Shifting production to expand exports to the Northern European market

VCN - Nordic countries often map out policies to achieve EU goals sooner than others. Among them, general principles and standards regulating manufacturers' responsibilities for textiles and garments from Nordic countries need to be paid attention by businesses.
illustration image. By H. Dịu
illustration image. By H. Dịu

According to the Vietnam Trade Office in Sweden, concurrently in charge of Northern European countries, in the first 5 months of 2024, two-way trade between Vietnam and Sweden, Denmark, Norway reached 1.08 billion USD, of which Vietnam's exports reached 650.36 million USD, an increase of 3.76% and imports reached 430.91 million USD, an increase of 8.37% over the same period in 2023. Regarding investment, Northern European countries currently have 337 investment projects in Vietnam with a total capital of about 2.91 billion USD.

Although import-export turnover is growing, the Vietnam Trade Office in this market said that many new policies have an impact on trade with Vietnam. Specifically, Nordic countries often have policies to achieve EU goals sooner than other countries. Among them, the general principles and standards regulating manufacturers' responsibilities for textiles and garments from Nordic countries need to be taken into account by businesses

According to the Office, the Committee for Cooperation on Sustainable Development in the Nordic region held a meeting in February 2024 in Stockholm, Sweden agreed to introduce a common principle and standard regulating the responsibilities of producers toward textiles and garments.

The main goal of the regulations is to reduce the large volume of clothing and textiles consumed in the Nordic region. The fashion and textile industry is one of the world's most polluting industries, accounting for 8-10% of global greenhouse gas emissions, and people living in Northern Europe consume more textiles than the average level in the world.

In addition, Nordic countries also want to promote the textile industry in a more sustainable direction, solving problems related to textile waste exported to low-income countries outside the EU for landfill.

Ms. Nguyen Thi Hoang Thuy, Commercial Counselor in Sweden, concurrently responsible for the Nordic countries, said expansion policies of the Nordic countries prove that these countries are always at the forefront of climate change issues and environmental protection. Sweden has decided to double climate aid to 15 billion SEK (equivalent to about 1.54 billion USD) by 2025, Denmark is also promoting green investment, Norway will support 14 billion NOK (equivalent to about 1.54 billion USD) by 2025 (equivalent to about 1.49 billion USD) for developing countries by 2026 to support climate change and promote green technology, transitioning to renewable, circular and sustainable solutions.

Furthermore, Northern European consumers are increasingly inclined towards nature, consuming organic foods; Environmentally friendly products, which can be recycled and reused. It is forecast that by 2030, organic food consumption in the Northern European region will increase three times as much as it is currently...

Therefore, the Vietnam Trade Office in Sweden, concurrently in charge of Northern European countries, recommends that Vietnamese businesses need to pay attention to shifting production in line with world trends in the near future.

In addition, Ms. Nguyen Thi Hoang Thuy informed that Vietnam's export activities to this market in the last 6 end-year months may be suffered from disadvantages such as economic difficulties in along with the escalation of inflation, interest rates, and unemployment rates. Northern European households have tightened their belts and reduced spending even during the summer vacation months. Many industries are facing difficulties such as construction, furniture trading, clothing, footwear...

Besides, the currencies of these countries, especially Sweden, are currently at record lows compared to the euro and US dollar. The weak currency has made imported goods more expensive. At the same time, domestically produced goods become more competitive compared to imported goods. This could promote preference for domestic products and reduce the need for imports from other countries.

In addition, political conflicts and wars in some regions of the world have pushed up international transportation costs, escalating the price of products exported from Vietnam, reducing competitiveness in the Northern European market.

By Ngoc Linh/ Thu Phuong

Related News

Quang Ninh Customs seeks solutions to promote import and export

Quang Ninh Customs seeks solutions to promote import and export

VCN - Quang Ninh Customs Department has made efforts to synchronously deploy solutions to accompany, support and resolve difficulties for businesses, contributing to improving import and export activities through the area.
Vietnam and UAE trade sees billion-dollar growth

Vietnam and UAE trade sees billion-dollar growth

VCN - According to General Department of Vietnam Customs by the end of September 2024, bilateral trade between Vietnam and the United Arab Emirates (UAE) reached nearly US$5 billion, an increase of more than US$1.4 billion over the same period last year.
Opportunities for accelerating Vietnam

Opportunities for accelerating Vietnam's seafood exports

VCN - Seafood is one of the key industries contributing significantly to Vietnam's export turnover. In the first nine months of the year, seafood exports brought in US$7.16 billion, an 8.5% increase compared to the same period in 2023. Among the factors driving this success, aside from favorable market conditions, the effective utilization of Free Trade Agreements (FTAs), including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), has played a crucial role. However, along with achievements, the industry also faces challenges, including market competition and trade defense lawsuits. Nguyen Hoai Nam, Deputy Secretary-General of the Vietnam Association of Seafood Exporters and Producers (VASEP), shared insights on these issues.

