Woodwork industry makes efforts to surmount difficulties

Update: 09-12-2017 | 08:26:27

Despite difficulties, Binh Duong’s woodwork industry over the past 11 months reached more than US$4billion in export turnover, surpassing the year’s plan.

Biggest contribution to national woodwork industry

According to Vietnam Timber and Forest Product Association (VIFORES), Vietnam’s woodwork export turnover in 2017 is likely to reach US$7.8billion-US$8billion, surpassing US$7.3billion-US$7.5billion compared to the year’s plan. The country’s woodwork export into the US and China this year has obtained the highest growth. But, according to experts, this growth will switch to EU market in the next years.

Wood items being processed at Lam Viet Company

Nguyen Ton Quyen, General Secretary of VIFORES said that the country’s woodwork export turnover over the past 11 months achieved nearly US$7billion, up 10.5% against the same period of last year. Especially, Binh Duong’s woodwork export value accounted nearly 60% of the country’s total export value in this field.

According to Huynh Quang Thanh, Chairman of Binh Duong Furniture Association (BIFA), the province’s main export markets are still the U.S, China, Japan, EU and South Korea. Among them, the U.S holds the biggest market share with 42.7%, followed by China with 14.1%, Japan with 13.7%. This year, the province’s woodwork export has gained a strong growth into the U.S (up18.8%), South Korea (up 14.2%), Canada (up 13.4%).

Advantages to be tapped well

According to Mr.Thanh, in 2018, domestic woodwork industry will enjoy advantages when the EU-Vietnam Free Trade Agreement (EVFTA) will officially take effect. Under the EVFTA, tariffs of Vietnamese wood products to the EU will reduce to zero. This will create more opportunities for domestic woodwork businesses to export their products to the market.

Luu Phuoc Loc, Director of Mtrade Company in Tan Uyen town said that woodwork companies need to realize linkage models on afforestration in order to have a stable and legal supply of timber. Over the past time, these models were implemented, but still faced shortcomings for change.

Leaders of BIFA said that Vietnam’s woodwork industry is facing challenges, due to rapid growth speed. The scarcity of timber materials is still a long-term challenge. Other challenge has come from quick growth in some export markets. For example, China’s woodwork export into the U.S this year is expected to reach US$8billion while the figure of Vietnam is expected to get US$3billion. Vietnam and China are the two biggest woodwork exporters of the US. Domestic woodwork businesses need to notice the feasibility that the U.S will impose anti-dumping duties if Vietnamese wood products strongly surge into the market.

Reported by Phung Hieu-Translated by K.T

Share

Woodwork industry makes efforts to surmount difficulties

HIGHLIGHTS

MOST READ