Industry insiders talk Brexit’s effects on Vietnamese wood sector
Industry insiders discussed the impacts of Britain’s exit from the European Union (EU) on the Vietnamese wood sector during a workshop in Hanoi on July 14.
Hanoi (VNA) – Industry insi𓆏ders discussed the impacts of Britain’s exit from the European Union (EU) on the Vietnamese wood sector during a workshop in Hanoi on July 14.
The event was jointly held by the Vietnam Good and Forestry Product Association (VIFORES), Ho Chi Minh City Fine Arts and Timber Processing Association, Forest Products Association of Binh Dinh (FPA Binh Dinh), and international Forest Trends.
According to the VIFORES, Vietnam is one of the three biggest wood exporters to the UK besides Indonesia and Malaysia. The UK is also the largest EU importer of Vietnam’s timber products.
In 2015, Vietnam exported wood and timber products worth about 900 million USD to the EU, including 270 million USD to the UK which singly made up 4 percent of the total timber export turnover of Vietnam.
Secretary General of the FPA Binh Dinh Tran Huy Le said the UK is the second most important market (after Germany) for wood companies in the central province of Binh Dinh.
That the UK left the EU had impacts on businesses’ orders, he said, noting that some customers demanded to cut prices by 5-7 percent while some asked to reduce the number of orders.
To Xuan Phuc from Forest Trends said Brexit caused devaluation of the pound, which negatively affects Vietnam’s wood export prices. Additionally, the decreasing demand in house construction in the UK will directly impact on the Vietnamese wood sector, he added.
The volume of timber products imported from Vietnam to the market is likely to reduce in the future, he said.
The UK has pioneered in implementing the EU Timber Regulation (EUTR) and negotiating the Voluntary Partnership Agreement (VPA) under the Forestry Law Enforcement, Governance and Trade (FLEGT) for countries exporting tropical timber products to the EU, experts said, adding that Brexit does not affect the FLEGT VPA negotiation between Vietnam and the EU.
Phuc suggested businesses update information and map out solutions to deal with different market scenarios because there would be changes on tax, exchange rate, customs fees and procedures in the future.
According to the Ministry of Industry and Trade’s Department of Import and Export, Vietnam’s goods exports to the UK make up about 2.9 percent of the total export turnover, so Brexit will not affect much on the exports of Vietnam.-VNA
Vietnam's wood industry is expected to gain a total export value of wood and wooden products of 7.7 billion USD for this year, higher than 7.1 billion USD in 2015.
The export revenue of timber and woodwork products is projected to reach 7.4 billion USD, 200 million USD less than the target set for the sector this year.
Minister of Planning and Investment Nguyen Chi Dung has said the British vote to leave the European Union (EU) would not have immediate impacts on Vietnam.
Britain’s recent exit from the European Union (EU) could more or less affect trade activities between Vietnamese businesses and partners from the UK and EU in the future, experts have commented.
Sun PhuQuoc Airways was born as a perfect piece in Sun Group’s strategic vision to build a premium ecosystem of tourism, entertainment, real estate, and aviation. With a pioneering ambition, Sun PhuQuoc Airways is not just an airline, but a symbol of connection – bringing the world to Phu Quoc and taking Phu Quoc to the world.
A key change in the draft decree is a provision requiring bank transfers for gold transactions valued at 20 million VND (765 USD) and above, to enhance transparency and verify customer identities.
In the first four months of 2025, trade turnover between Vietnam and Cambodia surpassed 3 billion USD, marking a 7% increase compared to the same period in 2024.
On June 19 alone, a total of 2,005 trucks completed customs clearance at Lang Son’s border gates — the highest single-day figure ever recorded in the province. Of these, 634 carried exports and 1,371 imports.
The OECD Economic Surveys: Vietnam 2025 report focuses on analysing the country’s macroeconomic fundamentals, the impact of international integration on attracting foreign investment and trade, and the country’s prospects for developing a low-carbon economy.
Antoine Colin, Senior Vice President for Global Supply Chain Digital Transformation & Resilience at HP Inc., affirmed HP’s strategic commitment to building a supply chain and ecosystem in Vietnam and the region.
Deputy Director General of the Ministry of Industry and Trade (MoIT)’s Trade Promotion Agency Bui Quang Hung emphasised that logistics has evolved from a technical function into a core capability for Vietnamese exporters to maintain their competitive advantage in the US market.
A trade official has suggested companies work closely with shipping lines, airlines, and freight forwarders to monitor routes, transit times, and potential surcharges while exploring broader cargo insurance to cover risks like war and terrorism.
In addition to institutional reform, the agency is also rolling out key solution groups to combat counterfeit goods, imitations, and intellectual property infringements in the digital environment.
The event, co-organised by the Vietnam Trade Office in the UK and TT Meridian, a local importer of Vietnamese fresh produce, aims to build a national lychee brand and encourage broader recognition of Vietnamese fruits in a competitive, high-end market.
The industry's performance has been powered by bold investments in modern production lines, enabling Vietnamese firms to produce complicated products which were exclusive to advanced economies.
Outcomes of ABAC III will shape ABAC’s final policy recommendations to be submitted to the ABAC-APEC leaders’ dialogue, scheduled to take place in the Republic of Korea this November.
This is the second year the magazine has released the ranking, which is based on total revenue and key financial indicators of enterprises from seven countries in the region: Vietnam, Indonesia, Thailand, Malaysia, Singapore, the Philippines, and Cambodia.
At the summit, publishing, tech, and media sectors will discuss emerging trends, business models, and sustainable solutions for digital publishing development in Vietnam.
This year’s “Vietnam Goods Week” marks a significant milestone as it is being held simultaneously for the first time in four locations across Asia: Japan, Hong Kong (China), Cambodia, and Malaysia, from June 19 - 22.
According to NordCham Vietnam Chairman Thue Quist Thomasen, the Vietnamese Government’s commitment to achieving net-zero emissions by 2050 is both a challenge and an opportunity for businesses to contribute to green and sustainable growth.
Wood processing for exports (Photo: VNA)
