Vietnam Jan-Feb exports down 10% amid weak global demand

Exports from Vietnam, a regional manufacturing hub, fell 10 per cent in the first two months of this year from a year earlier, as weakening global demand continues to bite into its shipments, government data showed on Thursday.

Exports in the January-February period fell to $49.64 billion, the Customs Department said in a report, dragged by a decline in shipments garments, footwear and electronics, for which it supplies major global brands.

The report showed imports in the two-month period fell 16.7 per cent to $46.20 billion, resulting in a trade surplus of $3.44 billion. Garment exports for January-February fell 19.6 per cent from a year earlier to $4.55 billion, while footwear shipments declined 16.0 per cent to $2.76 billion. Vietnam reported decade-high economic growth of 8 per cent last year but economists have warned it faces challenges with weakening global demand.

Taiwan's Pou Chen Corp, the world's largest maker of branded sports footwear and a top supplier to Nike and Adidas, plans to cut around 6,000 jobs in Vietnam this year due to slower demand.

In February, Vietnam's overall exports rose 10.3 per cent from January to $26.05 billion, while imports were up 1.3 per cent at $23.25 billion, Thursday's report said.

Vietnam had a week-long Lunar New Year holiday in January, during which business activities slowed.