Remarkable results

In the recent Government meeting, the Prime Minister assessed: the results of July were higher than June and overall the 7 months were better than the same period last year in most areas.

One of the bright spots is that export activities continued to record positive results, reaching a growth rate of 15.7%. Notably, the export growth rate in the domestic sector was 1.5 times higher than that of the foreign direct investment sector. Vietnam's trade balance tilted towards a trade surplus, reaching more than 14 billion USD.

Of the three main pillars to boost Vietnam's economic growth in 2024, namely exports, public investment and domestic consumption, exports are making very strong breakthroughs. In the first 7 months of the year, the country's total export turnover is estimated at nearly 227 billion USD. Of which, up to 30 items achieved an export turnover of over 1 billion USD. The strongest growth was in the agricultural products group, but the highest export proportion still belonged to the processing and manufacturing industry group.

The world market is gradually recovering, increasing orders have helped domestic enterprises export goods with many positive results. Many enterprises said they are not worried about lacking orders in the last months of the year, even until early next year.

Export businesses increase orders in the last months of the year

In the first half of the year, Vina T&T Company achieved a growth rate of 26% compared to the same period last year. To achieve this result, the company successfully exported fruits to countries such as durian to China, grapefruit to the US and New Zealand markets, and longan to the Japanese market... In the remaining half of the year, the company aims to grow by 30-35% by continuing to increase exports to new markets.

Mr. Nguyen Dinh Tung - General Director of Vina T&T Company said: "Recently, we were licensed to export grapefruit to Korea and maybe this year, China will accept more coconuts and grapefruits into the Australian market. Currently, we have located and expanded the growing areas, especially we have more than 1,000 hectares of coconuts".

Similarly, in the textile and garment industry, export orders at enterprises are more abundant in the last months of the year. Dony Company said that last year's inventory has dropped to an extremely low level, and many partners from countries such as the United States, the Middle East and Southeast Asia have increased their orders again.

Mr. Pham Quang Anh - General Director of Dony Garment Company shared: "In the remaining months of this year, even by February 2025, the company has orders at over 70% capacity. With orders that are continuing to be negotiated and signed and are in the final stages, the company will certainly be at full capacity and this year may be a year with results that exceed expectations."

Mr. Vu Duc Giang - Chairman of the Vietnam Textile and Apparel Association (VITAS) commented: "44 billion is an expectation for 2024. We have competed and met the requirements on price, delivery time, fast production orders, small product codes, and more complex product structures".

The Vietnam Manufacturing Purchasing Managers’ Index (PMI) rose to 54.7 in July, its highest level in nearly six years. New orders rose for the fourth consecutive month, indicating that both production and exports are on the rise.

Free trade agreements boost exports

To contribute to creating positive colors in the export competition, experts said that the Government's policies have been effective, especially efforts in negotiating, promoting trade, and diversifying export markets.

Besides, taking advantage of opportunities from signed trade agreements, with wide open doors, barriers have been removed.

Continuously contacting many new customers to expand the market - besides the old traditional markets. In particular, the company also seeks to maximize the benefits of EVFTA when bringing goods to the European market. Thanks to that, the company's revenue in the first 6 months of the year has also increased sharply.

Mr. Nguyen Diep Phat - Deputy General Director of GC Food Company said: "We aim at Europe, a populous market, because those markets have large consumption power and a taste for aloe vera and coconut jelly."

Among the new generation FTAs ​​that Vietnam has participated in, it can be said that the EVFTA is the agreement that has brought the most positive results. Vietnam's exports to Europe have skyrocketed from 35 billion Euros in 2019 to more than 48 billion Euros in 2023.

Mr. Jean-Jacques Bouflet - Vice President of the European Chamber of Commerce in Vietnam (Eurocham) commented: "EVFTA is a landmark agreement and has become an important catalyst for trade and investment between the European Union and Vietnam. From Vietnam's perspective, it can be seen that EVFTA has brought growth to exports and foreign direct investment in Vietnam".

Not only EVFTA, Vietnam has signed and implemented 16 FTAs, creating great advantages for businesses. Businesses even have a lot of room to increase exports when making good use of certificates of origin for C/O goods.

Mr. Vo Trung Hieu - Director of International Business - Vietnam Dairy Products Joint Stock Company commented: "We have applied preferential C/O rates up to over 50% of shipments. We think that is an advantage and also a way for us to exploit the advantages that the State has supported for the business community in general".

According to the Ministry of Industry and Trade, Vietnam has only taken advantage of 30% of the opportunities brought by FTAs. Therefore, there is still a large room for Vietnamese enterprises to exploit.

With strong pillars such as exports, a bright picture of Vietnam's economy in 2024 is easy to imagine. Vietnam's economic growth this year could reach the highest level in Southeast Asia. This is the assessment made by many international financial institutions, based on high growth results in the first 7 months of the year and positive prospects in the second half of the year.

According to VTV