Japan – Vietnam’s top four leading trading partners

VCN - For many years, Japan has always been in the group of four largest trading partners of Vietnam (along with China, the US and South Korea). The trade balance between the two sides has always been kept at an equilibrium.
Deepening Vietnam-Japan extensive strategic partnership Deepening Vietnam-Japan extensive strategic partnership
Vietnam welcomes new Japanese PM’s first overseas visit to Hanoi Vietnam welcomes new Japanese PM’s first overseas visit to Hanoi
Vietnam expects to be one of the EU’s top 10 trading partners Vietnam expects to be one of the EU’s top 10 trading partners
Japan – Vietnam’s top 4 leading trading partners
Four “US$ billion" groups in Vietnam’s total export turnover of to Japan by the end of September. Chart: T. Binh


Thus, the trade balance in 2019 is somewhat inclined to Vietnam with a trade surplus of $870 million.At the end of 2019, bilateral trade between Vietnam and Japan recorded approximately US$40 billion ($39.94 billion USD), the highest ever and accounting for 7.7% of the total import and export turnover of the whole country. Of which, exports was $20.41 billion, up 8.4% compared to 2018, accounting for 7.7% of the country's total turnover and imports was $19.53 billion, up 2.5% compared to 2018, accounting for 7.7% of the country’s import turnover.

Japan is Vietnam's largest trading partner among 10 trading partners under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), including: Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru and Singapore.

In terms of total turnover, at the end of 2019, Japan ranked fourth (after China, the US, and South Korea) among more than 200 countries and territories with which Vietnam has trade relations. However, in terms of exports and imports, Japan was Vietnam’s third largest market. Specifically, for exports, Japan was followed the US market ($61.35 billion), China ($41.41 billion), while for import turnover, Japan was behind China ($75.45 billion) and South Korea ($46.93 billion).

Notably, among Vietnam’s four largest trading partners, the Japanese market’s trade balance was at an equilibrium while in the three remaining countries, the trade balance saw a significant difference, even tens of billions of dollars per year.

Japan – Vietnam’s top 4 leading trading partners
The change in turnover of the three largest import groups from Japan. Chart: T. Binh

In the first months of 2020, due to the impact of the Covid-19 pandemic, import-export activities between Vietnam and Japan were relatively gloomy, especially Vietnam's exports to Japan reduced while imports also saw a slight growth.

According to statistics updated by the General Department of Customs, by the end of September, Vietnam's exports to Japan reached more than US$ 14 billion, down nearly$1 billion (equivalent to a decrease of more than 6.4%) compared to the same period in 2019. Over the past nine months, the number of" US$ billion" export groups to Japan remained stable at four digits, including: textiles and garments; vehicles and parts thereof; machinery, equipment, tools and spare parts; seafood, but most key products had a significant decrease in turnover.

Specifically, the largest export group was textiles and garments only reported a turnover of $2.584 billion, a year-on-year of US$ more than 320 million; vehicles and parts thereof earned $1.636 billion, down nearly $300 million and seafood nearly US$1.032 billion, down slightly more than $30 million. Thus, the decline of these three main commodity groups reached more than $650 million.

Among the four " US$ billion" export groups, only machinery, equipment, tools and spare parts had a slight increase of about $30 million and earned $1.445 billion.

As mentioned above, import activities from Japan in the first nine months of the year still had a slight increase compared to the same period in 2019. By the end of September, the import turnover reached $14,627 billion, up 3.1% (equivalent to nearly $450 million) over the same period last year. In which, there were three groups reaching a turnover of $1 billion or more (equivalent to the turnover of the first nine months of 2019).

The largest import group from Japan was computers, electronic products and components with a turnover of $3.903 billion, a sharp increase of nearly 22.3%, equivalent to more than $700 million. Iron and steel of all kinds reached nearly $1.976 million tons with a turnover of $1.067 billion, up nearly 450,000 tonnes more than $40 million over the same period last year.

Among the three largest import groups from Japan, machinery, equipment, tools and spare parts earned a turnover of $3.312 billion, down by more than $180 million from the same period last year.

In the first nine months of the year, the trade balance reversed when Vietnam had a trade deficit of more than $600 million.

In the fourth quarter, if turnover maintains at the average of $3.385 billion per month as it was in the September the import and export turnover between Vietnam and Japan will reach more than $10 billion in the three remaining months of 2020 and approximately $ 39 billion at the end of the year, a decrease of about $1 billion compared to the result of 2019.

Dialogue about customs policies and procedures with Japanese enterprises to be held Dialogue about customs policies and procedures with Japanese enterprises to be held

VCN - On October 16, at the headquarters of the General Department of Customs, a dialogue conference ...

However, given the Covid-19 pandemic that is basically under control in Vietnam and the positive growth trend of import-export activities of the country in recent months, hopefully, at the end 2020, the trade turnover with Japan will hit $40 billion.

By Thai Binh/ Huyen Trang

Related News

Regulating goods across Huu Nghi International Border Gate during peak times

Regulating goods across Huu Nghi International Border Gate during peak times

VCN – In order to reduce the pressure on customs clearance of import and export goods for the international border gate pair during peak times, the management agency of Lang Son (Vietnam) has just discussed with the management authority of Pingxiang (China) to strengthen coordination in regulating the means of transporting goods of enterprises on both sides.
Khanh Hoa Customs reaches revenue target 1 quarter early

Khanh Hoa Customs reaches revenue target 1 quarter early

VCN - Many key import items increased sharply, along with efforts in trade facilitation, tax debt collection, so in just 9 months of 2024, Khanh Hoa Customs Department completed the state budget revenue target.

