Production in Vietnam has returned to normal and businesses operating in the wood industry are accelerating production to keep up with signed export orders for the last month of the year and the first half of 2022. Export activity by the timber industry increased in October and November 2021, although the export value is still not equal to the same period in 2020.
According to Vietnam’s Ministry of Industry and Trade Export and Import Department, wood and wood product exports in November reached US$1.15 billion, up 21% compared to October 2021, but down 7% compared to November 2020. Exports of wood products reached $840 million, up 35% compared to October 2021 but down 17% compared to November 2020.
In November 2021, the country’s wood and wood product exports to the EU reached $45m, up 2.3% compared to November 2020. In the 11 months of 2021, exports to the EU market were estimated at $528.1m, an increase of 16% over the same period in 2020.
Overall, the timber industry maintained good growth in the first 11 months due to the efforts of enterprises in maintaining production when the epidemic broke out in many provinces and cities across the country. Production recovered quickly after the easing of social distancing.
At the current growth rate, it is estimated that exports of wood and wood products will reach $14.3bn in 2021, up 14% compared to 2020 and completing 98.7% of the target set for the year.
The driver of growth for the timber industry has been wooden furniture production. Exports of wooden furniture accounted for 68% of the total export value of wood and wood products in the first 11 months of 2021. Exports of kitchen furniture in November 2021 are estimated at $82m, raising the total export of this item in 11 months of 2021 to $832.8m, up 24% over the same period in 2020.
Source: ITTO