According to the MoIT’s Industry and Trade Information Centre, the export of plastic products in the first seven months of the year fetched US$554 million.

In the second half of July only, Vietnam’s exports of plastic products to Japan reached over US$11 billion, accounting for 26.5 percent of the country’s total.

Japan is now Vietnam’s largest importers, followed by the US with an estimated turnover of US$5.7 million. Last year, the US was the largest importer of Vietnamese plastic products.

Besides their traditional markets, Vietnamese businesses have also penetrated markets in new EU member countries like Lithuania, the Czech Republic , Estonia , Hungary and Poland as well as African and Middle Eastern countries, to maintain their export growth and avoid risks when traditional markets fluctuate.

The plastic sector has grown fast in Vietnam over the past ten years, with an average growth rate of 15-20 percent per year. Plastic packaging earns the most, accounting for 80 percent of the total value of plastic exports.

However, the sector still relies heavily on imported materials and production is usually on a small scale with no long-term investment strategies. At present, it needs around 1.5 million tonnes of raw materials each year and the domestic supply can only meet one fifth of this. Up to 90 percent of the 2,000 domestic plastic producers are small and medium sized businesses.