According to the assessment of the Da Nang Statistics Office, import and export activities in Da Nang in the first 8 months of 2024 recorded positive changes with the total import and export turnover of goods estimated to increase by 9.3% compared to the same period in 2023.

Production activities at the Thuan Phuoc Seafood and Trading JSC. Photo: M.Q

Expansion of export markets

The project on raising the annual capacity of the Da Nang Rubber JSC (DRC)’s radial truck tyre manufacturing factory to 1 million tyre is expected to operate at maximum capacity in October 2024.

The time from the project commencement to now is 18 months and the actual investment level is about VND 700 billion, accounting for 75% of the estimate of VND 917 billion in total.

Mr. Le Hoang Khanh Nhut, General Director of DRC, said that in 2024, the planned production and consumption output of radial tires is 900,000, but the capacity can be up to 1.2 million tires/year when the project is completed.

In the first 8 months of 2024, DRC earned VND 3,250 billion in revenue, up about 18% over the same period in 2023, of which export market revenue was approximately US$ 100 million, reaching nearly 70% of the annual plan, from key markets such as the U.S., Brazil and some Asian countries.

Notably, the American market accounted for more than 90%. Between January and August, revenue in the US market increased by about 10-15% against 2023. The positive results were mainly attributed to DRC’s great efforts in promoting investment in new markets instead of relying on traditional markets. To further accelerate exports, from now until the end of 2024, DRC will carry out investment promotion activities in the European market.

Faced with increasingly stringent requirements on product quality and processes from markets such as Japan, Korea, the U.S. and Europe, in August 2022, the Central Seafood Import-Export JSC purchased an additional 6-size camera-sized sorting machine to classify HOSO and HLSO whiteleg shrimps into 6 different shrimp size combinations, along with other machines, at a total investment cost of VND 6.94 billion.

In addition to the company's investment capital, in mid-July, the company received VND 890 million in financial support from the city budget to innovate technology for this project. Up to now, the machinery system has been operating stably, creating products that meet the requirements of size and quality for partners. This contributed to ensuring the company's revenue in the second quarter of 2024 will rise by about 6% compared to that in the first quarter of 2024.

Meanwhile, the Thuan Phuoc Seafood and Trading JSC continues to maintain stable production with the number of orders signed until the end of 2024. In the first half of the year, the company's revenue reached nearly VND 1,510 billion, an increase of VND 331.5 billion, equivalent to an increase of more than 28% over the same period in 2023.

Mr. Tran Van Linh, Chairman of the Board of Directors of the company, said that shrimp exports to markets showed signs of recovery because the inventory of importers had decreased, so import demand began to return, especially from the second quarter of 2024.

Workers at the Da Nang Rubber JSC

Continue to support businesses

According to the Da Nang Statistics Office, during the 8-month period, the city’s total import and export turnover of goods stood at US$ 2,148.2 million, up 9.3% over the same period in 2023. Of which, the goods export turnover generated US$ 1,269.5 million, up 3%, whilst the goods import turnover was estimated at US$ 878.7 million, up 20%.

The city’s trade surplus hit nearly US$ 390.9 million during January - August. In particular, some of the city's main export items such as engines, electrical equipment and electronic products earned US$ 432 million from exports, up 3.3% over the same period in 2023; textiles and garments US$ 336 million, up 2%; aquatic products US$ 149 million, up 3.1%; and children's toys US$ 65.1 million, approximately the same period.

To support import-export enterprises, Mr. Quach Dang Hoa, Director of the municipal Customs Department, informed that his agency will continue to strengthen solutions to encourage enterprises to carry out import-export procedures through promoting administrative reform and digital transformation, notably implementing the programme "Piloting support and encouragement for enterprises to participate in export and import activities in Da Nang".

Since its implementation, member enterprises have been supported with the contents in accordance with the programme's commitments, and there have been no cases of enterprises being sanctioned for administrative violations.

By mid-July 2024, the total number of enterprises carrying out customs procedures at the Da Nang Customs Department was 2,450, a rise of 17% compared to 2023; of which, there were more than 1,630 enterprises outside the city, accounting for about 66%.

Mr. Nguyen Van Tru, Deputy Director of the municipal Department of Industry and Trade, said that the export turnover of domestic enterprises in the city was estimated at US$78 million in August 2024, and US$ 576 million as accumulated in the first eight months of 2024. Meanwhile, the export turnover of FDI enterprises hit an estimate of US$ 89 million in August 2024, and US$ 690.5 million as accumulated in the first 8 months of 2024.

During the 8-month period, the city's industry and trade sector has organised many activities to support businesses, including a conference on connecting trade and promoting exports in the city in 2024. During the event, 57 businesses registered their needs for supplying and consuming goods and services. Also, 9 pairs of domestic and foreign businesses signed cooperation agreements in exporting rice and ginseng; providing logistics services and consuming products (rice, NGOON young grapefruit, ENSO deodorant seeds, ginseng, sesame crackers, coconut cakes...).

From now until the end of 2024, the department will continue to propose policies to support the development of logistics services, creating a favourable foundation to attract import and export goods circulating in the city, and effectively performing its role as the focal agency implementing free trade agreements (CPTPP, EVFTA, UKVFTA, RCEP...).

Reporting by MAI QUE - Translating by M.DUNG