The report revealed that the country’s exports in May showed signs of recovery by raking in US$33.8 billion, up 5.7% compared to the previous month and up 15.8% against the same period from last year.

However, Vietnam recorded a trade deficit of US$1 billion in May due to a rise in importing equipment, machinery, and raw materials as many businesses moved to expand their operations to meet export orders from emerging markets through trade agreements struck between the country and international partners.

High export growth was recorded in products such as metals, up 111.6%; rice, up 56.4%; and textile fibers and yarns, up 52.7%.

During the five-month period, exports stood at an estimated US$156.7 billion, up 15.2% with impressive growth being reported in items such as cameras, camcorders, and components, up 61.1%; coffee, up 43.9%; and furniture products, up 34.2%.

With regard to export markets, the US remained the largest Vietnamese export market with US$44 billion, up 2%; followed by the EU with US$20.7 billion, up 16.1%; and Japan with US$9.4 billion, up 4.7%.

According to information given by MBS, the country’s exports are anticipated to grow by 10% to 12% this year due to inflationary pressures being eased, along with positive signs gained from foreign direct investment (FDI) in Vietnam.

However, there continues to be hurdles ahead for Vietnamese exports, including rising transportation costs due to escalating geopolitical conflicts; along with fierce competition from regional peers such as China, Indonesia, and Thailand.