Sanctions hit Vietnamese exports to Russia

Vietnam’s exports to Russia fell by nearly 60% year-on-year to US$205 million in the first two months of this year.

Iron and steel, footwear and electronics exports almost came to a halt while those of agriculture produce like rice, vegetables and seafood fell by 20-50%, according to the Vietnam Trade Office in Russia.

Rubber, garment and coffee were the only items whose exports increased.

The ongoing Russia-Ukraine war is said to be the main cause as sanctions on Russia limit its trade with other countries, including Vietnam.

Major shipping firms and airlines have stopped their Russia operations, and so Vietnamese business have trouble sending goods to the country.

Bilateral trade fell by nearly 62% to $402 million.

The trade office said Russian businesses are increasingly interested in establishing trade partnership with their Vietnamese counterparts, and the number of Russian companies participating in Vietnam’s fairs and exhibitions is rising.

Many Russian retailers want to sell agricultural products, clothes and footwear from Vietnam, it added.