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Vietnam's exports continue to decline, and companies exit the market at a record high

Recent economic data from the Bureau of Statistics of Vietnam show that a five-month consecutive decline in exports has set the country’s longest consecutive decline in 14 years.This trend means that for this Southeast Asian country, achieving the year-round economic growth goal is becoming more difficult.

During this year's 1 to July, due to the double impact of the global economic downturn and weak domestic demand, Vietnam's exports fell by 10.6 per cent, and imports fell by 17.1 per cent. Among them, Vietnam's highly dependent smartphone exports fell by up to 18.3 per cent compared to this year's 1 to July.

Not only that, the recent corporate market withdrawal has also caused concern. In the first half of this year, more than 100,000 companies withdrew from the market in Vietnam, a record high. At the same time, the number of newly registered companies has also declined, falling 0.5% in the first six months.

In the second quarter of 2023, there were approximately 1.7 million unemployed in Vietnam, an increase of 2.54 million in the previous quarter, with 21.78 million dismissed in the textile, leather, footwear, woodworking and electronics industries.

While the Vietnamese government acknowledges that it is difficult to its 6.5% growth target this year, the government still says it will take a number of measures to stimulate the economy.

Overall, facing the double pressure of global economic slowdown and weak domestic demand, the challenges for the Vietnamese economy remain enormous.In this context, the Vietnamese government and enterprises need to work harder to address the challenges and find new growth points to ensure the steady development of the economy.

Responding to the International Trade Relief Survey: the assistance and strategy of the Pudong International Chamber of Commerce in Shanghai
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