Vietnam’s export turnover of electronics products and household appliances last year accounted for 28.9% of the country’s total export revenue. Specifically, the export turnover of this category (mobile phones and accessories, cameras and accessories, machinery, equipment and other accessories) reached US$14.45 billion, equal to 130% in 2016.
Vietnam earned US$14.45 billion from electronics exports last year
Smartphones are increasingly popular and become an integral part in many people’s lives, with such gadgets as music listening, web surfing, social network application, gaming, photography and implementation of financial transactions.
After more than 10 years, smartphone market sees intense competition and strong development. Successful people hold the majority of market share, while unsuccessful ones had their businesses be acquired. So far, smartphones have had a lot of differences, with a lot of utilities, lightweight, integrating many more things and have become an important part in the industrial era.
In 2017, Vietnam exported US$45.27 billion smartphones and accessories, up 31.9% from 2016. Of which, exports of mobile phones touched 184.4 million units and are mainly exported to such markets as Russia, Germany, Austria, Indonesia, the United State and Arab.
Vietnam has become one of the large electronics exporters in the world, however, 95% of its export turnover belonged to FDI businesses. Domestic businesses are only assembling and processing. The spillover and linkage between FDI businesses and domestic electronics businesses is very poor.
In terms of product structure, consumer electronics account for as much as 80%, while the rest is specialized electronics with the localization rate of about 20-30%. Most products in the current electronics market are wholly imported and assembled by imported components.
Among 80% of consumer electronics products, the real role of domestic businesses is very gloomy. Most domestic electronics businesses only exploit old products, with very low profit and the added value is estimated at 5-10% per year only.
Meanwhile, FDI businesses in the electronics and electrical appliances industry are facing the pressure of having to reduce costs for components and accessories and increasing the added value of domestic products, thereby having to import accessories from surrounding countries or directly from Japan.
As for imports, the turnover of the electronics and electronic appliances reckoned for 25.5 percent of the country’s total import turnover. Specifically, the import turnover of this category (mobile phones and accessories, cameras, equipment, home appliances and accessories, machinery and other equipment) hit US$53.9 billion, up US$11.93 billion, up 28.4% from the same period of 2016.
In 2017, the total import turnover of electronics, home appliances touched US$53.9 billion, mainly imported from such markets as China, Japan, South Korea, Hong Kong and Taiwan.
Last year also saw a sharp import increase of observation camera industry. Accordingly, Vietnam imported about 181.5 million cameras with the import turnover of $1.17 million. Of which, cameras were mainly imported from China (80%), South Korea (17.5%), and the Philippines (1.1%). Most cameras were imported from two major types: cameras used for production and installation of mobile phones and observation cameras.
The year 2017 marked the growth and intense competition of the observation camera industry. The growth and competition not only happed in the wholesale sector among distributors, agents, camera brands, installation companies but also units operating in other fields. Currently, there are three major observation camera lines including made-in-Vietnam cameras with imported accessories; cameras imported from China, Taiwan and cameras imported from South Korea, Japan.