Trade deficit forecast cut to $4b

Trade deficit forecast cut to $4b

The Ministry of Industry and Trade has slashed its forecast for the country's 2013 trade deficit down to US$3-4 billion from $9 billion previously.

According to a ministry report released last week, the country's export revenue in the second half of the year will be roughly $68-69 billion, pushing total export earnings for 2013 to nearly $129-130 billion - a 12.5-14 per cent gain on last year.

Import value during the second half will reach roughly $70-71 billion, raising the yearly figure to $132-133 billion, a 14.5-16 per cent increase on the previous.

Accordingly, the trade deficit is expected to be roughly $3-4 billion, equal to 2.5-3 per cent of the total export value.

Previously, the ministry forecast the country's export revenue to reach $127 billion this year, $1 billion higher than the Government target, while import value was to be $136 billion.

The trade deficit therefore would stand at roughly $9 billion, equal to 7 per cent of the total export value, but still slightly below the Government's 8 per cent target.

Export value during the first half of the year rose 16.1 per cent to $62.05 billion in spite of price falls and trade barriers. Export growth was driven by manufactured and processed goods including telephones and components, computers and electronic devices.

The country's trade deficit in the first half of the year was roughly $1.4 billion, equal to 2.3 per cent of the total export value. 

vietnamnews