Alcoholic beer market in Vietnam

Earlier Report Observations

The alcoholic beer market in Vietnam grew from 4 243 million liters in 2018 to 4 539 million liters in 2019. However, it contracted to 3 933 million liters in 2020 as Decree 100/2019/ND-CP, which imposed stricter penalties for drunk driving, came into effect at the start of the year, dampening consumption. The COVID-19 pandemic further suppressed demand through lockdowns and reduced social gatherings.

Market volume recovered to 4 125 million liters in 2021 but fell again to 3 794 million liters in 2022 amid lingering pandemic effects and alcohol-control policies. A sharp drop to 3 005 million liters occurred in 2023, driven by multiple headwinds: raw material costs surged by 15-40%, raising production expenses; alcohol-harm reduction policies, including Decree 100, continued to curb consumption; and consumers increasingly shifted to non-alcoholic beer, which saw sales grow by 31.7%. During this period, Heineken Vietnam closed its brewery in Quang Nam due to market difficulties, while the unofficial 'grass beer' segment gained share, intensifying competition.

Production alcoholic beer in Vietnam

In kind, 2017-2020, M l

Vietnam was among the world's top producers of alcoholic beer from 2017 to 2020, ranking 8th globally by production volume during this period.

Top producers of alcoholic beer, 2017-2020

World map of production of alcoholic beer, 2017-2020

In 2020, Vietnam produced 4 000 million liters of alcoholic beer, marking a 13.0% decline from the previous year. Over the 2017-2020 period, production decreased by 8.6%, with a compound annual growth rate (CAGR) of -2.9%. Production peaked in 2019 at 4 600 million liters, which represented a 7.0% increase from the prior year.

Annual dynamics of production in Vietnam in kind, 2017-2020, M l

In value, 2017-2020, M $ US

In 2020, the output of alcoholic beer in Vietnam was valued at 3 940 million US dollars, showing a 17.0% reduction compared to 2019. From 2017 to 2020, production value decreased by 8.5%, with a CAGR of -2.9%. The highest value was recorded in 2019 at 4 750 million US dollars, which saw a 12.2% increase from the previous year.

Annual dynamics of production in Vietnam in value, 2017-2020, M $ US

Exports alcoholic beer from Vietnam

Exports in kind, K l

In 2020, Vietnam exported 72 940 thousand liters of alcoholic beer, down 2.1% from 2019. Over the 2017-2020 period, exports increased by 5.7%, with a CAGR of 1.9%. Exports reached their lowest point in 2018 at 67 810 thousand liters, while the peak was in 2019 at 74 504 thousand liters, representing a 9.9% increase from the prior year.

Annual dynamics of product's exports from Vietnam in kind, 2017-2020, K l

From 2017 to 2020, Vietnam's export market for alcoholic beer in kind was quite diverse. Singapore accounted for 14.8% of exports, Australia for 13.1%, and Japan for 10.6%, with these three countries together making up 38.5% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Vietnam in kind, 2017-2020

Exports in value, K $ US

In 2020, Vietnam exported 71 845 thousand US dollars worth of alcoholic beer, indicating a 6.6% drop compared to 2019. Over the 2017-2020 period, export value increased by 5.7%, with a CAGR of 1.9%. The lowest value was recorded in 2018 at 66 741 thousand US dollars, while the highest was in 2019 at 76 926 thousand US dollars, which saw a 15.3% increase from the previous year.

Annual dynamics of product's exports from Vietnam in value, 2017-2020, K $ US

From 2017 to 2020, Vietnam's export structure for alcoholic beer in value terms was balanced rather than concentrated. Singapore represented 14.8% of exports, Australia 13.1%, and Japan 10.6%, with these three countries jointly accounting for 38.4% of total flows, while many other countries made up the remaining 61.6%.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Vietnam in value, 2017-2020

Imports alcoholic beer to Vietnam

Imports in kind, K l

After two years of growth, foreign alcoholic beer supplies to Vietnam declined. In 2020, imports were recorded at 6 336 thousand liters, equivalent to a sharp 53.9% loss compared to the previous year. Over the 2017-2020 period, imports decreased by 33.6%, with a CAGR of -12.8%. Imports peaked in 2019 at 13 738 thousand liters, which represented a 28.8% increase from the prior year.

Annual dynamics of product's imports to Vietnam in kind, 2017-2020, K l

From 2017 to 2020, the Netherlands, Mexico, and Thailand formed the main cluster of markets for Vietnam's imports of alcoholic beer in kind. The Netherlands accounted for 42.7% of imports, Mexico for 13.4%, and Thailand for 10.3%, with these three countries together comprising 66.3% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Vietnam in kind, 2017-2020

Imports in value, K $ US

After two years of growth, alcoholic beer volumes imported into Vietnam declined. In 2020, imports amounted to 7 135 thousand US dollars, representing a sharp 55.2% contraction compared to 2019. Over the 2017-2020 period, import value decreased by 36.2%, with a CAGR of -13.9%. The highest value was recorded in 2019 at 15 914 thousand US dollars, which saw a 26.2% increase from the previous year.

Annual dynamics of product's imports to Vietnam in value, 2017-2020, K $ US

From 2017 to 2020, the Netherlands, Mexico, and Thailand were the main suppliers of alcoholic beer to Vietnam in value terms. The Netherlands accounted for 42.7% of imports, Mexico for 13.4%, and Thailand for 10.3%, with these three countries together comprising 66.3% of total imports in value terms.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Vietnam in value, 2017-2020