EXPORT - IMPORT
- Total export value of Tra fish reached 616 million USD in the first six months of this year. Tra fish exports turnover this year would be 1.5 billion USD, a decrease of 5% compared to 2015. The decrease would be attributed to the enforcement of trade and technical barriers in many import markets as well as low consumption demands there. (gdt.gov.vn, June 27, 2016)
- Exports of agricultural, forestry and fishery products in the first half of 2016 rose 5.4% year-on-year to US$15.05 billion. The export value of major agricultural produce was $7.32 billion, up 5.1% from the same period last year, while the seafood export value reached $3.07 billion, up 3.8%. (gdt.gov.vn, June 29, 2016)
- Thai Nguyen province has ranked third in terms of export value for the first five months of this year. For the second consecutive year, the northern mountainous province has surpassed Dong Nai and Binh Duong provinces, with 7.43 billion USD in export value for the given period.(mpi.gov.vn, June 28, 2016)
VIETNAM’S RECENT ECONOMIC DEVELOPMENT
- Vietnam posted a year-on-year GDP growth of 5.52% in the first half of 2016, down from 6.32% in the same period last year. The contraction was led by the global economic slowdown and the reduction in the country’s agriculture output during the period. The GDP for the agro-forestry-fishery sector slipped 0.18%, compared to the 2.16% growth in 2015, due to the impacts of the cold spell in the north and the prolonged drought and saltwater intrusion in the south. (gdt.gov.vn, June 29, 2016)
- The Index of Industrial Production (IIP) of Hanoi in the first half of 2016 rose by 7.7% from the same period last year, with June’s figure picking up 8% year on year. (mpi.gov.vn, June 28, 2016)
June 22 – June 29, 2016
- Vietnam’s garment exports to the EU account
for approximately 20 percent of the total volume with the UK contributing around 4 percent. According to the Vietnam Textile and Apparel Association (Vinatas), Brexit will definitely have impacts on garment and textile exporters due to the devaluation of the pound and the euro, which influence prices. In addition, the Vietnam-European Union (EU) Free Trade Agreement is likely to be reconsidered, therefore influence of Brexit on Vietnam remains unclear. (gdt.gov.vn, June 29, 2016)
- On July 1 the tax on cars with engines of less than
1.5 liters will drop from 45% to 40%. It will go down further to 35% in 2018.
The planned cuts in luxury tax on cars with small engines are expected to spur demand, encouraging auto manufacturers to expand production. Thaco, which controls nearly 45 percent of the Vietnamese market, plans to invest VND30.11 trillion (US$1.33 billion) to expand its manufacturing and retail activities over the next three years. (gdt.gov.vn, June 27, 2016)
- The Ministry of Finance is drafting a proposal on corporate income tax applicable for small and medium-sized enterprises (SMEs) in the next five years. The proposal is in response to Government’s Resolution 35 on supporting and developing enterprises until 2020. The ministry will propose two levels of corporate income tax – 17% and 15% -- which will be imposed on SMEs from January 1, 2016, to 2020. The current level is 2%. (gdt.gov.vn, June 27, 2016)
- Viet Nam Airlines officially opened a new air route
linking central Da Nang city and Thailand’s Bangkok on June 26. It is the fourth international flight departing from Da Nang to foreign destinations. (chinhphu.vn, June 27, 2016)
ECONOMY
TAX
TRANSPORT
