Dak Nong businesses respond to dollar fluctuations

Flexible to USD fluctuations

Since the first months of 2025, production and import-export activities of enterprises in Dak Nong have become active again. However, the continuously increasing USD exchange rate has created a lot of pressure on costs, cash flow and the ability to maintain orders of units.

Producing durian for export at Yen Nhi Trading and Service Company Limited (Tuy Duc)

Yen Nhi Trading and Service Company Limited, Tuy Duc District, specializes in processing passion fruit and durian for export to China and some Southeast Asian countries. Current market fluctuations are having indirect impacts on the company's production and business situation.

Mr. Vu Dinh Chien, representative of the Company, said: "Due to the impact of US tariff policy as well as fluctuations in the USD exchange rate, the company's export output has decreased by 10% compared to the same period last year."

To prevent risks from the market, the company is continuing to invest in automatic production lines to increase labor productivity. The company expects the new line to help reduce production costs, reduce product prices, and increase competitiveness in the market.

Passion fruit production at Long Hue Investment Joint Stock Company (Tuy Duc)

As a business participating in exporting agricultural products to other countries for many years, Long Hue Investment Joint Stock Company, Tuy Duc district, is under a lot of pressure when the USD exchange rate increases.

Mr. Nguyen Chi Long, Director of the Company, said that the increase in USD exchange rate is naturally a good thing for export enterprises.

However, this will also cause foreign partners to reduce their imports from Vietnam. Orders from export enterprises in Dak Nong will also decrease.

The benefits from the USD exchange rate will be limited. The company is currently looking to invest in stabilizing raw material sources and focusing on the domestic market. This will help reduce the major impacts from the export market during this period.

According to Mr. Long, the company is currently promoting the association of planting 200 - 300 hectares of passion fruit according to VietGAP standards. Each year, this passion fruit area supplies the company's factory with about 6,000 tons of raw passion fruit, meeting 70 - 80% of on-site production output.

In the first quarter of 2025, Dak Nong's export turnover reached 253.9 million USD.

Along with that, the company is stepping up its search for partners to consume products in the domestic market to maintain a stable production chain and ensure jobs for workers.

In the first quarter of 2025, the company exported about 1,000 tons of passion fruit, with the selling price double that of last year; of which, the domestic market accounts for 30 - 40%.

“Cutting operating costs, optimizing product production and digital transformation to improve management efficiency are measures the company is promoting in the context of current fluctuations in USD exchange rates,” Mr. Long shared.

According to the Dak Nong Department of Industry and Trade, in the first quarter of 2025, the province's total export turnover reached 253.9 million USD, up 12.7% over the same period last year, reaching 22.9% of the plan. The province's import turnover reached 59.6 million USD, down 15.1% over the same period in 2024 and reaching 11.9% of the plan.

Prevent risks

The escalating USD exchange rate has forced businesses in Dak Nong to adjust their production and business plans and seek new markets to stabilize operations.

Experts say that the increase in exchange rate is something that businesses cannot intervene in, but they need to be more alert and flexible to limit negative effects.

Dak Nong export enterprises are looking to expand export markets to areas with stable currencies.

Faced with fluctuations in the USD exchange rate, businesses need to closely monitor developments to promptly adjust their business plans. Businesses need to choose import-export markets with favorable payment currencies, gradually reducing dependence on the USD.

In addition, expanding export markets to regions with stable currencies or stable exchange rate policies for Vietnam is a way to reduce dependence on the USD.

A recommended direction is to expand export markets to areas with stable currencies or stable exchange rate policies with Vietnam such as Japan, China, etc. Enterprises use risk prevention measures to minimize unusual impacts on profits.

Dak Nong is strengthening trade promotion and supporting businesses to find alternative export markets.

Dak Nong is strengthening trade promotion and international e-commerce, supporting businesses to find alternative export markets.

The province encourages businesses to optimize supply chains, build domestic supply chains and source raw materials from countries not affected by high tariffs to reduce production costs.

In fact, in April 2025, the USD price at commercial banks exceeded 26,000 VND/1 USD in the selling direction. Although there was a slight adjustment on April 11, 2025 (to 25,920 VND/1 USD), the USD exchange rate remained high.

According to economic experts, the USD exchange rate is forecast to increase by about 10% this year. The reason is the impact of new US tax policies.

The increase in USD exchange rate will make it difficult for import enterprises to make financial plans because they cannot accurately forecast production costs, specific product selling prices, etc. This will affect the cash flow of USD loans at banks.

An economic expert analyzed that the complicated and unpredictable exchange rate movements were evident after US President Donald Trump announced the tax. Especially when trade partners retaliate, the financial and monetary markets will certainly have more complicated developments.

According to the Dak Nong Statistics Office, the USD price index in March 2025 increased by 0.98% compared to the previous month, increased by 3.56% compared to the same period last year, increased by 1.12% compared to December 2024 and increased by 9.07% compared to the base period of 2019. On average, in the first quarter of 2025, the USD price increased by 3.59% compared to the same period.

Source: https://baodaknong.vn/doanh-nghiep-dak-nong-ung-pho-voi-bien-dong-cua-do-la-250054.html