Vietnam's Exports Surge as China Imports Hit Record High

Vietnam’s trade surplus with the United States expanded by nearly 30% year-on-year in January, driven by a significant climb in exports. Simultaneously, imports from China surged to a new monthly record, according to official data released on Friday.

The export growth comes as Hanoi continues trade negotiations with Washington. These talks follow the Trump administration's imposition of 20% tariffs on Vietnamese products in August and threats of higher duties on goods made with components sourced from China. Despite these tariffs, Vietnam's exports to the U.S. have consistently risen, setting a record high last year.

US Trade Surplus Widens Despite Tariffs

The trend of strong exports to the U.S. continued into the new year, with shipments reaching a value of $13.9 billion in January. This marks a substantial increase from the $10.5 billion recorded in the same period a year earlier, though it is slightly below the $14.6 billion from December.

As a result, Vietnam’s trade surplus with the U.S. reached $12 billion for the month. This figure represents a nearly 30% increase compared to the previous year and is just shy of the $12.3 billion surplus seen in December.

Record Imports from China Drive Overall Deficit

While exports to the U.S. boomed, imports from China hit an all-time monthly high of $19 billion. This is an increase from $18.7 billion in December and a sharp rise from the $12 billion imported in January 2025.

This surge in imports contributed to a wider national trade picture. In total, Vietnam's exports rose 29.7% year-on-year to $43.19 billion. However, total imports soared by 49.2% to $44.97 billion, resulting in an overall trade deficit of $1.78 billion for January.

A Snapshot of Vietnam's Domestic Economy

Beyond trade, other key economic indicators for January showed mixed but generally positive performance:

• Industrial Production: Grew by 21.5% compared to the previous year.

• Consumer Prices: Rose 2.53% year-on-year.

• Retail Sales: Increased by 9.3% from a year earlier.

Foreign Investment Shows Diverging Trends

Foreign investment data presented a more complex outlook. Actual foreign investment inflows into Vietnam during January reached $1.68 billion, an 11.3% increase year-on-year.

However, investment pledges, which serve as an indicator of future capital flows, declined. Pledges fell by 40.6% compared to the same month last year, totaling $2.58 billion.