Vietnam's trade with China is set to surpass $200 billion this year, driven by strong growth in the first half of 2024. According to the Ministry of Industry and Trade (MoIT), bilateral trade has rebounded significantly, reaching nearly $95 billion in the first two quarters alone.
The surge in demand from key markets has led to a notable increase in Vietnam's imports of machinery and materials for export production. Imports from China totaled $67 billion, marking a nearly 35% increase compared to the previous year. Meanwhile, exports to China reached $27.8 billion, up 5.3% year-on-year.
China continues to play a crucial role as a major supplier of materials to Vietnam, contributing approximately 37.6% of the country's total import value over the past six months, according to the MoIT.
With this strong momentum in the first half of the year, experts predict that bilateral trade could reach approximately $200 billion by the end of 2024, potentially exceeding expectations if current growth rates persist.
In 2023, Vietnam-China trade amounted to $171.9 billion, with Vietnam exporting $61.2 billion (a 5.6% increase) and importing $110.6 billion (a 6.6% decrease). These figures represented 17.3% and 33.9% of Vietnam's total exports and imports, respectively.
Vietnamese businesses have leveraged the benefits of free trade agreements with China, such as the ASEAN-China Free Trade Area (ACFTA) and the Regional Comprehensive Economic Partnership (RCEP), utilizing preferential tariffs to bolster trade volumes.
Industry analysts believe there is ample opportunity for Vietnam and China to further expand their trade relations moving forward.
Looking ahead, the 2024 China International Fair for Trade In Services (CIFTIS) scheduled for September in Beijing will focus on sectors including energy, telecommunications, finance, education, culture, tourism, and supply chain. The event is anticipated to foster stronger partnerships between Vietnamese and Chinese businesses.
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