Latest News

Many factors affecting tuna exports in the last months of the year

Many factors affecting tuna exports in the last months of the year

VCN - Tensions between Israel and Iran escalate, tuna businesses are worried, they may have to stop export orders to the Israeli market in the last months of the year.
Vietnam still dominates Philippine rice import

Vietnam still dominates Philippine rice import

Vietnam continues to assert its dominance as the top rice exporter to the Philippines, with 2.91 million tonnes shipped as of the late October, or over 79% of the Philippines' total rice imports, according to the Vietnam Trade Office in the Philippines.
Vietnam cements ties with partners to engage in global semiconductor, AI industries

Vietnam cements ties with partners to engage in global semiconductor, AI industries

By boosting cooperation with reputable partners across the globe, Vietnam is taking steps to gain a foothold in the world’s semiconductor and artificial intelligence (AI) industries.
Aquatic exports expected to rise in year-end despite challenges

Aquatic exports expected to rise in year-end despite challenges

Aquatic exports is expected to surge in the remaining months of this year, as the year-end festive season comes, despite many challenges in the international markets, according to insiders.

More News

Trade Defense: The Key to Success for Vietnamese Businesses

Trade Defense: The Key to Success for Vietnamese Businesses

VCN - From losses and near bankruptcy, many domestic enterprises have recovered thanks to timely application of trade defense measures. Trade defense is also an effective shield for Vietnamese enterprises against a series of lawsuits from importing countries, thereby maintaining advantages and developing on "away grounds".
Lao Cai Customs sees a triple-digit surge in export-import turnover

Lao Cai Customs sees a triple-digit surge in export-import turnover

VCN - Updated from the beginning of the year to October 24, total import and export turnover through Lao Cai Customs Department increased by 102%.
Coconut is expected to become a billion-dollar export item

Coconut is expected to become a billion-dollar export item

VCN - Talking to the press at the ceremony to launch the first train carrying fresh coconuts to China, Mr. Luu Van Phi, Director of the Department of Industry and Trade of Tien Giang province, said that Vietnam's agricultural export potential, especially fresh coconuts, is expanding with the appearance of international railway transportation from Song Than station.
Plastic exporters interested in converting to recycling technology

Plastic exporters interested in converting to recycling technology

VCN - The Vietnamese plastics industry is facing major challenges in terms of plastic waste and recycling needs. Secretary General of the Vietnam Plastics Association Huynh Thi My (pictured) shared important information about the transformation in production of plastics enterprises to meet increasing export demands.
Logistics sector must embrace innovative trends to stay competitive

Logistics sector must embrace innovative trends to stay competitive

The Vietnamese logistics industry must adapt to new trends and enhance infrastructure to remain globally competitive, speakers said at an event in Ho Chi Minh City on October 31.
Vietnam’s agro-forestry-aquatic product exports likely to set new record

Vietnam’s agro-forestry-aquatic product exports likely to set new record

Vietnam’s agro-forestry-aquatic product exports are likely to achieve a record high of 62 billion USD in 2024, said Deputy Minister of Agriculture and Rural Development Phung Duc Tien.
UKVFTA greatly benefits Vietnam-UK trade: Experts

UKVFTA greatly benefits Vietnam-UK trade: Experts

The UK-Vietnam Free Trade Agreement (UKVFTA), signed into law three years ago, has clearly benefited trade cooperation between the two countries, particularly in the context of Vietnam’s exports to most other major markets declining due to geopolitical tensions and headwinds in the global economy, said experts at a conference in Hanoi on October 30.
Agricultural exports likely to exceed 60 billion USD amid challenges

Agricultural exports likely to exceed 60 billion USD amid challenges

With swift production recovery and continued growth, Vietnam's agricultural sector could potentially surpass the 60 billion USD export target, according to the Ministry of Agriculture and Rural Development (MARD).
Vietnam-Philippines trade likely to exceed 8 billion USD for first time

Vietnam-Philippines trade likely to exceed 8 billion USD for first time

With the current rising trend, trade between Vietnam and the Philippines is likely to exceed 8 billion USD for the first time to hit about 8.5 billion USD in 2024, with Vietnam’s surplus of more than 3 billion USD, according to the Vietnamese Trade Office in the Philippines.
Read More

Your care

Latest Most read
Many factors affecting tuna exports in the last months of the year

Many factors affecting tuna exports in the last months of the year

VCN - In recent years, Israel has always been Vietnam's leading tuna export market after the US and the EU. Therefore, the recent escalation of Israel-Iran tensions is affecting Vietnam's tuna exports to this market.
Vietnam still dominates Philippine rice import

Vietnam still dominates Philippine rice import

Vietnam continues to assert its dominance as the top rice exporter to the Philippines, with 2.91 million tonnes shipped as of the late October, or over 79% of the Philippines' total rice imports, according to the Vietnam Trade Office in the Philippines.
Vietnam cements ties with partners to engage in global semiconductor, AI industries

Vietnam cements ties with partners to engage in global semiconductor, AI industries

By boosting cooperation with reputable partners across the globe, Vietnam is taking steps to gain a foothold in the world’s semiconductor and artificial intelligence (AI) industries.
Aquatic exports expected to rise in year-end despite challenges

Aquatic exports expected to rise in year-end despite challenges

Aquatic exports is expected to surge in the remaining months of this year, as the year-end festive season comes, despite many challenges in the international markets, according to insiders.
Trade Defense: The Key to Success for Vietnamese Businesses

Trade Defense: The Key to Success for Vietnamese Businesses

VCN - From losses and near bankruptcy, many domestic enterprises have recovered thanks to timely application of trade defense measures. Trade defense is also an effective shield for Vietnamese enterprises against a series of lawsuits from importing countr
Mobile Version