Vietnam posts largest trade deficit on record as imports surge

[HANOI] Vietnam’s trade deficit widened to a record high, driven by a surge in imports as global raw material prices climbed amid the prolonged US conflict with Iran.

The deficit in May rose to US$5.21 billion, according to data released by the National Statistics Office in Hanoi on Wednesday (Jun 3). That was well above the median estimate in a Bloomberg News survey for a US$3.98 billion shortfall, as well as the US$3.28 billion deficit reported for April.

Vietnam’s exports jumped 18 per cent in May, the statistics office said, slower than economists’ forecast of 19.7 per cent growth. Imports were higher than expected at 33.8 per cent.

The data shows the cost to Vietnam’s export-led economy as the war in the Middle East drives up crude oil and other costs. The government has said it will be “challenging” to meet its 10 per cent growth goal this year, and the country faces renewed tariff threats after the US launched a third trade investigation last week.

The US remained the biggest export market for Vietnam, which saw its January-to-May trade surplus with the world’s biggest economy rise 21.1 per cent to US$60.4 billion from a year earlier, according to the statistics office.

China was Vietnam’s top source of imports, shipping an estimated US$92.6 billion of goods in the first five months of 2026.

SEE ALSO

Vietnam touts IP crackdown results after US launches new probe

US hits Vietnam with third probe as trade pressure grows

In an unstable world of crises, solutions must come from Apac, says Vietnam’s To Lam

Singapore, Vietnam need shared model to engage businesses, academia in tech cooperation, says To Lam

Vietnam records strongest private capital rebound in years despite zero IPO exits

Who would buy Vietnam’s state-owned stakes – when Hanoi is ready to sell?

More

Asean Intelligence

Get insights into businesses across South-east Asia

Get the free report

Meanwhile, Vietnam’s consumer prices climbed 5.60 per cent in May from a year earlier, accelerating from the 5.46 per cent in April and the central bank’s forecast of as much as 5.5 per cent this year.

Inflation quickened as a surge in global energy prices driven by the Iran war fed into transport, services and material costs. BLOOMBERG