Enhancing internal strength to adapt to export market

Currently, the export business community is striving to develop strategic plans and promptly respond to the continuous fluctuations of the global market. Enterprises are proactively implementing various solutions to take advantage of the 90-day tariff extension from the United States, aiming at maintaining stability and growing further.

Proactive solutions

Despite encountering some difficulties in April 2025, due to the the U.S. reciprocal tariff policy, Binh Duong province has maintained a trade surplus, with US$3.57 billion in trade balance in the first four months of the year. Specifically, the total import-export turnover was estimated at US$19.81 billion, with export turnover reaching US$11.69 billion and import value at US$8.12 billion. According to provincial Customs Department, Binh Duong ranks fourth nationwide in export turnover and sixth in import turnover.

With the U.S. tariff policy, industries’ associations and businesses in the province have been actively monitoring development and working together to find responsive solutions. Nguyen Quang Vu, Chairman of Binh Duong provincial Leather and Footwear Association stated that businesses are making significant efforts to diversify their global partnerships, instead of relying solely on the U.S. market. They are also targeting smaller-scale customers and seeking cooperation with supporting industry partners, especially those providing raw materials like rubber for shoe soles and component parts. Therefore, the association has proposed the development of specialized trade markets where businesses can regularly showcase and sell their products, instead of depending on occasional large trade fairs. More frequent inter-provincial or regional trade connection events are also needed.

Bui Nhu Viet, Vice Chairman of Binh Duong Furniture Association (BIFA) shared that tariff-related policies from foreign markets pose challenges for businesses. To overcome these difficulties, the wood processing industry is focusing on improving products’ quality and enhancing linkages between businesses and industries’ associations across localities. These measures will help Vietnamese wood products meet increasingly stringent export standards and improve the brand image of Vietnamese wood in global markets.

“BIFA will further collaborate in training and developing workforce, enhancing technical skills and work capacity in the wood processing industry. This is one of the solutions aimed at helping businesses address the shortage of skilled laborers for high-tech positions such as design and operation of modern machinery in the wood processing industry, thereby improving productivity and product quality. BIFA and its member enterprises will also implement a project on engineered wood, identifying sustainable development trends in the wood industry and the market potential for engineered wood products in the future”, shared Mr. Viet.

At the April 2025 trade promotion conference with the Vietnam Trade Office network abroad, Do Ngoc Hung, Commercial Counselor and Head of the Vietnam Trade Office in the United States stated that in order to proactively respond to challenges posed by the trade war and the US Reciprocal Tax Policy, Vietnamese enterprises need to improve products’ quality to enhance their competitiveness in the U.S. market. Particularly, diversifying supply chains and promoting exports with high intellectual content and added value will help strengthen the economy’s resilience against external shocks.

Establishing linkages

Nguyen Liem, Chairman of Binh Duong Furniture Association (BIFA) emphasized that seeking and diversifying new export markets poses new challenges for businesses. This requires trade promotion programs to be expanded and upgraded, accompanied by the State’s strategic policies to support more effective export and import operations. Additionally, for sustainable growth and development, Binh Duong’s wood businesses must proactively leverage support from trade promotion agencies to explore new markets.

“In addition to traditional trade promotion activities through domestic and international exhibitions, wood businesses are now boosting online sales promotion via websites and especially through cross-border e-commerce platforms such as Amazon, Alibaba and Wayfair for market expansion”, Mr. Liem noted.

According to Phan Thi Khanh Duyen, Deputy Director of provincial Department of Industry and Trade, along with regular solutions such as investing in advanced technologies, adopting green production processes and improving product quality, most economic experts agree that relevant authorities and businesses must promote trade more effectively by diversifying export markets, essentially not putting all eggs in one basket. First and foremost, we need to fully leverage the 17 Free Trade Agreements (FTAs) that Vietnam has signed and participated in, in order to boost both the volume and value of exports.

Provincial Department of Industry and Trade has also proactively advised provincial People’s Committee to coordinate with ministries, agencies and localities to build and connect new supply chains, especially in potential sectors such as wood processing, textiles, footwear and electronics. To support businesses in coping with the U.S. reciprocal tariff, the Department—acting as the standing body of provincial Rapid Response Task Force has continuously updated information from industries’ associations and provincial Business Federation to provide timely advice and support when businesses face challenges, due to import tariff policies.

Reported by Tieu My-Anh Tuan-Translated by Kim Tin