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6 MARKET BEATS MAR/APR 2025 FDM ASIA | www.fdmasia.com

Flickr Donald Trump signed a memo ordering the US Department
of Commerce (DOC) to initiate an investigation into lumber
imports under a 1962 trade law which he recently used to
impose tariffs on steel and aluminium imports.

The DOC would review the demand for wood products,
both current and future, domestic production and the role of
foreign suppliers in the US supply chain. The US is Vietnam’s
largest export market for wooden products, Hưng said.
“So, if the US increases tariffs, it will have a negative
impact on Vietnam's wood industry."
Ngô Sỹ Hoài, vice-chairman and general secretary of the
Vietnam Timber and Forest Products Association, said export
of wood products fetched Vietnam US$16.3 billion last year,

a 20.3 percent increase from 2023, with the US accounting
Along with this, the Ministry of Industry and Trade (MoIT) for $9.1 billion.
and the Ministry of Agriculture and Rural Development More than two-thirds of the wood products exported to
should implement more policies to encourage businesses to the US were furniture items, which are high-value products
participate in trade fairs and scale up trade promotion in the and requiring intensive processing, while export of plywood,
forthcoming period. veneered panels and similar laminated wood with HS code
Hoai hopes the MoIT will strongly convey the ‘message’ 44 were worth around $1 billion, he said.

that ‘Vietnam’s wood industry says no to illegal wood’ on the “Vietnam’s wood industry has set a growth target of 10-15
global market to enhance competitiveness. percent in 2025 and reach $18-18.5 billion.
Additionally, a positive development is that the EU has “Under normal trade conditions, this is a rather modest
extended the deadline for implementing the Anti-Deforestation target that we can certainly achieve. However, given the current
Regulation to December 30 for large businesses, and June 30, global trade fluctuations, it is difficult to say if the industry will
2026, for micro and small businesses, allowing Vietnamese be able to realise this goal.”
companies to mitigate pressures. Vietnamese enterprises in the sector are concerned over
the possibility of the US tariff policy changes that would impact
Wood industry in Vietnam prepares for US import tariff their operations and exports, he said.

policy He also spoke about the mutual benefit arising from the
According to vietnamnews.vn, Vietnamese wood product wood trade between the two countries, noting that Vietnam
exporters must be prepared with solutions and various possible is the second largest importer of US timber.
scenarios to adapt to imminent US trade policy changes, A wide range of US woods such as oak, ash, beech, yellow
reduce their risks and optimise opportunities, a forum heard maple, and walnut are imported into Vietnam and processed
in HCM City. into high-value products to serve the domestic market but
Speaking at the Vietnam Furniture Industry Outlook 2025, mostly exports to various markets, including the US, he said.

Đỗ Ngọc Hưng, trade counsellor and head of the Vietnam So he hoped the US would consider the mutual benefits
�
Trade Office in the US, said recently American President when deciding tariff policies.