Wood exports record double-digit export growth
According to statistics from General Department of Customs, in June 2024, Vietnam's wood and wood product exports reached 1.25 billion USD, down 1.3% compared to May 2024 but up 13.3% compared to June 2023. Of which, wood product export reached 853.9 million USD, up 2.3% compared to May 2023 and up 12.7% compared to June 2023.
In the first 6 months of 2024, Vietnam's wood and wood product exports reached 7.5 billion USD, up 23.1% over the same period in 2023. Of which, wood product export reached 5.1 billion USD, up 22.2% over the same period in 2023. With demand recovering from major export markets, Vietnam's wood and wood product exports recorded positive growth in the first half of 2024. Of which, wood and wood products were exported the most to the US market, reaching 4.1 billion USD, up 24.5% over the same period in 2023. The next is Chinese market reaching 1.05 billion USD, up 49.3%; Japan reaching 796.8 million USD, down 2.2%; South Korea reaching 389.2 million USD, down 1.4%...
Mr. Nguyen Chanh Phuong - Vice President of Handicraft and Wood Processing Association of Ho Chi Minh City (HAWA) - said that compared to the same period last year, export growth rate in the first half of this year was about 22 - 25%. Many enterprises have orders until the third quarter or even the fourth quarter of 2024. In addition to traditional markets such as the United States and China, new markets such as India, the Middle East, etc. that have been exploited by enterprises recently have also shown positive signs.
Notably, recently, the US Department of Commerce (DOC) issued final conclusion of investigation into scope of products and anti-dumping/anti-subsidy tax evasion on wooden cabinets imported from Vietnam.
Specifically, regarding investigation into scope of products, the US Department of Commerce maintained preliminary conclusion adjusted in September 2023. Accordingly, 3 cases of wooden cabinets imported from Vietnam with components manufactured in China are determined to be within scope of current tax order against China, including:
Products with door components, drawer panels and wooden frames manufactured in China, then assembled in Vietnam and combined with cabinet panels and drawer boxes manufactured in Vietnam
Products with doors, drawer panels and wooden frames that are semi-finished products manufactured in China, then further processed in Vietnam and combined with cabinet panels and drawer boxes manufactured in Vietnam.
Products with semi-finished details of doors, drawer panels and wooden frames (including belts, pillars, boards) manufactured in China, then further processed in Vietnam and combined with cabinet panels and drawer boxes manufactured in Vietnam.
DOC will send a notice to the US Customs and Border Protection (CBP) instructing application of Certificate Regime to wooden cabinets imported from Vietnam. This mechanism allows Vietnamese wooden cabinet exporting enterprises that do not fall into the 3 cases mentioned above to be exempted from paying anti-dumping/countervailing duties when exporting to the US.
The US is currently the largest market, accounting for 52 - 55% of Vietnam's wood export value. The DOC's announcement of final conclusions on investigation of anti-dumping/countervailing duty evasion on wooden cabinets imported from Vietnam is considered good news for wood industry. The issue now is that it is important for Vietnamese wood companies to keep up with the latest trends in the US market so that Vietnamese wooden furniture can meet consumer preferences. Overcoming challenges, exports aim for 15.2 billion USD
However, in the second half of 2024, there are still many challenges for wood and wood product exports. Geopolitical conflicts continue to intensify, pushing up freight rates. Moreover, wood and wood products exported to major markets such as the United States and EU markets continue to face pressures from trade defense investigations, technical barriers related to environment, sustainable development and green transformation.
In 2024, wood industry aims to export 15.2 billion USD, of which wood and wood products are over 14.2 billion USD, an increase of 6% compared to 2023. Global economy and trade are on the path to recovery and better growth in 2025. According to WTO (April 2024), the world's merchandise trade volume will grow by 2.6% in 2024 and 3.3% in 2025. Import-Export Department (Ministry of Industry and Trade) commented that, according to annual cycle, trend of increasing imports of wood and wood products, especially wooden furniture groups in major markets, often increases sharply in the last 3 months of the year, when housing market enters completion and need to purchase and renovate interior equipment to welcome the new year. With market bottlenecks cleared, along with current growth rate, export prospects of wood and wood products are forecast to continue to maintain a double-digit growth rate.
Experts also commented that in 2023, wood and forestry product exports will only reach 14.47 billion USD, down 15.4% compared to 2022. 2024 is not yet the "golden time" of the wood industry. However, Vietnamese wood products "make their mark" from input materials for processing and construction industries to highly finished products. Free Trade Agreements ratified by Vietnam continue to be a "push", a favorable opportunity for wood industry to go far. Opportunity to expand and develop market share is considered quite large, so export destination of 15.2 billion USD for the wood industry is not too difficult.

Source: Vitic/ congthuong.vn