Export – import turnover of Vietnam chemical products
Vietnam’s chemicals and chemical products industry mainly depends on imported sources. China is both the largest export and import market of chemicals. Vietnam has a trade deficit of chemicals and chemical products. In 2010, the chemicals import turnover was 6.53 times higher than the export turnover. In 2019, this figure decreased to 3.29 times.
In general, the export and import turnover has increased over the years, except in 2012. The export and import turnover in 2012 decreased by approximately 14.1% and 2.2% compared to the previous year.
The export turnover sharply increased from USD 1.7 billion in 2016 to USD 2.9 billion in 2018 and reached USD 3.2 billion in 2019. The import turnover of chemicals has also experienced the same trend as for export. especially, it considerably increased from USD 7.00 billion in 2016 to USD 10.2 billion in 2018 and reached USD 10.5 billion in 2019.
In 2019, the export turnover of chemicals and chemicals products accounted for 23.3% of the total turnover. Meanwhile, in 2015, the export turnover only accounted for 20.4%.
The export-import turnover of Vietnam’s chemicals and chemical products from 2010 to 2019
Source: General Department of Customs
One of the biggest shortcomings of Vietnam’s chemicals and chemical products industry is the weak ability to supply raw materials, so they must be imported. For many years, chemicals have always been in the top 10 most imported products and China was our largest import market.
In fact, the technical and machinery system of our chemical industry is mostly at an average level compared to other countries in the region, leading to quite low productivity and added value. Meanwhile, in addition to imported chemicals and chemical products from China, most domestic enterprises in this industry are small and medium-sized, facing fierce competition with multinational corporations that have better financial potentials, qualifications, and technology.
Main chemicals and chemical products import and export markets of Vietnam.
According to the data of the General Department of Customs, for the first 6 months of 2020, the total imported chemicals and chemical products into Vietnam was estimated at USD 4,986,407,333. In which, the value of imported chemicals alone was USD 2,365,970,764, dropped by 7.5% compared to the same period last year. In contrast, the value of imported chemical products alone was USD 2,620,436,569, increasing by 3.5% year over year.
China led the import market when its imported chemicals and chemical products from Vietnam had a value of USD 1.58 billion, accounting for 32% of the import turnover. The second and third positions belonged to South Korea (USD 547 million), Taiwan (USD 520 million), both accounting for 11% of the import turnover.
Some other countries on the list were Japan (USD 462 million), Thailand (USD 306 million), and the US (USD 271 million).
Regarding the export side, Vietnam’s total exported chemicals and chemical products into international markets for the first 6 months of this year was estimated at USD 1,490,436,263. In which, the value of exported chemicals alone was USD 826,295,195, with a 15.0% year-over-year decrease. Meanwhile, the value of exported chemical products alone reached USD 664,141,068, increased by 6.0% compared to the same period last year.
China is also the largest market when the exported chemicals and chemical products into China were valued at USD 365 million, accounting for 28% of the export turnover. Japan and India are Vietnam’s second and third largest export markets with a value of USD 234 million and USD 136 million, respectively.
Some other countries of the top export markets are Taiwan (USD 76 million), Malaysia (USD 58 million), Campuchia (USD 54 million), Thailand (USD 50 million), Indonesia (USD 41 million), and the US (USD 36 million).