Page 26 - FDMAsia NovDec 2024

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Waugh Thistleton Architects stimulate home sales and, as a result, stimulate the demand
for wooden furniture.
The Institute for Supply Management (ISM) has reported
that US inventory levels are declining at the quickest rate

in 2024, indicating that manufacturers are maintaining low
inventory levels.
The positive growth trajectory of Vietnam's W&WP exports
to the US is anticipated to be bolstered by this favourable
supply-demand factor in the final months of 2024.
Vietnam's W&WP imports in October 2024 cost US$250 However, the US imposes trade protection measures on
million, up seven percent compared to September 2024 and Vietnamese exports. The intensity of domestic competition for
up 40 percent compared to October 2023. In the first 10 US industries is on the rise as a result of the increased imports.
months of 2024 Vietnam spent US$2.28 billion for W&WP In this context it is probable that US companies will

imports, up 28 percent over the same period in 2023. intensify their utilisation of trade instruments in order to mitigate
NTFP exports in September 2024 decreased for the 3rd competitive pressures.
consecutive month, reaching US$50.44 million, down 25 Consequently, the Vietnamese wood industry must exercise
percent compared to August 2024 and down five percent caution and establish close relationships with the Vietnamese
over the same period in 2023. In the first nine months of Trade Office abroad and the Trade Remedies Authority (Ministry
2024 NTFP exports accounted for US$594.80 million, up 10 of Industry and Trade) in order to receive early warnings of
percent over the same period in 2023. trade protection investigations.

This allows for the implementation of proactive strategies
Vietnamese wooden furniture in the US to maintain market share in critical markets.
Vietnamese wooden furniture is bolstering its export value and Vietnam is one of the three largest net exporters to the US
market share in the US wooden furniture market as imports. according to Mr. Do Ngoc Hung, the Head of the Vietnamese
According to the US International Trade Commission the Trade Office in the US. Consequently, Vietnam is perpetually
importation of wooden furniture into the US during the first "on the radar" of US trade defence activities.
eight months of 2024 amounted to US$13.8 billion, a 5.6 There is a trend towards increased trade protection activities.
percent increase from the same period in 2023. In these instances US authorities prioritise the protection of
Vietnamese wooden furniture exports to the US were US$5.6 domestic companies.

billion in the first eight months and accounted for around 40 Mr. Hung recommends that exporters to the US remain
percent of the total US import value for wooden furniture. prepared to address prospective litigation filed in the US
The interest of American consumers in products from against their export products.
Vietnam is indicative of the increase in value and market This entails striving to achieve the most favourable outcome
share of Vietnamese wooden furniture. possible by maintaining close collaboration with the Ministry
As the US housing market recovers it is anticipated that of Industry and Trade and the Vietnamese Trade Office in the
US wooden furniture imports will continue to increase. As US to provide the investigating authorities with comprehensive

the Federal Reserve commences to reduce interest rates it is and expeditious information.
probable that home loan rates will continue to fall which will Vietnam's wood industry sector aims to export US$15.2