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Analyst Pin-board Export growth diverged in 1Q2022

• Trade balance turned into surplus in Mar 2022.
• Export growth diverged in items and markets.
• Imports declined in consumer goods and machinery and equipment.

Trade balance turned into surplus in Mar 2022

In Mar 2022, Vietnam's exports continued to prosper with an increase of 17.0% over the same period, higher than the increase of 15.5% in Feb 2022. In which, exports of the FDI sector continued to improve with a growth rate of 17.8% over the same period, higher than the growth rate of 14.9% of the domestic sector. Compared to the Jan-Feb period, the export growth momentum of the domestic sector showed signs of slowing down in March. On the other hand, Vietnam’s imports grew more slowly than exports in Mar 2022, growing 14.6% over the same period, lower than the 22.3% increase in Feb 2022. The slowdown in imports is quite similar for both the FDI and domestic sectors. As a result of weaker imports, the trade balance recorded a surplus of about US$2.0 billion in the past month. In 1Q22, the country's exports increased by 13.4% over the same period, imports increased by 15.2%, the trade surplus is estimated at US$1.5 billion, lower than the trade surplus of US$2.8 billion in the same period last year.