Chemical wood pulp market in Vietnam

Earlier Report Observations

From 2018 to 2021, Vietnam's chemical wood pulp market volume expanded steadily from 400.9 thousand tons to 448.5 thousand tons. The pace of growth slowed in 2020, with only a 1.3% increase, as high input and transportation costs alongside raw material shortages from deforestation and forest fires constrained market expansion.

In 2022, the market contracted by 7.7% to 414.1 thousand tons. This decline was primarily driven by the lingering effects of the COVID-19 pandemic and geopolitical conflicts, which raised production and living costs, reducing demand for non-essential wood products. Additionally, Russia's ban on roundwood exports to key markets exacerbated global wood supply shortages, further pressuring the industry.

The market rebounded sharply in 2023, surging 32.6% to 549.1 thousand tons. This growth was fueled by rising demand for packaging and industrial paper, which increased consumption of wood pulp. Simultaneously, the industry began adapting to stricter international regulations, such as the EU Deforestation Regulation, through green and digital transformation initiatives.

Production chemical wood pulp in Vietnam

In kind, 2017-2020, K t

Top producers of chemical wood pulp, 2017-2020

World map of production of chemical wood pulp, 2017-2020

Vietnam's production of chemical wood pulp remained stable in 2020, with output holding at 110.0 K t, unchanged from the previous year. The most significant changes occurred in 2018, which saw both the largest decline and the largest increase, each at 0.0%.

Annual dynamics of production in Vietnam in kind, 2017-2020, K t

Exports chemical wood pulp from Vietnam

Exports in kind, K t

The market for chemical wood pulp exports from Vietnam showed considerable volatility during this period. Export volumes reached their lowest point in 2018 at 0.6 K t, then surged to a peak of 5.3 K t in 2020, representing a ninefold increase from the bottom. In 2020, exports grew by 81.2% compared to 2019. The largest decline was recorded in 2018 at 82.9%, while the most substantial increase occurred in 2019 with a jump of 398.9%.

Annual dynamics of product's exports from Vietnam in kind, 2017-2020, K t

From 2017 to 2020, China and Cambodia were the primary destinations for Vietnam's chemical wood pulp exports in kind, together accounting for 96.7% of total flows. The remaining share was distributed among other countries.

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, M $ US

Vietnam's chemical wood pulp exports in value terms grew for the third consecutive year. In 2020, exports reached 3.2 M $ US, marking a solid improvement of 24.2% from 2019. Over the period from 2017 to 2020, exports increased by 64.1%, which translates to an annualized growth rate of 18.0%.

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

Between 2017 and 2020, China and Cambodia dominated as the key buyers of chemical wood pulp from Vietnam in value terms, together taking 86.5% of total exports. Other partners contributed to a smaller portion of the export value.

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

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

Imports chemical wood pulp to Vietnam

Imports in kind, K t

Vietnam's imports of chemical wood pulp in kind increased for the third year in a row. In 2020, imports reached 331.7 K t, reflecting a year-over-year rise of 2.4%. From 2017 to 2020, imports grew by 44.4%, with a compound annual growth rate (CAGR) of 13.0%.

Annual dynamics of product's imports to Vietnam in kind, 2017-2020, K t

During the 2017–2020 period, the United States, Indonesia, and Brazil led Vietnam's chemical wood pulp imports in kind. The United States accounted for 32.1% of imports, Indonesia for 20.0%, and Brazil for 16.6%, together representing 68.7% 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, M $ US

Vietnam's chemical wood pulp imports in value terms declined for the second consecutive year. In 2020, imports totaled 230.6 M $ US, showing a robust contraction of 19.9% year-over-year. Over the 2017–2020 period, imports increased by 24.7%, with a CAGR of 7.6%. The maximum value was recorded in 2018 at 230.6 M $ US, which also saw the largest increase of 56.0%.

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

From 2017 to 2020, the United States, Indonesia, and Brazil were the main sources of chemical wood pulp imports to Vietnam in value terms. The United States held 33.3% of imports, Indonesia 19.5%, and Brazil 15.8%, together accounting for 68.7% of total import value, solidifying their positions as key suppliers.

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

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