In the first quarter of 2025, Vietnam's shrimp exports have surged to impressive heights, reaching a total of $939 million, marking a remarkable 37% increase compared to the previous year. This growth highlights the resilience of the Vietnamese seafood industry, especially in the face of global economic challenges.
China continues to dominate as the leading market for Vietnamese shrimp, with exports soaring to $288 million, a staggering 125% rise year-on-year. The price of black tiger shrimp exported to China is holding steady at $9.6 per kilogram, while white leg shrimp is slightly lower at $6.6 per kilogram. This strong demand from China is driven by a growing appetite for seafood, particularly for premium products like lobster.
The United States ranks as the second-largest market for Vietnamese shrimp, with exports amounting to $134 million, reflecting an 11% increase. The average export price for white leg shrimp in the U.S. is notably high at $10.9 per kilogram, while black tiger shrimp commands $17.7 per kilogram. These prices are more stable compared to other markets, providing a reliable revenue stream for exporters.
The European Union (EU) market has also shown positive growth, with exports reaching $107 million, which is a 33% increase. Prices for white leg shrimp in the EU have remained stable at $7.6 per kilogram, while black tiger shrimp saw a slight increase to $10.9 per kilogram in March.
Japan and South Korea are also contributing to the positive export trend, with shrimp exports to Japan rising to $124 million (up 20%) and to South Korea increasing to $77 million (up 16%). However, there are some concerns regarding the pricing of shrimp in these markets, as the export prices for white leg shrimp have decreased from $9.5 to $8.4 per kilogram, and for black tiger shrimp from $14.7 to $13.6 per kilogram.
The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) market is another area of growth, reaching $269 million, a 40% increase compared to the same period last year. However, smaller markets outside the top five are experiencing declines due to high logistics costs and technical barriers.
Despite the overall positive performance, the Vietnamese shrimp industry faces significant challenges. Starting from April 2, 2025, the U.S. President imposed reciprocal tariffs on many trading partners, including a hefty 46% tax on Vietnamese goods. Although this tax has been temporarily postponed for 90 days, the looming threat creates substantial pressure on shrimp exporters. The U.S. market accounts for about 20% of Vietnam's total shrimp export turnover, which translates to an annual value between $800 million and $1 billion. If the tariff is officially implemented in July 2025, Vietnamese shrimp prices in the U.S. could rise dramatically, diminishing competitiveness against other shrimp-exporting countries like Ecuador (10% tax), India (26%), and Thailand (36%).
In addition to tariff concerns, Vietnamese shrimp exporters are also grappling with anti-dumping and countervailing duty investigations in the U.S., which further complicates their market position. The industry is also witnessing a new wave of competition from countries such as Ecuador, India, and Indonesia, which are ramping up their export efforts.
Import demand from major markets like China and the EU is showing signs of slowing down, leading to cautious ordering practices among importers. Additionally, the presence of low-cost inventory in the U.S. market is causing hesitation among buyers to purchase Vietnamese shrimp at higher prices, increasing risks for Vietnamese businesses as they navigate the second quarter of 2025.
To achieve the ambitious target of $4 billion in shrimp exports by 2025, the Vietnamese shrimp industry must implement a range of strategies. According to the Ministry of Agriculture and Rural Development, companies are encouraged to leverage international exhibitions to promote their brands, reach new customers, and stay updated on consumer trends. Investing in processing technology to meet international standards and building a sustainable brand for "Vietnamese Seafood" is essential for creating a competitive edge.
Additionally, Vietnam is actively pursuing negotiations with the U.S. to reduce the reciprocal tax rates while also taking advantage of free trade agreements such as CPTPP and the EU-Vietnam Free Trade Agreement (EVFTA) to expand its market reach.
As the industry looks to the future, the province of Ca Mau has set an ambitious goal of achieving $1.65 billion in shrimp exports by 2030. This target reflects the ongoing commitment of the Vietnamese seafood sector to not only meet domestic demands but also to secure a significant share of the global market.
In conclusion, while the Vietnamese shrimp export industry is currently experiencing a period of growth with significant increases in export values, it must remain vigilant against emerging challenges such as tariffs and competition. By embracing innovation and strategic partnerships, the industry can continue to thrive and meet its ambitious export goals.
