Some businesses expressed concern in the context of the serious global economic downturn, high inflation, inherently shrimp import orders had dropped sharply. sign slower.
Enterprise export indirectly affected by the banking crisis
In just 11 days in mid-March 2023, three banks in the US and Credit Suisse in Europe collapsed one after another, pushing international financial markets into chaos.
Commenting on the impact of these collapses on Vietnam, Mr. Tran Thang Long, BIDV Securities Analyst (BSC) said that Vietnam is a large open economy with a high export rate. import above GDP among the highest in the world.
“If this incident causes major Vietnamese customers such as the US, China, and Japan to go into a more difficult situation, their demand will decline and affect orders and the volume of goods sold. FDI domestic and domestic block export trade activities import” Mr. Tran Thang Long commented.
In the context of inflationary increasing, export orders of enterprises have already decreased sharply, many fear that the collapse of international banks will make it difficult for businesses to husband.
Talking to the writer, Mr. Tran Van Linh, Chairman of Thuan Phuoc Seafood Joint Stock Company, said that the crisis in international banks did not directly affect Thuan Phuoc’s partners because they did not open trading accounts. at these banks. On the other hand, the three banks in the US are small in scale, with a small amount of international transactions, so their influence is also small.
However, Mr. Linh said that in just 11 days, 4 banks collapsed, creating fear for import partners, all transactions slowed down, including the signing of orders. new.
“In the context of a serious global economic downturn, high inflation, which has caused a sharp decline in shrimp import orders, now adding to the anxiety, the orders are signed more slowly.
Up to this point, no one can know when the Russia-Ukraine tension will end, all the partners’ plans to buy, sell, and reserve are quite vague. They only sign orders for immediate consumption, but there are not many long-term contracts,” Linh said.
Ms. Hoang Thi Lien, Chairwoman of the Vietnam Pepper and Spices Association, said that the business environment in 2023 is considered unfavorable when the economy goes down and geopolitical tensions have not ended. In addition, fluctuations at SVB or Credit Suise in recent times have affected the international payment system chain and the financial and credit capacity of purchasing companies.
“The impact on the pepper industry is not clear yet because it will take time to absorb. But in the long run, if the domino collapse of the international banking system is not prevented, I think the impact on the world’s pepper buyers will be huge. Therefore, exporters will closely monitor the market with a rather cautious attitude. In my opinion, this year there is no such thing as batch orders like previous years“, Ms. Lien said
The textile and garment industry has not yet recorded the impact of the banking crisis. (Image: VNA)
In another key export industry of Vietnam, the textile and garment industry, has not yet recorded the impact of the above banking crises.
Talking to the writer, Mr. Pham Van Viet, Chairman of the Board of Directors of Viet Thang Jean Co., Ltd. (VitaJean), Vice Chairman of Ho Chi Minh City Garment, Embroidery Association, said that up to this point, Vietnamese textile and garment enterprises have not accepted no impact from international bank failures and no late payments.
President VitaJean said that the biggest problem of the textile industry at the moment is high inflation, global consumers tighten spending on non-essential products, causing export orders to decrease.
“The purchasing power of the Japanese, US and EU markets has not yet recovered, and the domestic market in February also recorded a decrease of about 20-30%. Our factories reduce capacity to 80%, high-end product production lines are stalled, workers have reduced working hours, “said Mr. Viet.
For the pepper industry, businesses also expressed concern that orders would be affected by big fluctuations of many international banks.
Enterprises restructure export markets
Inflation is a common problem for exporters, not only with seafood or textiles. Businesses share that the goal this year is not growth anymore, but survival. And the tactics of companies at this time is to restructure the export market in the short term and maintain production.
Mr. Tran Van Linh said that in the past, Europe was Thuan Phuoc’s main export market, but inflation in this region was high, the euro depreciated, causing partners to limit the import of high-priced products. as tall as a shrimp.
Meanwhile, the Japanese Yen is somewhat more stable. Therefore, this enterprise must rely on long-term business relationships, convince Japanese partners to share difficulties, and increase shrimp imports so that the enterprise can maintain production at a moderate level.
As for the textile and garment industry, Mr. Pham Van Viet said that in addition to markets such as the US and EU, this enterprise is trying to boost exports to Australia and Canada, and at the same time increase domestic consumption to partially compensate for the decline. decline in traditional markets.
According to VietnamBiz.vn
