Driven by Da Nang’s top export products, the city’s exports recorded impressive growth over the past 9 months, especially in the third quarter of 2022.

Photo: Quynh Trang, Graphics: Mai Anh

Steady growth in exports of goods and services

Data provided by the Da Nang Statistics Department showed that overall value of exports and imports in Da Nang amounted to an estimated USD 343 million in September, up 0.3% from the previous month, and up 41.8% from the same period a year earlier, bringing the total value to an estimated USD 2,743.3 million in the first 9 months of 2022, up 21.6% from a year ago. In which, exports rose 45% from a year ago in September and 0.5% on a monthly basis, to an estimated USD 202 million, bringing the total value to an estimated USD 1,629.3, up 27.3% from the same period a year earlier.

Da Nang reported a total trade surplus of USD 515.3 million over the past 9 months, up 69.9% from the same period last year, sending optimistic signal to the city. Therefore, Da Nang’s economy has showed signs of bouncing back from the COVID-19 crisis in the context of instability and uncertainty in the world economy.

According to the Municipal Department of Industry and Trade, between January and September, 2022, the value of the city’s top export products was higher than in the same period in 2021. The value of an estimated USD 430 million generated from textiles and garments, up 23.2% over the same period in 2021, USD 191.5 million from seafood products, up 22.8%, USD17.9 million from handicrafts and wood products, up 22.6%, USD 79.4 million from children's toys, up 22.7%, USD 89.5 million from finished rubber, up 25.5%, USD 544 million from motors, electrical equipment and electronic products, up 23.4%.

Chairman of the Board of Directors of the Hoa Tho Textile and Garment Joint Stock Corporation Nguyen Duc Tri said that the corporation generated VND 3,974 billion in revenue in 9 months of 2022 , up 49% over the same period in 2021, achieving the 95% target for 2022. The company earned USD 217.6 million from exports, increased by 35% year on year, achieving the 95% target for 2022. The Corporation’s positive outcomes were partly attributed to effective management of the COVID-19 pandemic across the country and the rebound of the Corporation’s key consumer markets.

Besides, the Danapha Pharmaceutical Joint Stock Company’s products had exported to 20 countries worldwide as of September 2022, and the company earned USD 3.3 million from exports, achieving nearly 90% target for 2022.

Efforts in the remaining months of the year

Mrs Le Thi Kim Phuong, the Director of the Municipal Department of Industry and Trade said that many businesses faced hiring challenges in the first quarter of 2022 due to COVID-19, thereby greatly affecting their production. However, they enjoyed stability in manufacturing operations in the second and third quarters of the year, and they have accelerated their production to ensure on-time deliveries. Some large businesses which specialise in textiles and garments, seafood and rubber products posted high export growth of over 25% in 9 months of 2022. However, global economic fluctuations will pose future challenges to Da Nang exporters from late 2022 through 2023. Included are increase in input material and production costs, and inflation in some of the largest economies in the world which may result in a decrease in demand.

Mr. Nguyen Duc Tri said the Hoa Tho Textile and Garment Joint Stock Corporation is exerting great efforts to prepare for digital transformation to boost its growth in the coming time.

In its efforts to support Da Nang exporters, the municipal government has issued a number of mechanisms and policies with a focus on conducting industrial promotion programs, developing skilled workers, helping local businesses build a brand, developing supporting industries, buidling a roadmap for the city’s implementation of international integration, conducting trade promotion programs, promoting the development of e-commerce, and more.

According to leaders of Viet Nam’s industry and trade sector, the United States remains the most attractive market for Vietnamese exporters. In addition, other major export markets for Vietnamese products include China, European countries, the Association of Southeast Asian Nations, or ASEAN, South Korea and Japan. Viet Nam is currently the US ‘s 10^th largest goods trading partner while the US is Da Nang’s second largest export market after Japan. Viet Nam’s top export products to the US include agricultural products, seafood, furniture, and home décor products. However, the United States is a fastidious market for Vietnamese exporters with high requirements on food safety and hygiene, technical barriers in terms of labour and environment, and more. Hence, Da Nang exporters must be well prepared conquer this fastidious market.

Reporting by QUYNH TRANG – Translating by H.L