Business activities in Vietnam was evaluated by statistics that the economy has grown over 5% per cent each year (source: World Bank, GDP growth, annual %, Dec 2014), the growth domestic product (GDP) per capita of US$1911 in 2013 (source: World Bank, GDP per capita, Dec 2014) and the poverty rate decreased to 17 % in 2012 (source: World Bank, WDI, Poverty rates at national poverty lines, Dec 2014).
Economic reforms concluded in WTO accession in 2007 has further boosted international trade and foreign investment.
More specially, Vietnamese export figures have been growing at double-digit rates for several years, reaching US$132 billion in 2013. Trade flows from Australia to Vietnam started decreasing in 2012 for the first time in 10 years, from US$2.1 billion in 2011 to US$1.6 billion in 2013. Goods worth US$3.5 billion were imported into Australia from Vietnam in 2013 (source: UN, Comtrade Database, Dec 2014).
In 2014, imports rose 12.1%, reaching US$148 billion, most of which are materials and machinery needed for export. China continued to be Vietnam's largest import partner, with US$43.7 billion. The ASEAN is second with US$23.1 billion, South Korea is third, Japan is fourth and the EU is the fifth largest import partner of Vietnam.
Australia ranks in the top 15 of Vietnam’s most important trade partners in both directions of trade (source: UN, Comtrade Database, Dec 2014). Australia’s main exports to Vietnam are timber products, plastic materials, oil and steel scraps and Australia mainly imports crude oil, telephones and components, seafood and cashew nuts from Vietnam (source: The Voice of Vietnam, Vietnam posts record trade surplus with Australia, 31 Aug 2014).
The country was reclassified by the World Bank as a lower middle-income country in 2009. However, labour productivity is improving as the economy moves increasingly from agriculture and industry into services. The country’s score from 2013 to 2014 in the World Economic Forum, Global Competitiveness Index has increased markedly, ranking Vietnam as the 68th most competitive economy, out of 144 in its latest edition. However, inadequate infrastructure, macroeconomic instability, skills shortages, restricted land ownership rights, a troubled banking sector, corruption and dominant state owned enterprises (SOE) are challenges that still need to be tackled.
For further information about business activities in Vietnam, please contact us via support@vietnamvisavoa.com or hotline: +84941279289
