Vietnam Economic News: 7 - 14.3.2026
Summary of Vietnam Economic News: 7 - 14.3.2026
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Summary of Vietnam Economic News: 7 - 14.3.2026 ---
VIETNAM PRODUCES THE WORLD'S LARGEST TRADE SURPLUS WITH THE US
Reuters News– 13 March 2026
Vietnam produced the largest trade surplus with the United States in January, reaching $19 billion, overtaking both Mexico and China, latest official U.S. data shows, as its exports rose sharply while Chinese direct shipments to the United States fell. Hanoi has been negotiating a trade deal with Washington for months, but no agreement has been reached because of the large trade gap and disagreements over tariff rates the U.S. wants to impose on Vietnamese goods, officials have said. Hanoi's exports to the U.S. rose 53% to exceed $20 billion in January from a year earlier, the data shows, while U.S. imports from China in the same period dropped by 46%. Vietnam's trade surplus with the U.S. has surpassed China's since the second quarter of 2025 and was second only to Mexico in the last three quarters. It reached $178 billion for all of 2025. Vietnam's exports to the United States have been rising steadily as higher tariffs on Chinese goods discouraged Beijing's exports. At the same time Vietnam's imports of Chinese goods, largely for re-export, reached record levels in January, according to Vietnamese data. The Trump administration has repeatedly accused Vietnam of being a waypoint for Chinese goods directed to the United States, which face lower duties when carrying a "Made in Vietnam" label. Illegally transshipped goods are subject to U.S. tariffs of 40%, but the White House has not yet indicated its criteria to determine what can be considered as an illegal transshipment. It has however launched this week new investigations on Vietnam and other countries over possible unfair trade practices. Washington imposed 20% tariffs on Vietnamese goods in August. After the Supreme Court struck down Trump's global tariffs as illegal in February, the White House imposed a 10% global tariff for 150 days.
VIETNAM AIRLINES STEPS UP MARKET PROMOTION EFFORTS IN EUROPE
Dow Jones Newswires – 12 March 2026
Vietnam Airlines officially entered the Dutch market with a high-profile event at Amsterdam Schiphol Airport, announcing the launch of nonstop flights between Hanoi and Amsterdam starting 16 June 2026. The airline will operate three weekly round-trip flights using modern Airbus A350 wide-body aircraft, marking the first-ever direct air link between Vietnam and the Netherlands. The launch event, attended by Vietnam’s Ambassador to the Netherlands, Mr. Ngo Huong Nam, targeted European travel partners and highlighted Vietnam’s appeal as a top-tier tourist destination. The new route is designed to significantly reduce travel time and position Amsterdam as a gateway for European travelers heading to Southeast Asia. The flight schedule also facilitates seamless connections from Hanoi to major Vietnamese cities, including Ho Chi Minh City, Da Nang, Nha Trang, and Phu Quoc, as well as broader networks to Northeast Asia and Australia. Nguyen Quang Trung, Executive Vice President of Vietnam Airlines, emphasized Europe as a cornerstone of the airline’s international strategy, stating that the Hanoi-Amsterdam route strengthens trade, tourism, and cultural exchanges. With the addition of Amsterdam, Vietnam Airlines now operates 12 nonstop flights to eight major European cities—Paris, Frankfurt, London, Munich, Milan, Copenhagen, and Moscow—further solidifying its role as a global connector and promoting Vietnam’s culture and hospitality internationally.
FOREIGN INVESTORS THREATEN LEGAL ACTION AGAINST VIETNAM OVER RENEWABLES
Reuters News – 12 March 2026
Foreign investors are threatening legal action if Vietnam fails to honor electricity tariffs agreed for multiple wind and solar projects, according to a joint document from five chambers of commerce. The dispute began last year when Vietnam cut previously agreed subsidized prices for some renewable energy projects, citing irregularities. Negotiations with investors, whose projects have a combined capacity of 12 gigawatts, failed to reach a compromise. The chambers—representing investors from the EU, Britain, Japan, South Korea, and Thailand—sent a joint letter to the Vietnamese government on 12 March, warning that electricity producers may pursue dispute resolution in Vietnam or abroad if payments are not made. They stressed the potential for defaults and significant losses on multibillion-dollar renewable energy investments. Vietnam saw a boom in renewable energy in recent years due to generous 20-year feed-in tariffs. However, high tariffs increased losses for state-owned utility EVN, the sole buyer, and pushed up electricity costs for consumers. Retroactive tariff reductions took effect in January 2025 after investigations into misuse of the preferential rates. Coordinated investor pressure has been ongoing, including a May 2025 document signed by 16 affected firms from Vietnam, Thailand, Portugal, the Netherlands, South Korea, Singapore, and China.
VIETNAM SEEKS TO RAISE RICE RESERVES TO SUPPORT MARKET AMID KEY HARVEST
Reuters News – 12 March 2026
Vietnam is seeking to increase its national rice reserves and encourage traders to boost rice purchases from farmers, with the aim of stabilising a market struggling with weak global demand and a surge in domestic supplies during a major harvest. "Demand for rice from global buyers has been weakening, with no signs of recovery in the short term, and they are being cautious in stockpiling and purchasing rice," the government said in a statement dated earlier this month. Vietnam's rice exports in February fell 9.7% from a year earlier to 629,000 tons, according to official data. The winter-spring rice harvest, the largest of the year, is peaking in the Mekong Delta, according to the government document. The government has told the Ministry of Finance to work on plans to purchase rice for the national reserves, the statement said. The government has told the central bank to instruct commercial banks to extend preferential loans to rice traders to increase their purchases from farmers, it added.