(HSV VIETNAM GROUP) - According to the latest preliminary statistics of the General Department of Customs, by the end of October, our country's total export turnover to Brazil reached more than 2.05 billion USD, up 10% over the same period last year (equivalent to an increase in turnover of more than 186 million USD). The above results show positivity in a gloomy global trade context in 2023.
By the end of October, there were 6 groups of goods exported to this South American country with a turnover of 100 million USD or more, an increase of 1 group compared to the same period in 2022. Notably, iron and steel is a commodity recording impressive growth from the beginning of the year until now.
Specifically, in October 2023, Vietnam's iron and steel exports to Brazil reached 17,039 tons, equivalent to 9.7 million USD. Meanwhile, in October 2022, Brazil imported only 48 tons of iron and steel with a turnover of more than 90.3 thousand USD. Thus, Brazil's iron and steel imports from Vietnam in October increased by 35,398% in volume and 10,667% in value.
The export price in October to this market reached 571 USD/ton, a sharp decrease of 70% compared to October 2022 and lower than the average price of the entire market (748.5 USD/ton).
In the first 10 months of the year, iron and steel exports of all kinds to Brazil reached 266,952 tons, worth more than 176 million USD, an increase of 558% in volume and more than 475% in value, accounting for 3.8% in volume and 2.5% in turnover in Vietnam's total iron and steel exports.
According to the country's steel industry association, Aço Brasil, Brazil's steel production fell 8.6% from January to July 2023, to 18.6 million tons. As the leading steel producer globally, Brazil saw output drop 4.7% in July compared to the same month last year. Therefore, this country has to import large amounts of iron and steel from abroad, witnessing a sharp increase of 78.5% in the same period.
After nearly 35 years of establishing diplomatic relations, especially since the establishment of the Comprehensive Partnership in 2007, the Vietnam - Brazil cooperative relationship has continued to develop positively in all fields.
Vietnam and Brazil are currently each other's largest trading partners in Southeast Asia and South America. The market is not too strict and people's tastes are very diverse. Many Vietnamese products are accepted in this very crowded market.
In general, in the two-dimensional picture of goods, Vietnam always has a trade deficit from this market. Specifically, if in 2013 Vietnam had a trade deficit of 189 million USD in goods from Brazil, by 2015 this number had increased to 1 billion USD.
In 2016, the trade balance decreased when Vietnam only had a trade deficit of 390 million USD from other countries. By 2020, this result will again reach 1 billion USD and reach the highest trade deficit of the decade at 2.3 billion USD in 2022.
The potential for development cooperation between Vietnam and Brazil is still very large, so export products promise to increase in the near future.
Ha Diem HSV