EVFTA set to boost Vietnamese exports to Austrian market
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Vietnam's key export commodities to Austria are phones and components
Two-way trade turnover between Vietnam and Austria has recorded a steady increase over the past decade, climbing from US$256.8 million in 2009 to US$267.4 million in 2010, before skyrocketing to US$1.95 billion in 2013 and US$3.6 billion in 2019.
Last year, due to the negative impact of the COVID-19 pandemic, mutual trade value suffered a decrease to US$3.2 billion, although it still witnessed a 12-fold increase compared to 10 years previously. Indeed, Vietnam has continuously enjoyed a trade surplus with Austria since 2010.
Data from the International Trade Center (ITC) show Austria’s imports from Vietnam recorded a surge of 184% to reach nearly US$3.2 billion last year compared to 2019, making it the highest growth rate among Austria's top 50 import markets. In contrast, Austria's imports of goods from both China and the United States plummeted during the same period.
During the first quarter of this year, two-way trade between Vietnam and Austria saw many positive signs, with the import-export turnover grossing US$924.9 million, an increase of 3.2% compared to the same period from last year. Vietnam continued to enjoy a trade surplus of US$766 million, up 0.3% against the figure recorded in the first quarter of 2020.
Throughout the five-month period, Vietnamese export and import turnover to Austria hit US$1.2 billion and US$133.8 million, respectively, thereby maintaining a trade surplus with the demanding market.
According to the European and American Department under the Ministry of Industry and Trade, these figures are relatively low compared to the export growth rate of 15% to the EU market. This can be attributed to inadequacies in terms of the export structure of Vietnamese commodities to the Austrian market due to the impact of the pandemic.
Along with increasing the market share for advantageous Vietnamese products such as timber and wooden items, local firms are advised to strive to boost key agricultural products such as coffee or seafood to the market to take full advantage of tariff commitments set out within the EVFTA trade deal.
