Economic Information

Note: 2016 data in Canadian dollars ($CAD)
Source: IMF World Economic Outlook, World Bank Data, CIA World Factbook, Bank of Canada (Currency Conversion 15/02/2017).

Security

Although there is no nationwide advisory for Vietnam, Global Affairs Canada recommends that Canadians travelling in Vietnam exercise a high degree of caution due to increasing petty crime targeting foreigners. The Public Health Agency of Canada has also recently issued a Travel Health Notice concerning the Zika virus. The Agency recommends that Canadians practice special health precautions while travelling in Vietnam and advises pregnant women and women planning to be to avoid travelling to the country. For detailed and up-to-date information on travel security, please refer to the Global Affairs Canada Travel Report for Vietnam.

Trade Information

Note: Data in millions of Canadian dollars ($CAD)
Source: Trade Data Online (Industry Canada), Trade Map (International Trade Centre), World Integrated Trade Solution (World Bank), United States Trade Representative

Excluding mineral products (HS2 Codes 26-27 and 71-80)
Source: International Trade Centre Trade Map

Excluding mineral products (HS2 Codes 26-27 and 71-80)
Source: Industry Canada Trade Data Online

Trade Opportunities

With the Vietnamese government’s efforts in integrating itself into the world economy and developing its export-driven industries, the country has become one of the leading exporters in clothing, footwear and most recently, electrical and electronic machinery and parts. On the international scale, although the US represents the country’s current main export market, the recent American exit from the Trans-Pacific Partnership (TPP) in 2017 will force the country to turn to other countries as trade partners. As of 2016, Vietnam is Canada’s 5th biggest exporter in Asia, and trade between the two countries has significantly grown over the last decade. With Vietnamese exports to Canada reaching approximately CAD $4.8 billion in 2016, signalling an increase of 17% from 2015, Canada is among Vietnam’s 22 largest export markets. While the main exports from Vietnam are still clothing and furniture, other industries such as seafood and electrical and electronic machinery & parts are currently gaining more importance as export markets to Canada.

Clothing, Footwear & apparel
One of the country’s most important exports are from its garment and textiles industry, which represents about 25% of its exports to Canada. While total exports to Canada reached CAD $787 million in 2015, most exports from this industry go towards the US and other Asian countries such as Japan and Korea. The industry currently employs 2.2 million people in Vietnam, thus making among the top employing sectors in the country, and some of the main exports of this industry to Canada are sweaters, shirts and coats. Its textiles industry is also benefiting from many advantages over international competitors, such as preferential policies from the government and the fact that only small investment capital is required. Looking towards the future, the numerous trade agreements such as the Vietnam-Korea Free Trade Agreement (VKFTA) and the Vietnam-EU Free Trade Agreement (EVFTA), will make Vietnamese businesses in the industry even more competitive on the global market and exports are set to reach more than CAD $26 billion by 2020.

One area where Vietnam has found significant success is in its footwear industry. With its impressive manufacturing capacities, Vietnam exported approximately CAD $15.5 billion worth of footwear in 2015, including CAD $286 million to Canada. With an impressive track record in producing footwear products such as sandals, sneakers and quality leather footwear, Vietnam is benefiting from recent reforms in production in local firms, which is contributing in increasing productivity and the quality of products. The footwear industry alone represents the fourth biggest export to Canada and Vietnam is currently the second most significant exporter of footwear to the Canadian market.

Seafood
Although the manufacturing sector produces the large part of Vietnam’s exports to Canada, the country’s seafood industry stands out as an important commodity. The country’s seafood industry represented its seventh biggest export on the global market in 2015 and with new international free trade deals in place, seafood exports were expected to reach CAD $9 billion in 2016. Vietnam’s fish, crustaceans and mollusks products represent its seventh biggest export to Canada, and Vietnam is Canada’s third biggest source of seafood products in the world. More specifically, some of the main exported products are crustaceans such as crab, lobster and shrimp as well as fish fillets and frozen fish. A good example of the growing importance of this sector can be seen with Tuna, of which exports to Canada have grown significantly over the last 5 years. Along with the Philippines and Thailand, Vietnam is one of the biggest tuna exporters to Canada and it is important to note that Canada accounts for 80% of Vietnam’s total tuna exports in the world.

Electrical devices & parts
Vietnam’s most emerging sector is undoubtedly its electrical, electronic machinery, equipment and parts industry. With a growing amount of young and skilled workers, low costs and favorable market conditions, Vietnam is becoming one of the main attractive destinations for companies that produce consumable electronics. It is also currently rivaling some countries such as China and South Korea, who have been historically considered the global leaders in exporting technological products. In 2015, Canadian imports in electrical and electronic machinery and parts to from Vietnam reached approximately CAD $1 billion, signaling a growth rate of 62% from 2011 to 2015. The main exported products to the Canadian market were telephones, mobile phones and insulated cables and wires. With technology being an industry on the rise, this emerging sector of Vietnam’s economy will surely generate more trade opportunities in between the two countries.

Upcoming Trade Shows

Contact Information

Vietnam Trade Promotion Agency
20 Ly Thuong Kiet, Ba Dihn District, Hanoi
Tel: (84) (4) 393-476-28
Email: vietrade@vietrade.gov.vn

Canada-Vietnam Trade Council
2 Bloor Street West, Suite 700, Toronto, ON
Tel: (416) 305-8384
Email: info@canada-vietnamtrade.org

Embassy of Vietnam
55 MacKay St, Ottawa, ON
Tel: (613) 236-0772
Email: vietnamembassy@rogers.com

Consulate of Vietnam
#800-605 Robson St, Vancouver, B.C.
Tel: 1-604-629-0189
Email: consul.vancouver@gmail.com