Vietnam Plywood Market Overview!

China has been the leading exporter of plywood for many years but due to the US-China trade war and the extended restrictions caused by the COVID-19 pandemic, other countries, such as Vietnam, have been able to take more control of the market. Vietnam Plywood Industry has seen a large increase in exports, from $500 million in 2016 to $1.2 billion in 2018, due to incentives from the Vietnamese government including subsidies for materials and reduced taxes on exports. However, the US Department of Commerce’s ruling that certain plywood products from Vietnam using China-sourced materials would be subject to up to 200% tariffs has led to decreased orders from the US, Vietnam’s largest import market. Additionally, inflation in the US and a slower shopping demand have caused Vietnam Plywood exports to this market to suffer.