Paraguay - Vietnam Trade 2024 Q3: Deficit Widens Sharply

Key Market Takeaways: Paraguay - Vietnam Trade

The bilateral trade relationship between Paraguay and Vietnam remains heavily skewed in Vietnam's favor, with Paraguay facing a deepening trade deficit in Q3 2024.

• Deficit-Driven Trade: Paraguay’s imports from Vietnam ($51.65M) dwarfed exports ($9.67M), creating a $41.98M deficit—a 5.3x imbalance. Exports plunged YoY, while imports surged.
• Resource-for-Tech Exchange: Paraguay - Vietnam trade statistics show a lopsided structure: agricultural byproducts (HS 23, 52) make up 67% of Paraguay’s exports, while Vietnam dominates with high-value electronics (HS 85, 72% share).
• Asymmetric Interdependence: Vietnam holds the strategic advantage, supplying critical tech goods while Paraguay’s export base lacks diversification or value-add.

This bilateral trade snapshot is based on verified customs data from the yTrade database.

Paraguay-Vietnam Trade Trend in Q3 2024

Paraguay Export Performance: Shipments to Vietnam

• Total Volume: $9.67M in Q3 2024.
• Growth Trend & Context:
  • YoY declines persisted across all months, with August (-79.35%) and July (-74.03%) showing severe contractions.
  • September’s MoM spike (+269.72%) suggests a possible one-off shipment but failed to offset quarterly weakness.
• Key Volatility: September’s exports surged MoM but remained 54.46% lower YoY.

Paraguay Import Performance: Sourcing from Vietnam

• Total Volume: $51.65M in Q3 2024.
• Growth Trend & Context:
  • Strong YoY growth in July (+93.84%) and September (+137.33%) despite MoM declines.
  • August’s MoM drop (-11.32%) was milder than exports’ collapse.
• Key Volatility: July peaked at $19.14M (80.53% MoM growth), while September’s YoY surge stood out.

Paraguay - Vietnam Trade Balance & Market Dynamics

• Net Position: Deficit of $41.98M (Imports exceeded exports by 5.3x).
• Relationship Status: Paraguay remains heavily import-dependent on Vietnam, with no signs of export recovery to rebalance trade.

Paraguay Import Trend from Vietnam 2024 Q3 (Source: yTrade)**

Paraguay Export Trend to Vietnam 2024 Q3 (Source: yTrade)**

Get Historical Paraguay Vietnam Trade Records

Paraguay-Vietnam Top Trading Products in Q3 2024

Paraguay Export Profile: What Does Paraguay Sell to Vietnam

• Top Commodity: HS Code 23 (Residues and waste from the food industries) dominates with 33.76% share.
• Demand Driver: Vietnam likely uses these for industrial processing, possibly in animal feed or biofuel production.
• Concentration: Trade is moderately concentrated, with the top two commodities (HS 23 and 52) accounting for 67.36% of exports.

Paraguay Import Profile: What Does Paraguay Buy from Vietnam

• Top Commodity: HS Code 85 (Electrical machinery and equipment) leads with 72.43% share.
• Dependency Nature: Critical technology dependency, as Vietnam supplies high-value electronics and machinery.

Paraguay - Vietnam Trade Relationship Dynamics

• The Exchange Model: Resource-for-Tech Complementarity. Paraguay exports low-value agricultural byproducts, while Vietnam supplies high-tech goods.
• Value Chain Position: Vietnam holds the higher value-add position, given its dominance in advanced manufacturing exports.

Import Analysis by Product: Vietnam to Paraguay (Source: yTrade)

Export Analysis by Product: Paraguay to Vietnam (Source: yTrade)

Check Detailed Paraguay-Vietnam Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

The Paraguay-Vietnam trade relationship is expected to remain imbalanced in the near term, with Vietnam maintaining its dominance in high-value tech exports while Paraguay struggles to revive its agricultural byproduct shipments. The severe YoY declines in Paraguay’s exports suggest structural challenges, while Vietnam’s robust import growth signals sustained demand for its electronics and machinery. Traders should anticipate continued volatility, particularly in Paraguay’s export volumes, with any recovery likely dependent on securing new buyers or value-added processing partnerships. The deficit may widen further unless Paraguay diversifies its export basket or negotiates preferential terms for key commodities.

Strategic Moves

• Diversify Export Markets: Paraguayan exporters must aggressively target alternative buyers for agricultural residues (HS 23) to reduce overreliance on Vietnam, exploring markets in Southeast Asia or Africa with growing feed and biofuel demand.
• Negotiate Tech Transfer Deals: Paraguay should leverage its import dependency on Vietnamese electronics (HS 85) to secure joint ventures or local assembly agreements, upgrading domestic manufacturing capabilities.
• Monitor Vietnam’s Industrial Policy Shifts: Traders must track Vietnam’s biofuel or feedstock regulations, as policy changes could abruptly alter demand for Paraguayan exports. Proactive engagement with Vietnamese importers is critical to preempt disruptions.

Frequently Asked Questions

How did Paraguay - Vietnam trade perform in 2024 Q3?

Paraguay's exports to Vietnam totaled $9.67M, showing YoY declines, while imports from Vietnam reached $51.65M, with strong YoY growth in July and September.

What are the top exports from Paraguay to Vietnam?

The top exports are HS Code 23 (Residues and waste from the food industries) and HS Code 52 (Cotton), accounting for 67.36% of total exports.

What does Paraguay import from Vietnam?

Paraguay primarily imports HS Code 85 (Electrical machinery and equipment), which makes up 72.43% of total imports from Vietnam.

What is the trade balance between Paraguay and Vietnam?

Paraguay recorded a trade deficit of $41.98M, with imports exceeding exports by 5.3x in Q3 2024.