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Chinese products overwhelm Vietnamese market
Low-priced but attractive Chinese products are flooding the country, threatening local manufacturers.
Duong Duc Tri, head of the Ho Chi Minh City-based Tri Vien Construction Company, said despite warnings about Chinese granite tiles absorbing moisture, many people still chose them thanks to their low prices.
They cost VND150,000 (US$8.85) to VND250,000 ($14.75) per square meter compared to VND300,000- VND400,000 for Vietnamese tiles.
Tri added that the Chinese tiles came in colors that even industry people like him had not imagined existed.
Nguyen My Anh, owner of a plastic goods shop in the city’s Binh Tay Market, said 20 kinds of baskets, buckets, shelves, and other items from China have been offered to her by distributors in the past month.
“Chinese products are beautifully designed and cost just half or even a third of local products,” she said.
Some dealers said despite low demand, they have agreed to buy Chinese products since they are so attractive and sellers offer high commissions and long credit periods.
A deputy general director of a HCMC-based plastic firm said his northern distributors have stopped buying since Chinese products are taking over the market.
A supermarket chain in HCMC said Chinese garments and footwear now account for 60-70 percent of its stocks, up from 20 percent earlier.
“Chinese products are 10-15 percent cheaper than earlier and so are preferred,” its owner said.
High-grade Chinese apparel is also expected to pour into Vietnam after China’s exports to major markets like the US and EU have slowed down due to the economic crunch.
According to the Vietnam Commercial Affair in China, imports of Chinese products into Vietnam were worth nearly US$13 billion in the first ten months of this year, a 42 percent year-on-year increase.
Tuoi Tre
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