Vietnam's Lobster Exports to China Soar as Low Prices and Trade Ties Propel a Record-Breaking Resurgence
Vietnam's lobster exports to China have experienced a stunning rebound, marking a 133.9% increase in September compared to August and an astonishing 2,336% surge year-on-year. This growth, as reported by the South China Morning Post on October 23, 2024, is largely driven by competitive pricing and strong trade relations between Vietnam and China.
From January to September 2024, China imported $205.87 million worth of Vietnamese lobsters, marking a remarkable 3,285% increase over the same period last year and accounting for 37% of all lobster imports to China. Overall, China’s lobster imports reached $558.24 million, a 40.86% year-on-year increase, despite a 23% decline in import prices.
China’s Aquaculture Shortfall Fuels Demand for Vietnamese Lobsters
Domestic aquaculture in China has been unable to meet consumer demand, prompting a greater reliance on affordable Vietnamese lobsters. Zhao Xijun, a finance professor at Renmin University in Beijing, noted that turning to Vietnamese imports has become a straightforward solution to fill this supply gap.
Vietnam’s Geographic Advantage Boosts Export Competitiveness
Vietnam’s proximity to China, with a 1,281 km shared land border, allows for lower shipping costs compared to distant suppliers like Australia and Canada, further enhancing Vietnam's position in the Chinese market.
Economic Context Boosts Seafood Demand Despite Property Market Challenges
While Chinese consumer confidence faced challenges in August due to a prolonged property crisis, retail sales still rose by 3.2% in September, demonstrating resilience in consumer spending. Vietnam's strong lobster export figures reflect a renewed demand in the Chinese market, buoyed by economic adjustments and the seafood sector’s adaptability to market shifts.
This surge underscores Vietnam’s strategic position in the Chinese seafood market, driven by robust trade relations, competitive pricing, and the ability to quickly meet demand amid domestic supply shortfalls in China.
