Boston, MA -- (ReleaseWire) -- 06/10/2014 -- Latest GDP figures show that the Vietnamese economy grew by 5.0% year-on-year (y-o-y) in Q1 2014, and we believe that our 2014 real GDP growth forecast of 5.9% remains in sight. Indeed, we believe that increased macroeconomic stability, combined with pro-growth policies will help the economy accelerate from 2013 levels. Key downside risks to this view include a faster-than-anticipated slowdown in China, as well as the stalling of the country's reform drive. With China being Vietnam's second top export partner, behind the US, such a slowdown would have a detrimental effect on Vietnam's shipping industry.
View Full Report Details and Table of Contents
We believe that the economy will be driven by a strengthening of private consumption, continued foreign direct investment into key areas of the economy, a more robust external sector, and a rebound in manufacturing activity over the coming quarters. That said, trend growth for the Vietnamese economy will average a slower 6.2% over the next decade, compared to 6.5% recorded in the past 10 years. Government policies aimed at promoting balanced economic growth, improving the stability of the banking system, diversifying exports, attracting foreign investment and attracting investment in infrastructure bode well for the economic outlook.
The Port of Ho Chi Minh City will remain by far and away Vietnam's outperformer in terms of total tonnage throughput (we forecast some 41.22mn tonnes will be handled by the facility by the end of 2014), however it is the Port of Da Nang that will see the largest y-o-y growth this year (7.00% compared with a forecast 6.06% at Ho Chi Minh City). These forecasts once again remain unchanged from the last quarter.
Headline Industry Data
- 2014 tonnage throughput at the Port of Ho Chi Minh City is forecast to grow 6.06% to 41.22mn tonnes. - - 2014 tonnage throughput at the Port of Da Nang is forecast to increase 7.00% to 5.36mn tonnes. - - 2014 container throughput at the Port of Ho Chi Minh City is forecast to rise 10.00% to 4.62mn twentyfoot equivalent units (TEUs). - - 2014 container throughput at the Port of Da Nang is forecast to increase 9.43% to 183,239TEUs. - - 2014 total trade real growth is forecast to increase 6.55%.
Key Industry Trends
Shipping Agents To Increase Container Transportation Cost: Hikes in the haulage rates by hundreds of dollars for each goods container shipped between Vietnam and the EU, the US and Australia, have been introduced by several shippers, reported VietNamNet Bridge in March 2014. Hapag-Lloyd is set to hike rates for transporting goods from Vietnam to the US and Canada by US$240 and US$300 per twenty-foot equivalent unit (TEU) and forty-foot equivalent units (FEU) respectively. The revised rates will be effective from April 1.
About Fast Market Research
Fast Market Research is a leading distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff is always available to help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
Browse all Transportation research reports at Fast Market Research
You may also be interested in these related reports:
- Canada Shipping Report Q3 2014
- Egypt Shipping Report Q3 2014
- United Arab Emirates Shipping Report Q3 2014
- Nigeria Shipping Report Q3 2014
- Argentina Shipping Report Q3 2014
- Australia Shipping Report Q3 2014
- Poland Shipping Report Q3 2014
- Croatia Shipping Report Q2 2014
- United States Shipping Report Q2 2014
- Iran Shipping Report Q2 2014