Latest News

Import and export are expected to reach 800 billion USD

Import and export are expected to reach 800 billion USD

VCN - Although the import and export turnover of goods slowed down in September 2024, in general, import and export activities, especially exports, still grew positively in the first 9 months of 2024. It is expected that import and export of goods in 2024 will reach a record of 800 billion USD.
Fresh coconuts quenching new overseas markets

Fresh coconuts quenching new overseas markets

Vietnam’s fresh coconuts are being increasingly consumed in international markets such as the US, China, and the UK, highlighting a bright spot in Vietnam's fruit export sector with many opportunities for breakthroughs in the near future.
Rice exports likely to set new record in 2024

Rice exports likely to set new record in 2024

Vietnam sold 800,000 tonnes of rice overseas for 505 million USD in October, bringing the country's total export volume and value in the first ten months to nearly 7.8 million tonnes and 4.86 billion USD, up 10.2% and 23.4% year-on-year, respectively.
Vietnamese goods conquer halal market through trust and quality

Vietnamese goods conquer halal market through trust and quality

VCN - According to the Ministry of Agriculture and Rural Development, Vietnam's capacity to export over 50 billion USD worth of agricultural products annually, coupled with established supply chains, provides a significant advantage for Vietnamese agricultural and aquatic products to penetrate the Halal market.

More News

Exporters urged to have strategies to take advantage of UKVFTA for expansion

Exporters urged to have strategies to take advantage of UKVFTA for expansion

The UK is concerned by sustainable development, labour issues, environmental protection and social responsibility. Therefore, when exporting to the UK, enterprises should not just be concerned about being competitive in terms of price and quality.
Fresh coconuts quenching new overseas markets

Fresh coconuts quenching new overseas markets

Vietnam’s fresh coconuts are being increasingly consumed in international markets such as the US, China, and the UK, highlighting a bright spot in Vietnam's fruit export sector with many opportunities for breakthroughs in the near future.
Sharing responsibility for ensuring security and safety of the supply chain

Sharing responsibility for ensuring security and safety of the supply chain

VCN – Post - clearance audit is carried out in a planned, focused and key manner, avoiding widespread and ineffective inspections, thereby creating convenience for the business community and improving the effectiveness of state management of customs.
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.
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%.
Read More

Your care

Latest Most read
Import and export are expected to reach 800 billion USD

Import and export are expected to reach 800 billion USD

VCN - At the regular Government meeting in September 2024, Minister of Industry and Trade Nguyen Hong Dien assessed: import and export continued to be a bright spot, recording a positive recovery compared to the same period last year.
Fresh coconuts quenching new overseas markets

Fresh coconuts quenching new overseas markets

Vietnam’s fresh coconuts are being increasingly consumed in international markets such as the US, China, and the UK, highlighting a bright spot in Vietnam's fruit export sector with many opportunities for breakthroughs in the near future.
Rice exports likely to set new record in 2024

Rice exports likely to set new record in 2024

Vietnam sold 800,000 tonnes of rice overseas for 505 million USD in October, bringing the country's total export volume and value in the first ten months to nearly 7.8 million tonnes and 4.86 billion USD, up 10.2% and 23.4% year-on-year, respectively.
Vietnamese goods conquer halal market through trust and quality

Vietnamese goods conquer halal market through trust and quality

According to the Ministry of Agriculture and Rural Development, Vietnamese agricultural and aquatic products could penetrate the Halal market.
Exporters urged to have strategies to take advantage of UKVFTA for expansion

Exporters urged to have strategies to take advantage of UKVFTA for expansion

The UK is concerned by sustainable development, labour issues, environmental protection and social responsibility. Therefore, when exporting to the UK, enterprises should not just be concerned about being competitive in terms of price and quality.
Mobile Version