Da Nang recovery appears to be gathering momentum. The city's export earnings are expected to climb by 12% by the end of this year compared to the same time frame in 2020 to hit an estimated US$ 1.758 billion, exceeding 6-7% target set for this year. Despite being heavily affected by the complex development of the COVID-19 pandemic, Da Nang exports posted impressive growth.

In its efforts to drive export growth, the Da Nang government will provide more support to local businesses to boost trade promotion. Picture is taken at Daiwa Vietnam Company Limited in Hoa Khanh Industrial Park, Lien Chieu District. Photo: KHANH HOA

Main goods exports see strong growth

According to a report of the Da Nang Department of Industry and Trade, foreign- owned businesses continue to play key role in Da Nang exports, representing the largest proportion of the city’s total export value.

By the end of this year, exports from domestic businesses are estimated at US$ 788 million, up 11.6% over the same period in 2020. Meanwhile, the value of exports from foreign- owned businesses climbed by 12.4% to hit an estimated US$ 970 million. Da Nang sees strong growth of domestic businesses as a good sign to drive its sustainable economic growth. Increasing exports is a high priority for the Da Nang government and a part of a sustainable economic recovery.

Main goods exports recorded double-digit growth in 2021. In detail, textiles and garments contributed an estimated US$ 460 million to the Da Nang economy, up 11.7%, seafoods with an estimated US$ 202.5 million, up 11.9%; handicrafts and wood products with 90 million, up 10.4%, finished rubber products with an estimated US$ 90 million, up 22.3%, motors, electrical equipment and electronic products with an estimated US$583 million, up 12.5%.

Mrs Le Thi Kim Phuong, the Director of the municipal Department of Industry and Trade, said that Da Nang’s exports saw a strong rebound amid the coronavirus crisis as economies globally reopened. There are currently 500 exporters in Da Nang, over 100 of whom represent the largest proportion of the city’s total export value. In particular, 20 of the city’s largest exporters generate annually US$ more than 10 million in exports.

Flourishing exports have also led to an increase in the city’s budget. Data published by the Da Nang Customs Department shows that taxes collected on imports and exports surpassed the year’s target by 31.85% to hit VND 4,680 billion.

Despite being heavily affected by the complex development of the COVID-19 pandemic, Da Nang’s exports flourished in 2021. Picture is taken at the Tien Sa Port. Photo: P.V

Focusing resources on boosting trade promotion in 2022

Mrs Le Thi Kim Phuong said that Da Nang achieved significant breakthrough in exports in 2021, building momentum for 2022. In the context of COVID-19, the city’s exports to such countries as the US, Japan, Europe, Korea, and China still enjoyed strong growth. Notably, the top export commodities of Da Nang, including textiles, garments, seafoods, handicrafts, wood products, and finished rubber products, achieved double-digit growth. Stable production of Da Nang businesses and their quick recovery from the coronavirus crisis have won trust of their domestic and foreign customers.

In 2022, in its efforts to promote export activities, the municipal Department of Industry and Trade will focus on continuing to organize online trade promotion, seeking to unlock the great potential of Da Nang business, and supporting them to utilize free trade agreements (FTAs), as well as helping them to grow sustainably by exporting.

Reporting by KHANH HOA – translating by H.L