In the last months of 2020, the province's import and export is predicted to eye a recovery from major export sectors, but still have many challenges.
Some product groups are slowly recovering
Import and export situation has grown again. Enterprises have begun to export goods into the US, Japan, Korea, ASEAN, some European countries, China. The export turnover of the province is estimated at $11.9 billion, up 0.4% over the same period in 2019. The import turnover is estimated at $9.4 billion, up 4.2%; maintains a trade surplus of $2.6 billion. A satisfactory signal is that in June export turnover of the province was estimated to reach $2,475 million, up 12.6% over the previous month. The import turnover in June 2020 was estimated at $1,995 million, up 12.3% over the previous month.
Production activities in Esquel Garment Company (VSIP 1, Thuan An City).
On the other hand, to respond to market difficulties, now businesses have a certain transformation. In particular, garment industry has been converting their manufacturing process, accelerating the rapid conversion from traditional items to products that have rapid adaptability... For leather footwear industry, Ministry of Industry and Trade forecasted, its export turnover in Q3 and Q4-2020 would grow back. Enterprises need to seize opportunities to get more customers, enhance production and export as soon as the Covid-19 pandemic is well controlled in their main export markets. Thai Binh Investment JSC (Thuan An Town), at the end of Q2-2020, got orders again. This is an optimistic signal that encourages the company to maintain production, take care of workers.
A good thing is that main export markets of textiles, leather footwear (USA, Korea, Japan, Europe) have eased their policy of social distancing; Consumer demand is increasing. Many businesses have started to export goods of their previously signed orders. Export turnover of textiles usually rise sharply in last months of a year, due to the increasing demand for textile products on Tet holidays, Christmas. Notably, estimated figures of June 2020 show that import of raw materials for production increased quite sharply, this shows that domestic enterprises are starting to accelerate the recovery process.
In the midst of the pandemic, timber industry also has had bright spots. Some businesses gained good growth, many orders, and had to continuously increase shifts to ensure production progress. They are long-standing enterprises of timber industry, having a wide network of clients, especially having online sales platform, helping them to be proactive in terms of markets and e-commerce.
To anticipate difficulties, assist enterprises
According to Nguyen Thanh Toan, Director of provincial Department of Industry and Trade, reckoned that the pandemic would continue to be complicated in the world, so far there has been no forecast for the end of this pandemic. Because the impact of Covid-19 and the trade protection trend of the world's powers is increasing, especially the commercial war is on escalation, severely affects the industrial and commercial production in the country and the world.
Regarding import and export, Do Thang Hai, Deputy Minister of Industry and Trade, said that Vietnam was successful in the fight against Covid-19, but the investment attraction, export stimulus is largely dependent on external factors. Meanwhile, the Covid-19 pandemic in the world is still complicated. Therefore, in the coming months, Vietnam's import and export would continue to recover but the turnover would still decrease compared to the same period in 2019.
To solve difficulties ahead, at the macro scope, economic expert Tran Dinh Thien said that the economic development policy, besides business assistance, needed to encourage innovative startups, stimulate domestic consumption. In this difficult period, measures to handle bad debts should be taken into account.
Tran Thanh Liem, Deputy Secretary of Provincial Party Committee, Chairman of Provincial People's Committee, said that in the last 6 months of 2020, Provincial People's Committee endeavored to implement the Government's resolutions on dual task of socio-economic development tied to Covid-19 prevention and control. In particular, Provincial People's Committee will enhance the implementation of the Government's Resolution No. 84 to overcome impacts of the Covid-19, recover and develop the economy; continue to effectively implement the Government's Resolution No. 42 / NQ-CP and the Prime Minister's Decision No. 15/2020 / QD-TTg on the implementation of policies to support people facing difficulties caused by Covid-19; implement measures to help businesses and workers access support policies simply, conveniently and timely. For businesses, the province will provide maximum support to businesses through many channels, with many ways for exporters in terms of material sources, when markets around the world reopen normally again and take advantage of opportunities from Europe - Vietnam Free Trade Agreement, which will come into effect from August 2020.
Reported by Tieu My - Translated by Ngoc Huynh
