The election of Donald Trump as the 47th President of the United States has opened up many opportunities for a Vietnamese product to develop. It is forecasted that this industry will grow strongly in the coming years.
After Mr. Donald Trump won the 2024 US presidential election, many markets have seen fluctuations. According to Thanh Nien newspaper, in the early morning of November 8 (Vietnam time), at the end of the trading session on the London Stock Exchange (UK), Robusta coffee prices increased sharply in all 4 delivery terms, increasing from 4.06 - 4.2%. This increase is determined to be the highest in more than a month, when Vietnam entered the 2024 - 2025 harvest season.
The US is one of the largest coffee import markets of Vietnam (ranked 5th after Germany, Italy, Japan, Spain). In the 2023-2024 crop year, the US market imported nearly 91,000 tons of coffee from Vietnam. Therefore, the sharp increase in Robusta coffee prices after Mr. Donald Trump became the US President is a good sign for this industry.
According to Mr. Do Ha Nam, CEO of Intimex Group, the US government and Mr. Donald Trump have long been very sympathetic to Vietnam. This is both a political advantage and opens up many economic opportunities for us. In fact, during his previous term in office, Mr. Trump's policies promoted economic growth and made the USD stronger. On the contrary, Vietnam is an exporting country, so when the USD is stronger, our goods are also more competitive in the US market as well as other countries.
Mr. Nam shared: “The US is Vietnam's 5th largest coffee import market with a volume of 91,000 tons and a value of nearly 310 USD, in the 2023-2024 crop year. Not only coffee, we can expect Vietnam's trade, especially agricultural products, to continue to be favorable in the coming time.”
In addition, regarding cashew products, Mr. Dang Hoang Giang, General Secretary of the Vietnam Cashew Association (VINACAS) said that the results of the recent US presidential election could significantly affect Vietnam's export industries, including the cashew industry. The diplomatic relations between the US and Vietnam are currently very good, with a steady growth trend. Vietnam's cashew industry has the advantage of not having to compete directly with US farmers (cashew trees cannot be grown in this country).
For many years, Vietnam has not encountered tariff barriers in the US. This country imports most of its cashew nuts from Vietnam. Mr. Giang hopes that the new US government will continue to maintain an open-door policy and support free trade, so that Vietnamese cashew products can continue to penetrate and develop firmly in the US.
In addition, in recent years, Vietnamese seafood has considered the US a major market. Seafood export turnover to the US in the last 5 years has fluctuated from 1.5 to 2.1 billion USD per year. Strict protection policies and the demand of the US market have contributed to significantly improving the quality of Vietnamese seafood as well as maintaining and expanding our position.
Some Vietnamese seafood businesses believe that Mr. Trump's presidency may disrupt world trade, but the Vietnamese seafood industry will be less affected and may even have export opportunities in the near future.
Ms. Le Hang, Communications Director of the Vietnam Association of Seafood Exporters and Producers (VASEP), analyzed: "In the context of the US-China trade confrontation, there may be major changes in the US supply and import chain. Specifically, the US may reduce imports of seafood products from China and seek alternative sources, including Vietnam. Shrimp and pangasius are Vietnam's main seafood products exported to the US, and the US's increase in tariffs on Chinese seafood may open up great opportunities for Vietnamese shrimp and pangasius to replace Chinese seafood products. In addition, China may also reduce imports of seafood from the US and switch to importing seafood products from Vietnam instead."
However, it is impossible not to mention the challenges posed by the US domestic market protection policy. A director of a seafood company in the Mekong Delta commented that it could be a challenge for Vietnamese seafood businesses.
The US protectionist policies and tariff barriers may increase competition between Vietnam and other major seafood exporting countries such as India and Indonesia. VASEP representatives said that if they want to increase seafood exports to the US, exported seafood products must fully comply with FDA (US Food and Drug Administration) regulations, including standards on hygiene, food safety and disease prevention.
According to Intellectual Property and Creativity
Source: https://doanhnghiepvn.vn/kinh-te/ong-donald-trump-len-lam-tong-thong-my-mot-mat-hang-cua-viet-nam-duoc-huong-loi-lon/20241110073608915
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