Vietnam ranking among ASEAN electronics exporters

By Staff

With the ongoing US-China trade war and manufacturing costs increasing in China, opportunities for ASEAN countries to further participate in electronics regional and global value chain contribution has grown. Vietnam, for example, has climbed the ranks as a key electronics exporter, up from 47th place in 2001 to eighth place in 2018. Malaysia and Thailand have also risen as prominent electronics exporters, ranking 10th and 15th, respectively in 2018.

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At the international level, electronics are part of the Harmonized System (HS) for classifying goods. Its a six-digit code system comprising roughly 5,300 article and/or product descriptions displaying as headings and subheadings, arranged in 99 chapters, grouped in 21 sections. The six digits can be broken down into three parts.

Rankings of key ASEAN electronics exporters, 2001 and 2018

Relatively low labor costs compared to China, promising prospects with economic growth, and appealing demographics have helped make these emerging Asian economies attractive destinations for manufacturers and foreign direct investment (FDI) in electronics. (Suggested reading: Economic drivers, challenges creating regional electronics industry)

Vietnam and South East Asia manufacturing
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Over 2012 to 2016, greenfield FDI in ICT and electronics accounted for at least 10% of total FDI in manufacturing in Vietnam (27%), Malaysia (20%), the Philippines (12%) and Thailand (10%) according to a 2018 report by OECD, ‘Economic Outlook for Southeast Asia, China and India’.

In general, ASEAN economies are a key destination for investment from Japanese, Korean, Chinese and Taiwanese electronics firms according to a report by investment bank HSBC.

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