Source: congthuong.vn
According to data from the General Department of Customs, it is estimated that the export turnover of wood and wood products to the Canadian market in February 2023 reached 10.6 million USD, down 24% compared to February 2022. In general, in the first two months of 2023, the export turnover of wood and wood products to the Canadian market was estimated at US$21.6 million, down 46.8% over the same period in 2022.
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Export of wood |
Particularly in January 2023, wooden furniture exports to the Canadian market decreased sharply, this is the main export item in the structure of wood products and wood products exported to the Canadian market. In which, leading in export turnover is wooden frame chairs and chair parts with 2.8 million USD, down 27.2% compared to December 2022, down 62.8% compared to January 2022. ; followed by living room and dining room furniture, reaching 2.6 million, down 39% compared to December 2022, down 73.4% compared to January 2022…
Notably, in addition to wooden furniture exported to the Canadian market, in January 2023, the export turnover of wood, boards and flooring, wooden doors exported to the Canadian market increased positively.
However, the export turnover of these items only accounts for a low proportion, so it cannot offset the sharp decrease from the main export product, which is wooden furniture.
As the 6th largest import market of wooden furniture in the world, Canada always has a high demand for importing this item. According to statistics from Statistics Canada, the import value of wooden furniture in this country in 2022 reached 2.7 billion USD, up 8% compared to 2021. In which, Canada increased imports of furniture. wooden furniture from the US and EU, but reduce imports from China and Vietnam market.
Vietnam is the fourth largest wood furniture supplier to Canada, but the proportion of imports from Vietnam only accounts for 15.3% of the total import value in 2022, reaching $411.9 million, down 1.1% compared to 2021.
Compared to import demand, the value of imports from Vietnam is still low. Therefore, the Vietnam Timber and Forest Products Association said that there are still many opportunities for Vietnamese exporters of this product to expand their market share in Canada in the near future.
The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) after five years of implementation has helped Canadian businesses know and pay more attention to Vietnam’s production capacity.
Notably, in the purchasing strategy of Canadian partners, Vietnam is emerging thanks to factors of stability, predictability and reasonable prices.
There are many favorable opportunities for Vietnam – Canada trade development. At the end of 2022, Canada officially announced the Indo-Pacific strategy, which positioned ASEAN as the center of the region and wished to sign a Canada-ASEAN free trade agreement, and at the same time enhance the relationship between the two countries. relations with ASEAN to the level of strategic partners.
In this strategy, Vietnam has some obvious advantages. Accordingly, Vietnam is considered by most Canadian businesses as a reasonable gateway to enter the region thanks to its advantages in geographical location, infrastructure, labor, and socio-political stability.
In addition, both Vietnam and Canada are members of the CPTPP and APEC, especially the two countries have soon established a mechanism of a Joint Economic Committee to periodically exchange views on economic and trade cooperation prospects. Recently, the two countries have put into operation a large container ship route running directly from Hai Phong to Vancouver, reducing the transit time to 17 days, significantly reducing transportation costs for Vietnamese exporters.
Although there are many advantages to promote the export of goods to the Canadian market. However, in the context of the global economy still facing many difficulties in 2023, Canada is still affected by many negative impacts from the world market and consumption continues to be tightened. Canada’s trade policy creates many challenges for businesses exporting to this market.
In order to support businesses of the two countries to strengthen connection and trade exchange, in 2023, the Vietnam Trade Office in Canada said it will focus on implementing a number of key trade promotion activities such as: Continue to support businesses. exploiting the advantages brought by the CPTPP Agreement, helping to increase the export of strong products to the market by organizing delegations to return home to buy goods; online trade promotion; seminars to popularize and take advantage of free trade agreements between the two parties as members, ….
