Changing the Export Model: A Lever to Boost Economic Resilience
Exports – a driving force, yet still with risks
Over the past decade, exports have been one of the key pillars of economic development and international integration. In 2024, exports contributed around 19% of GDP, with total import–export turnover reaching USD 786.1 billion and a trade surplus of approximately USD 23.8 billion. Export activities also involved about 88,700 enterprises and over 12.5 million workers directly. The national brand value – an indicator of the reputation of Vietnamese goods – also made progress, reaching USD 507 billion, ranking 32nd among 193 countries assessed.
However, alongside these remarkable achievements remain the limitations of the traditional export model: growth largely relies on expanding scale and increasing output, while added value remains low, with limited localization rates and underdeveloped supporting industries. Between 2015 and 2024, exports experienced many fluctuations, even recording negative growth in 2023.
Shifting direction: from quantity to quality & added value
To break free from the “quantity-driven export trap,” Vietnam needs to shift its focus toward:
- Strengthening domestic capacity in the production chain: reducing dependence on imported raw materials and components, and developing domestic supporting industries.
- Promoting research and technological innovation: enterprises must improve production capacity, management, and creativity to transform export products toward higher quality and stronger brands.
- Increasing localization rates: boosting connections between domestic enterprises and global supply chains.
- Shaping new strategies for policymakers and businesses: regulatory agencies need to adopt new approaches in trade policy, encouraging local enterprises to take on a central role.
Only through successful transformation can exports truly become a powerful lever, enabling the economy to achieve sustainable growth while enhancing Vietnam’s position in the global value chain.
Source of reference: https://vneconomy.vn/