- News in Vietnam
- 27 September 2021
Vietnam exports billions of dollars of auto parts to the US and Japan
The export of auto parts in Vietnam is increasing day by day, and the market is very focused on the US and Japan. Is it possible that Vietnamese enterprises have joined the production chain of global car giants?
Despite being a country that has to import three-quarters of car assembly components, Vietnam also exports billions of dollars of auto parts every year to the world’s leading auto powerhouses.
According to the General Department of Customs report, by the end of July 15, the total export turnover of automobile components of Vietnam reached more than $3.7 billion, an increase of more than $1.1 billion over the same period last year, more than $750 million over the same period in 2019 and more than $1.2 billion over the same period in 2018. Considering the export turnover of this item over the years, there is a substantial increase. In 2020, the export turnover of auto components from Vietnam to other countries will reach more than 5.7 billion USD. In 2019, it was more than 5.6 billion USD. In 2018 it was more than 4.9 billion USD, and in 2017 it is more than 4. 4 billion USD.
It is worth mentioning that Vietnam is an export partner of components with many of the world’s leading auto manufacturers such as the US, Japan, Korea, China, Thailand, and Germany. Specifically, in the first six months of the year, Vietnam exported more than $1.3 billion worth of auto parts to Japan, nearly $1.1 billion to the US, more than $230 million to China and Thailand, and more than $230 million to South Korea is over 330 million USD, and Germany is over 74 million USD.
According to the Import-Export Tax Department, the General Department of Customs, most of Vietnam’s exported auto parts are outsourcing contracts between global enterprises and joint venture companies, with 100% foreign capital in Vietnam. Male. All product codes are processed and manufactured according to complete orders. The main supply is electrical equipment, tires, tanning, paint products with low added value. Some export codes are car frames exported to ASEAN countries, such as Truong Hai and TMT.