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Vietnamese merchandise exports to the European country soared by 28% to over US$308.3 million in January 2021 compared to same period from last year
Simultaneously, Vietnamese imports from France surged by 92% to US$175 million, with the country recording a trade surplus of US$133.3 million.
Amid numerous challenges posed by the impact of the novel coronavirus (COVID-19) pandemic, some goods such as transportation and spare parts, leather and footwear, and rice witnessed robust growth rate of 222%, 160%, and 110%, respectively. These stellar increases can largely be attributed to tariff reduction commitments which were implemented following the enforcement of the EU-Vietnam Free Trade Agreement (EVFTA).
Despite limited export scale, fruit and vegetable exports also recorded an increase of 17% to over US$3.5 million from last year’s corresponding period.
With France representing the second largest export market of Vietnamese fruit in the EU, there is plenty of room to boost the export of these products to the market due to substantial tariff reductions through the EVFTA.
According to data compiled by the Vietnamese Ministry of Industry and Trade, France has consistently been one of Vietnam’s leading trade partners in the EU over recent years.
Most notably, the European country makes up the fourth largest Vietnamese export market in the EU, behind the Netherlands, Germany, and Austria, thereby accounting for approximately 10% of the total exports to the bloc.
Yet, the proportion of Vietnamese goods exported to the market remains modest, representing a mere 1.1% of France’s total imports.
Local merchandise exports to France are forecast to grow at the end of the first quarter due to the COVID-19 pandemic being brought under control and lockdowns subsequently being lifted.
