In addition to industrial products, the export of agricultural, forestry and aquatic products also recorded growth in the first two months with an increase of 11.2% over the same period last year, reaching US$3.78 billion.

The only commodity group with a decline in export turnover in the past two months was fuel and minerals, with a decline of 50.3%, reaching US$371 million. In general, the export items in this group, such as crude oil, petroleum, coal, ore and minerals, all plunged.

The United States was the largest export market of Vietnam in the first two months with a turnover of US$13.78 billion, up 34.3% over the same period last year; followed by China with US$8.2 billion, up 50.5%.

After the Vietnam-UK Free Trade Agreement (UKVFTA) took effect, the total trade turnover between Vietnam and the UK in the first two months of 2021 increased by 29.2% compared to the same period last year, estimated at US$1.1 billion.

In particular, Vietnam's export turnover to the UK has increased by 33% over the same period last year, reaching US$998 million. This is an impressive increase as Covid-19 is still having a great impact on trade activities, at the same time showing that the UKVFTA has entered into force very promisingly, helping to promote export growth.

Of which, the commodity sectors that greatly benefit from the UKVFTA are seafood, rice, textiles, footwear, wood and vegetables.

The Ministry of Industry and Trade determines to continue closely monitoring the development of the Covid-19 pandemic to take timely response measures; to prioritize the implementation of export promotion activities and help export markets to recover soon.

Focus on closely monitoring the situation of each market to review and identify types of goods that countries need to import to exploit and promote exports.

In addition, Vietnam needs to consolidate and expand export markets, make the most of the advantages from the existing FTAs; diversify export and import markets, especially small markets and niche markets.