Trade relationship between Vietnam and China over the past time have been growing. If taking 10 ASEAN countries into account, Vietnam is China’s largest trading partner, the largest import partner and the third largest export partner.
Vietnam is a major trading partner of China
Informing to Lao Dong’s journalists, the representative of the Import and Export Department (Ministry of Industry and Trade), said: Considering on a global scale, Vietnam has become the 8th largest trading partner of China and at the same time it is the 7th largest export market; China’s 10th largest import market (ranked 2nd in ASEAN, followed by Thailand and Malaysia occupying the first position).
In 2018, the total import-export turnover between Vietnam and China reached $106.7 billion, of which, export activities reached $41.3 billion, increasing 16.6% compared to 2017.
Major export products of Vietnam to China continue to maintain a high growth rate, in particular: phones and accessories reached $9.38 billion, increasing 31.1%; computers, electronic products and components reached $8.36 billion, increasing 21.9%; types of textile fiber reached $2.2 billion, increasing 8.5%; vegetables and fruits reached $2.78 billion, increasing 5.1%; cameras, camcorders and components reached $2.8 billion, increasing 34.1%; types of footwear reached $1.49 billion, increasing 30.8%.
Export of agricultural and aquatic products to the Chinese market continued to maintain a stable proportion in recent years. In 2018, export of rice to China reached $638.3 million, Rubber: $1.37 billion; vegetables: $2.78 billion; aquatic products: $995.9 million …
Vietnam is restructuring the livestock industry to export pork to China via official channel (Illustration).
For wood and wood products, export turnover reached $1.07 billion, having a slight increase by 0.4% compared to 2018. In the first 3 months of 2019, export turnover to China reached $7.61 billion. For wood and wood products, the export turnover in the first 3 months of the year reached $253.3 million, showing a decrease of 5.1% over the same period.
Also according to the Import and Export Department, for agricultural and aquatic products, China is the largest export market of Vietnam. In particular, the market is ranked No.1 in exporting rubber, vegetables, fruits and cassava of all kinds; ranking the 3rd position in wood and wood products; ranking the 4th position in tea; the 5th position in fisheries; 9th in coffee.
Currently, Vietnam is exporting to China 8 products of the group of agricultural and aquatic products, of which some products account for a high proportion of the total export of such products in the whole country (cassava and cassava products account for 88%; fruits and vegetables account for 73%, rubber accounts for 66%, rice accounts for 22%); the remaining products account for about 10% of the proportion (cashew, tea, seafood, coffee). In addition, Vietnam also exports raw wood and finished wood products (mainly wood of fine arts from wood in group 1) to China.
Removing barriers to boost exports through official channel
Ministry of Industry and Trade says that export of agricultural and aquatic products to China has basic advantages, but it still faces many difficulties and challenges, because China has and is becoming a market with high demand for product quality.
On the other hand, China has also invested in building and upgrading departments of large-scale quality testing and quarantine of goods in border areas with modern and advanced equipment and testing capability which is as good as establishments of other developed countries such as the United States, Japan, EU …, from October 1, 2019, it is expected that the application of imported food shipments must be attached with export certificates.
With the current management trend of China, the Vietnam’s export of agricultural and aquatic products to this market will be subject to higher quality barriers and higher competitive pressure from ASEAN countries.
This trend shows that in the upcoming time, quota export to China will face many difficulties, Vietnam needs to promote the market opening so that Vietnamese products can be exported through the official channel, and at the same time, market research must be carried out methodically, identify the needs and real signals of the Chinese market for each item, identify goods that our country has a competitive advantage, thereby organizing production and processing towards ensuring export products to meet the market’s requirements on food safety and quality.
According to KH.V