The Vietnam-Netherlands relationship is considered a typical example of a "dynamic and effective relationship" between Asia and Europe. Currently, the Netherlands has become the largest investor, the second largest trading partner and export market of Vietnam in Europe. In the opposite direction, Vietnam is one of the leading important trading partners of the Netherlands in Asia, ranked among the 20 largest suppliers of goods of the Netherlands.
Regarding investment, according to data from the Ministry of Planning and Investment, in the first 8 months of 2024, the Netherlands ranked 8th out of 147 countries and territories investing in Vietnam with a total registered capital of nearly 14,600 billion USD for 445 projects. In recent years, the Netherlands has implemented many practical projects and programs to support Vietnam's socio-economic development.
Since the EVFTA Agreement officially took effect, Vietnam's exports to the European Union (EU) in general and the Dutch market in particular have improved, and bilateral trade turnover between the two countries has also grown significantly over the years. In recent years, Vietnam has always had a trade surplus with the Netherlands. Vietnam's main exports to the Netherlands include: phones, electronics, textiles, footwear, agricultural products, seafood, etc. In the opposite direction, Vietnam imports machinery, equipment, components, pharmaceuticals, chemicals and dairy products from the Netherlands, etc.
Vietnam - Netherlands bilateral trade turnover in the period 2019 - 2023 and growth rate compared to the previous year
Unit: Million USD
Source: General Department of Customs
During the 2019-2023 period, bilateral trade between Vietnam and the Netherlands has continuously improved, with only a slight decrease in 2023 due to the impact of the global economic recession. According to statistics from the General Department of Customs, in 2023, the total bilateral trade turnover between Vietnam and the Netherlands reached 10.91 billion USD, a slight decrease of 1.77% compared to 2022; of which, export turnover reached 10.24 billion USD, a decrease of 1.86% compared to 2022; import turnover reached 678 million USD, a decrease of 3.65%.
Entering 2024, trade activities between the two markets will recover. In the first 9 months of 2024, bilateral trade turnover between Vietnam and the Netherlands reached 10.02 billion USD, up 27.1% over the same period last year.
Vietnam's export turnover to the Netherlands in the period 2013 - 2023
Source: General Department of Customs
Demand in the Dutch market is showing signs of improvement in most product groups from agricultural products to electronics and consumer goods. This opens up opportunities for Vietnamese goods exported to this market to increase more strongly in the coming time, in the context that Vietnam is enjoying tariff incentives from the roadmap of the EVFTA Agreement and market demand is gradually recovering significantly.
In September 2024, Vietnam's export turnover to the Netherlands reached 1.01 billion USD, down 14.29% compared to the previous month but up 13.94% compared to the same period in 2023. In the first 9 months of 2024, the export turnover to this market recorded a significant increase compared to the first 9 months of 2023 of 27.52%, reaching 9.45 billion USD. Of which, the three export items with the highest turnover were Computers, electronic products and components (accounting for 25.01%); Other machinery, equipment, tools and spare parts (accounting for 19.44%) and Footwear of all kinds (accounting for 12.46%).
Proportion of items with the largest export turnover to the market
Netherlands in the first 9 months of 2024 (Unit: %)
Source: General Department of Customs
According to the Vietnam Trade Office in the Netherlands, the annual rice import turnover of the Netherlands is very large, because it not only serves domestic consumption but also a large amount is re-exported to European countries. However, Vietnamese rice has not yet reached the traditional distribution system of the Netherlands, but is mostly distributed in Asian supermarkets owned by Vietnamese people and some supermarkets in Pakistan, Turkey, and China, but in very modest quantities. Meanwhile, rice is one of Vietnam's strengths, appearing in many large markets in the Asian region, so businesses need to promote rice exports to the Netherlands market to expand their customer base. In the context that the Netherlands is the gateway for goods to the EU market, promoting rice exports to the Netherlands is a quick and effective approach to this region in general.
Export turnover of Vietnamese goods to the Netherlands
in September 2024 and the first 9 months of 2024
Source: General Department of Customs
In September 2024, Vietnam's import turnover of goods from the Netherlands reached 60.49 million USD, a significant decrease of 30.98% compared to the previous month, but an increase of 13.75% compared to the same period in 2023. In the first 9 months of 2024, import turnover from this market recorded an increase of 20.22% compared to the first 9 months of 2023, reaching 567.48 million USD. Of which, the 3 imported goods with the highest turnover were Machinery, equipment, tools, and other spare parts (accounting for 19.31%); Pharmaceuticals (accounting for 10.08%) and Auto parts and components (accounting for 6.50%).
Import turnover of some Vietnamese goods from the Netherlands
in September 2024 and the first 9 months of 2024
Source: General Department of Customs
Promote export promotion activities to the Dutch market:
The Dutch economy in 2024 has generally recorded quite positive signs of recovery. According to data from Trading Economics, the Dutch economy grew by 1% in the second quarter of 2024, recovering from a 0.3% decline in the first quarter of 2024. This is the strongest economic growth since the second quarter of 2022, mainly thanks to the contribution from trade activities. The Netherlands is one of Vietnam's most important markets in the EU, as it is a gateway market and one of the largest transit hubs for goods into Europe, helping to connect ports and industrial zones with Europe. From the port of Rotterdam - the main import point, Dutch and international traders will distribute products to many other EU countries. However, the proportion of Vietnamese goods in the Netherlands is still quite modest. Therefore, there is still much room for Vietnamese businesses to increase trade activities and boost exports to the Dutch market. In 2024, the work of connecting and promoting trade to the Dutch market will always be focused on by management agencies and the business community:
In March 2024, Prime Minister Pham Minh Chinh received a delegation of leading Dutch businesses led by President of the Confederation of Dutch Employers and Industry Ingrid Thijssen who were visiting and working in Vietnam. Informing about the situation in Vietnam and Vietnam's development priorities, the Prime Minister said that the two sides still have a lot of potential and strengths that can complement and support each other. Therefore, he suggested that large Dutch corporations and enterprises effectively take advantage of the opportunities of the Vietnam - EU Free Trade Agreement (EVFTA), increase market opening, and strive to bring bilateral trade turnover to 15 billion USD soon in the coming time.
In October 2024, at the headquarters of the Ministry of Industry and Trade, Deputy Minister Nguyen Hoang Long had a working session with Mr. Marchel Gerrmann, Ambassador for Business and Development Cooperation, Ministry of Foreign Affairs of the Netherlands to discuss cooperation in the fields of trade and sustainable energy between the two countries.
At the meeting, the two sides spent time discussing issues related to trade cooperation and sustainable energy development in Vietnam. Mr. Marchel Gerrmann highly appreciated the economic, trade and investment cooperation between the two sides and expressed his support for Vietnam's green energy transition program. The Netherlands is ready to support, share and cooperate with Vietnam in areas in which the Netherlands has experience.
Source: https://moit.gov.vn/tin-tuc/thi-truong-nuoc-ngoai/thuong-mai-song-phuong-viet-nam-ha-lan-tang-truong-tich-cuc.html
Comment (0)