To help Vietnamese goods 'take root' in the US market

The United States has become Vietnam's first export market to reach the $100 billion mark. There is still enormous potential for exports to this market.

Many positive developments for Vietnamese products in the US market.

According to information from the Plant Protection Department of the Ministry of Agriculture and Rural Development, Vietnam and the United States are negotiating phytosanitary measures for fresh passion fruit. It is expected that, once this process is completed, Vietnam will be able to export more passion fruit to the US market by 2025.

Previously, in August 2024, the Ministry of Agriculture and Rural Development announced that it had completed the technical negotiation process and was moving on to legal procedures to allow the import of Vietnamese passion fruit into the US market. The Vietnam Fruit and Vegetable Association forecasts that the export value of passion fruit to the US will reach 50-100 million USD annually. Currently, Vietnam exports eight types of fresh fruit to the US market, including: dragon fruit, mango, longan, lychee, rambutan, star apple, pomelo, and coconut.

Passion fruit is expected to be exported to the United States in 2025 (Illustrative image: Dam Ha District website)

This good news regarding passion fruit is expected to extend the export success to the US market. According to the latest statistics from the General Department of Customs, in the first 11 months of 2024, the United States continued to maintain its position as Vietnam's number one export market with $108.94 billion, an increase of 24% (equivalent to an increase of $21.08 billion) compared to the same period last year and accounting for 29.4% of the country's total export turnover. Notably, the United States is also the only export market to date where Vietnam has reached the hundred-billion-dollar mark.

The US market favors most imported products from Vietnam. Specifically for agricultural, forestry, and aquatic products, the US currently holds a 21.7% market share of Vietnam's total export value of these products after 11 months. Compared to the same period in 2023, the export value to the US market increased by 24.6%. The Vietnamese Trade Office in the US reports that over the past three years, the value of processed fruit and vegetable exports from Vietnam to this market has increased by 30-45% annually. In contrast, the growth rate for this product category in the EU averages 10-20% per year. Therefore, the US is truly a potential market for Vietnamese fruits and vegetables.

In addition, the United States also imports many other strong product groups from Vietnam such as wood products, textiles, and footwear... The advantage of Vietnamese goods is their good quality, competitive prices, and ability to meet the needs of American consumers.

Ready to face trade protection barriers

Besides the high increase in trade volume, the number of trade defense cases from the United States against Vietnamese exports is also on the rise. According to the Trade Defense Department of the Ministry of Industry and Trade , the United States is the largest trade defense investigator in the world, and also the country that conducts the most trade defense investigations against Vietnam. In the first 11 months of 2024 alone, the United States initiated 11 new investigations against Vietnam.

The products under investigation by the United States are also becoming increasingly diverse. From items with very high export value such as solar panels (export value of $4.2 billion) and wooden cabinets ($2.7 billion) to very low-value items such as fiberglass molded trays ($50 million) or paper plates ($9 million), all have become targets of US trade defense investigations.

Through its work in assisting businesses in handling US trade defense cases, the Trade Defense Department reports that the number of cases has been steadily increasing over the years. In 2024 alone, there have been 11 cases, nearly double the number from the previous year.

In particular, the United States is investigating a large number of anti-subsidy cases this year. This is a new precedent because previously they investigated very few such cases with Vietnam. From 2023 onwards, they only investigated 9 cases, but in 2024 alone there have been 5 cases.

At a recent online seminar on the topic "Trade Defense Issues with the US Market" organized by the Department of European and American Markets - Ministry of Industry and Trade, Mr. Le Thanh Hoa, Deputy Director of the Department of Processing Quality and Market Development, Ministry of Agriculture and Rural Development, stated that strict compliance with US regulations is a prerequisite, especially the transparency of production processes and the establishment of a clear traceability system.

Mr. Hoa emphasized that improving product quality is a key factor, especially for agricultural and food products. The application of modern technology in production not only helps improve business efficiency but also increases the added value of products, enhancing competitiveness in the international market.

Speaking with a reporter from the Industry and Trade Newspaper, Dr. Nguyen Minh Phong, an economic expert, said that the United States is a large market for Vietnam, but it is also a market that frequently applies trade defense measures.

Vietnamese businesses must pay special attention to the early warning systems implemented by the Ministry of Industry and Trade in recent times to minimize the risk of their goods being subjected to trade defense measures by this market. In addition, they should prepare the necessary documentation to address any defense measures from the other side.

“Authorities need to conduct thorough inspections to minimize the illegal transshipment of goods into Vietnam for the purpose of fraudulent origin declarations. This is one of the key factors in maintaining a strong foothold in the US market,” shared Dr. Nguyen Minh Phong.

Furthermore, improving product quality is a key factor, especially for agricultural and food products, ensuring compliance with international standards on food safety, plant protection, and environmental protection. The application of modern technology in production not only enhances business efficiency but also increases added value, improving competitiveness in the international market. Simultaneously, businesses need to cooperate closely with relevant authorities and industry associations to stay informed about changes in US trade policy and develop effective response strategies.

Source: https://congthuong.vn/de-hang-viet-bam-re-thi-truong-hoa-ky-365351.html