Analysts Note Increasing U.S. Share in Vietnam’s Exports, Especially in Electronics

Approximately 20% of Vietnam’s exports were destined for the U.S. in 2017, a figure that rose to 30% by 2022.

This surge positions the U.S. as the primary importer of Vietnamese goods, according to Jeongmin Seong, a partner at McKinsey Global Institute, who discussed the trend with VnExpress.

China’s share of U.S. imports of manufactured goods decreased from 24% to 15% between 2017 and 2023, primarily impacting the electronics sector.

Vietnam has seen a notable increase in exports of laptops and smartphones to the U.S., compensating for China’s decline in this market segment.

Vietnam’s goods trade now accounts for approximately 180% of its GDP, a significant rise from 100% in 2010.

Seong highlighted that this figure surpasses those of Korea, Germany, and other ASEAN economies by 70 to 100 percentage points, indicating Vietnam’s deepening integration into global value chains.

Investment in Vietnam comes from various countries, reflecting its attractiveness across different geographic and geopolitical contexts.

U.S. investment surged to $22 billion in 2022, significantly higher than the pre-Covid average of $3 billion.

Chinese investment reached $11 billion in 2023, a notable increase from the pre-pandemic average of less than $2 billion annually.

Over 80% of investments are directed towards electronics components and semiconductor manufacturing, underscoring Vietnam’s potential as a high-tech manufacturing hub.