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According to calculations based on preliminary statistics from the General Department of Vietnam Customs, the export turnover of wood and wooden products in July 2024 reached $1.38 billion, a 10.7% increase compared to June 2024, and a 23.2% increase compared to July 2023.
For the first seven months of 2024, the export turnover of this commodity group reached nearly $8.89 billion, up 23.5% over the same period in 2023. This makes wood and wooden products the sixth largest export commodity group in Vietnam.
The main export markets for Vietnam’s wood and wooden products are the United States, which accounted for nearly 55% of the total export turnover of this commodity group in the first seven months, reaching over $4.88 billion, an increase of 26% over the same period last year. In July 2024 alone, exports to this market reached $814 million, up 33.6% compared to July 2023.
In fact, if the United States imports 10 chairs, four of them are “made in Vietnam.” The warming up of the US real estate market is a very positive signal for the furniture market. According to the Institute for Supply Management (ISM), furniture is forecasted to be the sector that will see improvement in both revenue and production volume. According to the ISM survey, furniture is also the sector expected to have the largest increase in capital spending in 2024.
The second largest market is China, with a turnover of $1.2 billion, up 39% over the same period. In July alone, China spent $159 million on wood and wooden product imports from Vietnam, a decrease of 7.6% compared to the same period.
Japan is Vietnam’s third largest export market, reaching $961 million, up 1.5% over the same period in 2023. In July 2024, Vietnam earned $163 million from exporting wood and wooden products to Japan, up 24% compared to the same period last year.
In addition, exports to potential markets such as Canada, Australia, Spain, and Poland also saw positive growth.
According to the Vietnam Timber and Forest Product Association (Vifores), Vietnam’s wood industry is currently ranked fifth in the world in terms of total export turnover. Additionally, if we only consider high-value-added wood products, such as indoor and outdoor furniture, Vietnam’s wood export industry is ranked second in the world, only after China.
The Import-Export Department (Ministry of Industry and Trade) assessed that with the current growth rate, the export of wood and wooden products is expected to continue to maintain a double-digit growth rate.
The prospects for this potential are supported by the annual cycle, as imports of wood and wooden products tend to increase, especially for wooden furniture in large markets, which usually increase significantly in the last three months of the year. This is also the time when the housing market enters the completion phase, and there is a demand for renovation and new furniture to welcome the new year.
In 2024, the forestry industry sets the goal of exporting $17.5 billion worth of wood and wood products. If this goal is achieved, the export turnover of this commodity will increase by 21% compared to 2023.
