Many major markets recovered, timber and wood product exports increased sharply in Q1
- 171
- Business
- 15:47 05/04/2024
DNHN - Timber industry businesses accelerate production to meet export schedules, opening up positive signals and bringing expectations for the Vietnamese timber industry in 2024.
Preliminary statistics from the General Department of Customs show that the export value of timber and wood products in March 2024 is estimated to reach 1.12 billion USD, an increase of 46.3% compared to February 2024, but a decrease of 1.9% compared to March 2023. Of which, the export value of wood products is estimated to reach 749 million USD, an increase of 57.8% compared to February 2024, but a decrease of 3.9% compared to March 2023.
In the first three months of 2024, timber and wood product exports are estimated to reach 3.4 billion USD, an increase of 18.9% compared to the same period in 2023. Of which, the export value of wood products is estimated to reach 2.3 billion USD, an increase of 22.9% compared to the same period in 2023.
![Many major markets recovered; timber and wood product exports increased sharply in Q1 Many major markets recovered; timber and wood product exports increased sharply in Q1](https://media.doanhnghiephoinhap.vn/uploads/2024/04/05/xkg-1712219203-1712305988.jpg)
According to the Import and Export Department (Ministry of Industry and Trade) and the Industrial and Trade Information Centre, the favourable start in the first months of the year with increasing orders and timber industry businesses accelerating production to meet export schedules has opened up positive signals and brought expectations for the Vietnamese timber industry in 2024.
In particular, the demand in major markets such as the United States, China, Canada, the United Kingdom and markets in the EU bloc is recovering, bringing optimism to Vietnam’s timber export industry.
In terms of export market structure, the United States continues to be the largest destination for Vietnamese timber products. In the first two months of 2024, the export value to the United States accounted for 53.2% of the total export turnover of timber and wood products, reaching 1.2 billion USD, an increase of 51.7% compared to the same period in 2023.
However, the over-reliance on the US market increases the risk for the timber industry. Therefore, diversifying export markets will minimise risks and enhance the sustainability of the timber industry. In addition, improving product design and models will also help attract more international customers.
Besides the US market, timber and wood products are also exported to some other markets with high growth rates in the first two months of 2024, specifically exports to the Chinese market reached 306.3 million USD, an increase of 25.3% compared to the same period in 2023. Next is the Canadian market at 36 million USD, an increase of 47.4%; the UK at 32.8 million USD, an increase of 35.2%; the Netherlands at 23.2 million USD, an increase of 46.9%; and France at 22.1 million USD, an increase of 26.7%.
![Illustration Illustration](https://media.doanhnghiephoinhap.vn/uploads/2024/04/05/go-1712219242-1712305988.jpg)
Although the signals at the beginning of 2024 are quite optimistic, timber export businesses are facing new difficulties. If the tension in the Red Sea continues, freight rates will increase.
In this context, Mr Tran Quoc Manh, Vice Chairman of the Handicraft and Wood Industry Association of Vietnam, said that many businesses in the industry have proactively coordinated with foreign customers to produce new models with their brands to capture the target market. Many new markets such as China, India, Malaysia, Cambodia, Singapore, Laos, Indonesia, and the Philippines are being exploited by timber and wood product export businesses and are achieving quite good growth.
Mr Nguyen Quoc Khanh, Chairman of the Handicraft and Wood Industry Association of Ho Chi Minh City (HAWA), said that the association’s members are focusing on contributing to the industry’s transition from Original Equipment Manufacturing (OEM) to developing their Original Design Manufacturing (ODM) to enhance the value of “made in Vietnam” products.
The HAWA representative also affirmed that the Vietnamese wood processing and furniture industry is currently one of the industries with the largest trade surplus in the country. Even in 2023, despite difficulties and a decrease in export turnover, the timber industry still brought in a trade surplus of more than 10 billion USD.
P.V
Related news
- Businesses need to increase adaptability to join the global supply chain
- Agricultural exports are forecast to reach nearly 60 billion USD in 2024
- General Secretary Nguyen Phu Trong: An outstanding politician, a great theorist
- Why is bank security very important?
- Export businesses face difficulties as sea freight rates rise
- Banks and challenges in funding green projects
- Strategies for innovation to adapt and seize opportunities by enterprises
- The Ho Chi Minh City Friendship Dialogue and the Ho Chi Minh City Economic Forum will take place in September 2024
- Why is it necessary to implement the direct electricity purchase mechanism soon?
- How are bank bond interest rates attractive to investors?
- Bamboo Airways aims to break even and become profitable by 2025
- Overcoming rising input costs and supply challenges in business
- The strong growth of air travel demand in Vietnam
- New proposal on petroleum business: Enterprises can have the freedom to set retail prices
- Electric vehicle market share in Vietnam: Development trends and challenges
- Farm School - What legal framework is needed for this new model?
- Digital transformation in the banking sector: The future direction of financial services
- EuroCham: European enterprises confident in Vietnam's long-term economic growth
- The journey from Nghe An fields to the TH True Milk brand
- Why support taxi businesses transitioning to electric vehicles?
Đọc thêm Business
Testing the "sandbox" model to diversify the Vietnamese stock market
The "sandbox" model to test new securities products will help select a number of securities companies and intermediary financial institutions with sufficient potential to pilot some structured products for the market.
Agricultural exports are forecast to reach nearly 60 billion USD in 2024
Vietnam's agricultural sector is a bright spot with increasing export potential. It is forecast that in 2024, Vietnam could reach an export level of nearly 60 billion USD, opening up great opportunities for sustainable development in this sector.
General Secretary Nguyen Phu Trong: An outstanding politician, a great theorist
General Secretary Nguyen Phu Trong's passing is a great loss for our Party and the people of Vietnam, leaving infinite regret among the people of the entire country and internationally.
Export businesses face difficulties as sea freight rates rise
Logistics costs have now increased by about 130% compared to the end of 2023. This reality has been pushing domestic export businesses into a state of freezing many export orders.
The Ho Chi Minh City Friendship Dialogue and the Ho Chi Minh City Economic Forum will take place in September 2024
The 2nd Ho Chi Minh City Friendship Dialogue (Ho Chi Minh City Friendship Dialogue – FD) in 2024, themed "Industrial transformation: Experiences and priorities in development cooperation", will take place from September 23-24, 2024.
Why is it necessary to implement the direct electricity purchase mechanism soon?
Implementing the direct electricity purchase mechanism brings many economic and environmental benefits and creates condition for the sustainable development of the electricity sector. Thus, this mechanism has become increasingly necessary and urgent.
How are bank bond interest rates attractive to investors?
Bank bonds are attracting investor interest due to their attractive interest rates and high level of security. This is a popular choice among investors in stable and safe financial products today.
Overcoming rising input costs and supply challenges in business
Currently, businesses are facing significant challenges as input costs rise and supply becomes difficult. The shortage of supply can impact business operations, profits, and the competitiveness of businesses.
The strong growth of air travel demand in Vietnam
Vietnam is becoming a top tourist destination in Southeast Asia, with the strong growth in air travel demand creating both opportunities and challenges for the industry.
Tourism and resort real estate begins to show more positive signals
Tourism and resort real estate, although affected by the pandemic, are showing many signs of recovery and many new positive opportunities in the coming period.