Page 22 - FDMAsia MarApr 2025

20 FOCUS MAR/APR 2025 FDM ASIA | www.fdmasia.com

Freerange Stock (VIFA EXPO 2025) in HCM City on 19 February, Trầ�n Quỗc
�
Mạnh, Deputy Chairman of the Vietnam Handicraft Exporters
Association said the outlook for wood product exports in 2025
remains promising.

However, businesses need to adopt flexible strategies to
cope with trade policy changes in key markets and diversify
their export markets and product offerings to mitigate risks
and sustain growth, according to industry insiders.
There were positive signs in wood product exports since
the fourth quarter of last year with many firms having export
orders secured until the end of the first quarter of 2025, he
added. However, he also warned of likely challenges due to
These include comprehensive guides, a detailed FAQ, the rapid changes in trade policies in key markets and geopolitical

creation of the European Forest Observatory and international tensions, requiring businesses to adopt flexible strategies in
dialogues designed to clarify regulatory requirements and response.
encourage compliance. “Another issue is that exports to the US account for
Under the Team Europe Initiative on Deforestation-free Value over 50 percent of the sector’s total exports. While this is an
Chains and with €80 million (US$82.4 million) of funding, the advantage, it also presents risks. If businesses do not expand
EU and several of its member states are supporting supply their exports to other markets such as China or the Middle
chain actors to ensure deforestation-free value chain production East they could face risks associated with over-reliance on

in partner countries like Vietnam. a single market.”
The EU remains a strong partner for Vietnam in navigating He urged firms to diversify their products and explore
the regulation. Through the EUDR Engagement project, the markets with which Vietnam has free trade agreements
EU Delegation to Vietnam is working closely with the Ministry and also highlighted the need for them to enhance digital
of Agriculture and Rural Development (MARD) to facilitate transformation in their production and sales through e-commerce
communication and implementation. channels which could significantly reduce costs and create a
To support the transition under the EUDR Engagement breakthrough for businesses.
initiative in the coming months, various activities have been Võ Tân Thành, Deputy Chairman of theVietnam Chamber of
planned. Commerce and Industry (VCCI), said wood industry achieved

A major component involves further outreach and capacity great success last year with exports of wood and wooden
building for a wide range of stakeholders. This will ensure products reaching US$16.25 billion, up over 20 percent from
a better understanding of the new regulation and provide 2023.
a platform to discuss the implications for Vietnam among Of this, exports of wooden products alone are estimated at
different partners. US$11.2 billion, a year-on-year increase of nearly 22 percent.
He attributed the growth to “the initiative-taking efforts of
Businesses urged to diversify export markets enterprises in seeking new markets, actively participating in

Speaking at a meeting held to introduce the 16th edition exhibitions and fairs and capitalising on recovery signals from
of Vietnam International Furniture & Home Accessories Fair major partners like the US and Europe.”