According to Vietnamese media reports, due to the recovery of furniture exports, active technological innovation and market sales strategies, Vietnam's furniture industry has experienced a positive recovery, and many companies have reported an increase in orders and employment.
Duong Thi Tu Trinh, deputy general manager of Duc Thien Co. Ltd, said orders have rebounded and are 20-25% higher than in the first three quarters, and the company expects further growth in the fourth quarter.
She revealed that the company has received orders by the end of the first quarter of 2024, ensuring the employment of workers and the export of about 100 containers of products per month. At the same time, the company has increased its workforce and is currently operating at a rate of 50-60%. Capacity operations.
Currently, relevant agencies of the Vietnamese government are assisting enterprises and associations to effectively utilize the signed free trade agreements to achieve market diversification, supply chain diversity and export growth.
Although this year's export target is US$17 billion, the local industry is still banking on achieving impressive export results.
According to a report from Vietnam's General Department of Customs (GDC), the country's timber and wooden furniture exports brought in revenue of US$1.2 billion in October, a month-on-month increase of 5.7%, but a 0.9% decrease from October 2022.
As of the end of October, the cumulative export volume of wood and wooden furniture reached US$10.8 billion. The figure was down 19.9% from the same period last year but was still considered an "encouraging result".
The United States and Asia are the main markets for Vietnam's furniture exports, accounting for 56.4% and 37.2% of exports respectively.
Phung Duc Tien, Deputy Minister of Agriculture and Rural Development of Vietnam, predicts that Vietnam’s timber and wooden furniture exports will reach US$13.6-14 billion this year. Currently, many wooden furniture manufacturers in the country have increased working shifts, recruited more workers, and imported materials by 5%-10%, indicating that companies are stepping up their efforts to fulfill orders for delivery at the end of the year.
The head of a wood products export company in Binh Duong said the company had so few orders in the first few months of this year that he had to lay off many workers. However, the situation improved at the beginning of the third quarter, with new orders increasing. At present, the number of orders is far lower than during the export boom, but equivalent to 70%-80% of the same period last year.
Nguyen Chanh Phuong, vice chairman of the Ho Chi Minh City Handicraft and Wood Processing Association, said some companies have recalled workers who were suspended or are recruiting more workers. He cited a report that the amount of timber imported by companies has increased by 5%-10% in recent months, indicating that companies have taken orders to prepare for the peak production season at the end of the year.