Digital transformation key to boost global reach for local products

Digital transformation key to boost global reach for local products

According to Nguyễn Thị Phương Uyên, a representative of Alibaba.com, Việt Nam’s exports remain stable despite tariff-related concerns.

A local is selling their products in a livestream. Cross-border e-commerce considered to be the fastest way for domestic products to go global. — VNA/VNS Photo

Stepping up digital transformation is critical to help local businesses expand their global market presence, with e-commerce considered to be the fastest way for domestic products to go global, a conference held by the Ministry of Industry and Trade was told on Tuesday.

Deputy Minister of Industry and Trade Nguyễn Sinh Nhật Tân said that adopting digital technologies in trade promotion, data analytics and online platforms is an important step to enable Vietnamese firms to expand their market and engage deeply in the global supply chain in the digital era.  

The fastest way to go global is through cross–border e-commerce, Tân said.

However Challenges remained, Tân said, adding that small and medium–sized firms have limited digital capacity, financial and human resources, as well as a lack of access to an integrated data infrastructure.

The coordination among business associations, management agencies and enterprises in the digitalisation of trade promotion remains weak. 

“Limited digital business mindsets and weak capacity to exploit cross-border e-commerce channels continue to pose major challenges to most Vietnamese exports,” Tân said.

According to Nguyễn Thị Phương Uyên, a representative of Alibaba.com, Việt Nam’s exports remain stable despite tariff-related concerns.

She cited data from the US Department of Commerce that the global business-to-business e-commerce market could contribute $36 trillion to the world economy by 2026, meaning an annual compound rate of 14.5 per cent in the 2022-26 period.

The figures demonstrate significant opportunities for enterprises to participate in e-commerce, especially B2B, she added.

Data from Alibaba.com, which has more than 300 million users and 50 million active B2B buyers across 200 countries, showed that searches for 'Made-in-Vietnam' products surged in recent months, particularly from the US and France as well as India, Brazil, Australia, Saudi Arabia and Hungary.

Specifically, searches for footwear rose by 172 per cent, handbags by 94.2 per cent, agricultural products by 84.2 per cent, mother-and-baby goods by 74 per cent, processed food and beverages by 71.3 per cent and beauty products by 67.7 per cent.

Việt Nam’s ability to scale production, meet international standards and maintain competitive prices as well as quick response to orders is considered an advantage by global buyers, she added.

Tân urged Việt Nam’s trade offices abroad to strengthen coordination with regulators, business associations and major e-commerce platforms to provide timely updates on market opportunities for Vietnamese exporters.

It is essential to improve competitiveness through digital transformation with specialized and innovative trade promotion programmes tailored to digital platforms and online spaces on major global e-commerce sites like Amazon and Alibaba promote trade, Tân said.

Bizhub